The NHS is committed to a 2030 Carbon Reduction Plan, which applies to the commissioning of goods, works and services (including pharmaceuticals and healthcare services) by in-scope organisations. In-scope organisations are defined as NHS organisations as well as organisations acting on their behalf.
From April 2024, a tiered approach to Net Zero plan requirements applies as follows:
- For procurements of high value (above £5m per annum exc. VAT), a full Carbon Reduction Plan is required, and new frameworks operated by in-scope organisations, irrespective of the value of the contract, where relevant and proportionate to the framework.
- For procurements of lower value (above £10k exc. VAT but below £5m exc. VAT) a Net Zero Commitment, is required.
For procurements below the relevant PCR (Public Contract Regulations) threshold
- From 1 April 2026, the Net Zero Commitment requirement will be extended to all new procurements below the relevant PCR threshold. The extension of the policy to procurements below the relevant PCR threshold will be reviewed prior to 1 April 2026 following the implementation of the 2024 requirements.
In short, any business with a contract with the NHS, be they a Dentist, GP Surgery, Contract Cleaner, Printing Company, Workwear Supplier or Care Home, and possibly sub-suppliers/contractors to these contractors. The Contractor is to ensure their supply chain suppliers/subcontractors are also taking actions to reduce their emissions, and this information will be required within a contract submission.
This information includes
- upstream transportation and distribution
- waste generated in operations
- business travel
- employee commuting; and
- downstream transportation and distribution
- reporting emissions levels
- maintaining a public-facing reduction record on a Contractors website
Many current main contractors and suppliers still have to create their net zero plans or net zero commitment to conform with the NHS requirement for a new or subsequent contract. Depending on the value of their contract will determine the level of depth of plan needed.
The Chamber Low Carbon Team has been out on the ground in Fylde, providing assistance to all businesses as part of the UK SPF delivery partnering with Fylde Council. They are also offering Fylde NHS suppliers, and those wishing to supply the NHS, with FREE support to compile their plans and commitments.
If you are unsure as to where you sit within the NHS supply chain and what you may, or may not be required to do, please complete the form below and Fylde Council will send your details to the Chamber Team who will contact you as a matter of urgency.