Procurement with Purpose: our first Social Impact Report

Our first Social Impact Report and what it means for the future of public sector delivery

For nearly 60 years, LHC Procurement Group (LHCPG) has been trusted to deliver value for the public sector. But today, "value" means more than just efficiency and compliance.

I’m incredibly proud of our recent launch of LHCPG’s first Annual Social Impact Report; a milestone in our journey to redefine what public-sector procurement can achieve.

This reaffirms that public procurement, when done with intent, can be one of the most powerful tools we have to improve lives and places across Great Britain.

Procurement as a Catalyst for Community Change

The publication of our first group-wide impact report comes at a critical moment, as the UK Government earlier this month published their annual figures on national participation of young people aged 16 to 24, showing the number in the Not in Education, Employment, or Training (NEET) category at an 11 year high. The urgency to act at a local level has never been greater, can public procurement be one of the key levers available to drive meaningful social change?

Our work demonstrates how procurement, when embedded with purpose and place-based priorities, can directly support young people, tackle exclusion, and create opportunities where they are most needed. From funding early-intervention programmes like Y Enterprise, to ensuring social value is integrated into every framework, we’re showing that procurement can deliver more than infrastructure, it can deliver better futures.

This report is more than a summary of outcomes, it is a statement of purpose. It captures how, as a not-for-profit organisation, we can use procurement frameworks not just to build homes, schools, and hospitals, but to build opportunity, equity, sustainability, and resilience in the communities we serve.

Launching our first group-wide impact report marks a step change in how we define and measure our success. It reflects:

  • An evolution from transactional to transformational procurement
  • Our commitment to regional empowerment, with impact led by local insight
  • Our belief that social value must be embedded, not added on

Strategically delivered

Through our Social Value Strategy (2024–2027), we committed to making every pound count and are driving forward three key priorities:

Social Mobility: Unlocking opportunities through employment, training, and inclusive procurement

Individual Wellbeing: Supporting mental health, inclusion, and access to services

Planet and Environment:  Enabling net zero delivery and sustainable development

Our frameworks, from Retrofit & Decarbonisation (N9) to our Repairs and Maintenance DPS, now embed social value criteria from day one. Every appointed supplier receives support and guidance to ensure they can deliver locally relevant, reportable outcomes because procurement should empower communities, not just contractors.

A Place Based, Outcomes Led Approach

With oversight from our regional committees and partnerships with organisations like HACT, Community Foundation Wales, Locality, and the Lintel Trust, we are holding ourselves to higher standards; measuring what matters, and reporting on it with transparency.

From 1966 to today, our approach has always centred on regional partnerships and local knowledge. Embedding decision making in Midlands, London and South East, the South West, Scotland, Wales, and now the North (NPA) ensures procurement responds to real community priorities.

Key Outcomes from 2024/25

In the past year:

  • We funded 1,459 active public sector projects
  • Allocated £314,816 direct to communities through our Community Benefit Fund
  • Delivered £936,979 in evidenced social value from previous years' funding
  • Returned an additional £1.1m through our rebate scheme, back to our partners as part of our commitment to increase social value and community impact.
  • Supported thousands of individuals through projects focused on employment, wellbeing, youth, and climate resilience

These aren’t just numbers. It’s real-world impact, measured and returned back to communities and told through stories and case studies such as projects like Y Enterprise in Perth and Kinross and roofing retrofits with Richmond Housing Partnership.  Both from entirely different impact areas, but both meeting urgent local needs, and generating significant long-term social, economic or environmental benefits such as improved mental health, reduced carbon emissions, and increased educational attainment.

Not Just Outcomes, but Influence

As HACT noted in our report:

"LHCPG is recognised as a key driver in public sector procurement, with a role to play in raising standards around social value and delivering long-term transformational change."

That influence is visible in how we:

  • Support over 80% of SME participation on our frameworks
  • Reduce barriers to entry for diverse and micro suppliers
  • Collaborate with training providers to upskill the future green workforce
  • Equip clients with tools and training to commission more effectively, including CPD-accredited masterclasses and regional social value support

Living Our Values

However, our social impact isn't limited to the frameworks we manage, or community funding we provide; it is reflected in who we are and how we operate.

This is shown in the past year our team delivered:

  • 591 hours of community volunteering
  • Sustainable IT donations creating positive social and environmental impacts
  • Reduced business travel emissions through hybrid work models
  • 60% office recycling rates—significantly higher than national average of 40%

We live our commitment through employee empowerment, ethical governance, and continuous learning, proving that responsible business starts from within.

Looking Ahead

This report is not the finish line, it’s a foundation. Moving into 2025/26 and beyond, we will continue to increase our investment in community benefit, launch more frameworks with baked-in social value focus, and expand our regional engagement and influence across England, Scotland, and Wales

We will continue to collaborate with our clients and suppliers to turn procurement into a platform for progress, ensuring every pound spent brings lasting value to the people and places that need it most.

Public procurement is not just about contracts; it’s about communities. It’s not just about savings; it’s about impact.

Read our Social Impact Report

For more information on our Social Value Strategy, click here  

Social Impact Report LHCPG
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