Single Source Cost Standards: Statutory Guidance on Allowable Costs
The SSRO has updated its Statutory Guidance on Allowable Costs, which contractors and the Ministry of Defence must have regard to when determining whether costs are Allowable in single source qualifying defence contracts.
The Defence Reform Act 2014 provides the legislative basis for the Single Source Procurement Framework. The Act makes the Single Source Regulations Office (SSRO) responsible for issuing Statutory Guidance on Allowable Costs, which contractors and the Ministry of Defence must have regard to when determining whether costs are Allowable in single source qualifying defence contracts.
The SSRO originally published its Single Source Cost Standards: Statutory Guidance on Allowable Costs on 26 January 2015. Based on the experiences since then of the new regime, we have sought to clarify several aspects of the guidance. On 20 April 2016, the SSRO opened a public consultation on its updated guidance and the consultation closed on 1 June 2016.
We received only responses from industry and the MOD to our consultation, and all feedback received as part for the process has been carefully considered in developing the current version of the guidance. The final version of the guidance is published alongside the responses received. The consultation response document explains the changes we have made to the guidance in response to feedback.
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