Is your business looking to enter the world of public sector procurement? The Low Value Purchase System (LVPS) could be an ideal option for you. LVPS streamlines access to public sector contracts for small and medium enterprises (SMEs) and covers a broad range of products and services. In this guide, we’ll give you the key facts about LVPS, and show you how to register, participate, and put together successful bids.
What is the Low Value Purchase System?
The Low Value Purchase System is a procurement process used by the Crown Commercial Service (CCS), the largest public procurement organisation in the UK, for the awarding of certain public sector contracts. The system is open until March 2026, and suppliers can register year-round.
Buyers who use LVPS include central government departments, local government, and other public sector bodies. The system applies across an extensive list of products and services, from industrial machinery to food and beverages.
LVPS covers contracts falling below certain financial thresholds. Though they typically apply to contracts below £140,000, exact thresholds vary by sector, body, and type of good or service. Unlike high-value tenders, they do not require full tender submissions and extensive compliance documentation. As a result, procurement under LVPS is simpler and faster, and may allow a wider range of suppliers to bid.
Why LVPS is important for SMEs
It is government policy to support small and medium enterprises (SMEs) and voluntary, community and social enterprises (VCSEs) through procurement. In fact, in 2024, 72% of all suppliers on commercial agreements with CCS were micro, small or medium enterprises.
LVPS plays an important role in helping to meet this policy goal and to allow SMEs to become Crown Commercial Service suppliers. This is because LVPS contracts are typically:
- Less resource-intensive to bid for
- Easier to access
- Quicker to award and implement
- Great for building public sector experience
Additionally, from the buyer’s perspective, LVPS simplifies the process of finding the right supplier. Buyers can visit the Dynamic Purchasing Systems Marketplace and use the available filters to easily find the right company to meet their needs. This provides greater flexibility for buyers as well as ensuring that small businesses are made aware of relevant opportunities.
These factors make LVPS a great option for SMEs, VCSEs and first-time bidders who are looking to build their track record and establish credibility. Government contracts won via LVPS are also an excellent way for small businesses to generate consistent income.
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Click hereLow Value Purchase System vs G-Cloud 15: Which is right for you?
Another government procurement initiative that you may have come across is the G-Cloud Framework. It has some similarities to LVPS: it aims to offer a more efficient method for public sector bodies to procure services, and it is open to SMEs. However, there are some key differences you should be aware of.
Unlike LVPS, which can be used to bid for a wide array of products and services, G-Cloud focuses specifically on the provision of cloud-based services, such as hosting, software and support.
Additionally, in October 2025, a number of major changes will be coming with the adoption of the newest version of the framework: G-Cloud 15. These include additional evaluation criteria covering price, quality and social value, as well as required Carbon Reduction Plans for some lots.
With the introduction of these changes, some suppliers may not be eligible to apply under the G-Cloud framework, or may become more hesitant to do so. If this sounds like you, then don’t worry: the Low Value Purchase System could be an option for you to explore. That’s because you can also bid for IT services, including cloud-based services, via LVPS.
How to participate in the Low Value Purchase System
If you think that the system could be a good fit for your business, then you need to know how to participate in LVPS. Fortunately, we’re here to provide you with a step-by-step guide.
- Register on the Supplier Registration Service (SRS). Before you can request to participate in LVPS, you have to register as a supplier on the SRS. Remember the DUNS number that you use at this stage, as you will need to use the same number later in the process.
- Submit a request to participate. You must enter this request via the SRS portal. During this step, you will complete a Suitability Assessment Questionnaire. You need to answer every applicable question, including:
- Submitting details on legal status of your organisation
- Providing information about any Persons of Significant Control
- Declaring any criminal records
- Describing the goods and services that you offer
- Declaring that the information you have provided in the questionnaire is accurate
Make sure that the information you provide is accurate. Serious misrepresentations of factual information in the Suitability Assessment Questionnaire may result in severe consequences, such as the revocation of your contract or prosecution for fraud.
- Complete the pre-appointment stages. Once you have submitted your questionnaire, it will enter the ‘Assessing’ stage, where the CCS will review your suitability. If they are not satisfied, your organisation will move back to the ‘Registered 1’ stage, and you will need to update and resubmit your answers. If successful, you’ll move forward to the ‘Agreeing’ stage. Here, you’ll provide your sign-off in the legally binding LVPS Appointment Form.
- Congratulations! Once you’ve been appointed to the LVPS, you can start to bid for LVPS contracts. In the next section, we’ll walk through some of the key elements of a successful proposal.
Tips for a successful LVPS bid
Respond quickly
Procurement teams often work to tight timelines. Prompt responses help to make their job simpler and faster, as well as demonstrating your professionalism.
Provide the right level of detail
Even brief RFQs need full answers. Address all of the buyer’s questions clearly while sticking to any word or page limits.
Emphasise value, not just price
Show how your company can provide a cost-effective solution for the buyer’s needs. Provide examples and focus on the benefits of your service.
Tailor every bid
Buyers can tell when you’ve copied and pasted from one bid to another, and it’s not a good look. Tailoring your approach to the client shows that you care and boosts your chances of winning the bid.
How the Low Value Purchase System could help your business grow
The Low Value Purchase System isn't just about waiting for opportunities to come in. It gives your business a route into the public sector that buyers and your clients can use. After all, for many procurement teams, especially in local government or education, the challenge isn't finding suppliers — it's being able to engage them properly and stay within the rules. LVPS solves that problem.
Similarly, your sales team might always be asked which frameworks your company is on. With the Crown Commercial Service being so recognisable, simply being part of LVPS can be a quick win.
Being on the system gives buyers a compliant way to work with you. It means that they can bring you on board quickly, without the risk of running into red tape or skipping proper procurement. In other words, you're doing more than just offering a service or product — you're making their job easier. You're a ready-to-go supplier who ticks all the boxes. For small and growing businesses, this can be a game changer.
Better still, once you've started working with a buyer through LVPS, they may want to start working with you on other key frameworks as well. At Thornton & Lowe, we can guide you how to best find and win places on the key frameworks which are right for your business.
Taking this approach also helps you build trust and experience. Many suppliers use LVPS to get early public sector wins, build a reputation, and learn what buyers expect. It’s a great way to test and improve your processes before moving on to larger frameworks or more complex tenders.
If you’re thinking longer-term, LVPS can be a major part of your public sector sales strategy. It helps you get noticed, gives you a compliant way to deliver, and supports your case when you're ready to go for bigger opportunities.
You can read more about how to grow your business through public sector frameworks in our Framework Sales and Business Growth Guide
How Thornton & Lowe supports SME suppliers
At Thornton & Lowe, we specialise in helping businesses to access and win public sector contracts. Our Bid Writing services are a perfect choice for SME suppliers looking to win bids under the Low Value Purchase System. We’ll work closely with you to write compelling proposals, no matter the contract size.
Whether you're new to bidding or looking to refine your strategy, Thornton & Lowe offers the tools, training, and insight to support your journey. Contact us today to see how we can help you to secure your next win.
FAQs
What is considered a low-value contract in public procurement?
The Low Value Purchase System covers a variety of sectors and services, and the exact numbers vary. The thresholds set out for supplies and services in the Public Contracts Regulations are £139,688 for central government bodies and £214,904 for other public sector bodies. You can read full details in Procurement Policy Note 11/23.
Are low-value tenders less competitive?
Not necessarily. Because LVPS contracts have lower barriers to entry, they are often attractive to SMEs and VCSEs. Additionally, while the LVPS allows buyers to directly award contracts to suppliers, they may also choose to hold mini competitions. The best way to secure the tender is to ensure that you submit a high-quality bid every time.
What’s the difference between a direct award and a mini competition?
A direct award is where a buyer selects a supplier under the LVPS framework without a competitive tendering process. This is a faster option that may reduce administrative costs. A mini competition, meanwhile, sees the buyer seeking proposals from several suppliers. As part of this, they can ask for quality, price and social value responses. This allows for a more transparent process and can offer buyers better value for money.
