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Price, costs and profit

SSRO guidance on price, profit and costs

The regulatory framework specifies how contracts that meet the requirements for being qualifying defence contracts (QDCs) or qualifying sub-contracts (QSCs) must be priced. The SSRO’s functions include giving guidance on each of this aspect of the regulatory framework and providing an annual assessment to the Secretary of State on the appropriate rates to use in determine contract profit. Our guidance plays an important role in supporting MOD personnel and contractors to apply the regulatory framework and realise the benefits the Act and Regulations seek to achieve.

The table below sets out the where to access the information you may need on each topic.

Topic Link
Determining whether a contractor’s costs meet the requirements to be allowable costs under a QDC or QSC Guidance on Allowable Costs
Determining the contract profit rate for a QDC or QSC Guidance on profit rate
Determining the price of a contract using an alternative pricing method Guidance on the alternative pricing of contracts

If you cannot find the information you are looking for or would like any further information, please contact the SSRO helpdesk by email at helpdesk@ssro.gov.uk or call 020 3771 4785.

Published 24 June 2024