Regulation (EU, Euratom) 2018/1046 of the European Parliament and of the CouncilShow full title

34. Arrangements for estimating the value of a contract U.K.

34.1. The contracting authority shall estimate the value of a contract based on the total amount payable, including any form of options and any renewal. U.K.

This estimate shall be made at the latest when the contracting authority launches the procurement procedure.

34.2. For framework contracts and dynamic purchasing systems the value to be taken into account shall be the maximum value of all the contracts envisaged during the total duration of the framework contract or dynamic purchasing system. U.K.

For innovation partnerships, the value to be taken into account shall be the maximum estimated value of the research and development activities to take place during all stages of the envisaged partnership as well as of the works, supplies or services to be purchased at the end of the envisaged partnership.

Where the contracting authority provides for payments to candidates or tenderers it shall take them into account when calculating the estimated value of the contract.

34.3. For service contracts, account shall be taken of the following: U.K.

(a)

in the case of insurance services, the premium payable and other forms of remuneration;

(b)

in the case of banking or financial services, the fees, commissions, interest and other types of remuneration;

(c)

in the case of design contracts, the fees, commissions payable and other forms of remuneration.

34.4. In the case of service contracts which do not specify a total price or of supply contracts for leasing, hire, rental or hire purchase of products, the basis for calculating the estimated contract value shall be: U.K.

(a)

in the case of fixed-term contracts:

(i)

where their duration is 48 months or less in the case of services or 12 months or less in the case of supplies, the total contract value for their duration;

(ii)

where their duration is more than 12 months in the case of supplies, the total value including the estimated residual value;

(b)

in the case of contracts without a fixed term or, in the case of services, for a duration exceeding 48 months, the monthly value multiplied by 48.

34.5. In the case of service or supply contracts which are awarded regularly or are to be renewed within a given period, the basis for calculating the estimated contract value shall be any of the following: U.K.

(a)

the total actual value of successive contracts of the same type awarded during the preceding 12 months or the preceding financial year, adjusted, where possible, to take account of the changes in quantity or value which would occur in the course of the 12 months following the initial contract;

(b)

the total estimated value of successive contracts of the same type to be awarded during the financial year.

34.6. In the case of works contracts, account shall be taken not only of the value of the works but also of the estimated total value of the supplies and services needed to carry out the works and made available to the contractor by the contracting authority. U.K.

34.7. In the case of concession contracts, the value shall be the estimated total turnover of the concessionaire generated over the duration of the contract. U.K.

The value shall be calculated using an objective method specified in the procurement documents, taking into account in particular:

(a)

the revenue from the payment of fees and fines by the users of the works or services other than those collected on behalf of the contracting authority;

(b)

the value of grants or any other financial advantages from third parties for the performance of the concession;

(c)

the revenue from sales of any assets which are part of the concession;

(d)

the value of all the supplies and services that are made available to the concessionaire by the contracting authority provided that they are necessary for executing the works or services;

(e)

the payments to candidates or tenderers.