We provide statutory oversight and regulation of single-source defence contracts
The Single Source Regulations Office (SSRO) oversees the regulatory framework for single source (non-competitive) defence contracts, which places pricing controls on qualifying contracts and requires transparency on the part of defence contractors.
Our purpose is to support and improve the operation of the regulatory framework and to assist the organisations who must apply it to do so as effectively as possible.
Through the delivery of our statutory functions we aim to ensure that good value for money is obtained in government expenditure on qualifying defence contracts and that contractors are paid a fair and reasonable price under those contracts.
The SSRO plays a key role in supporting the regulatory framework for single source defence contracts established by Part 2 of the Defence Reform Act 2014 (the Act) and the Single Source Contract Regulations 2014 (the Regulations). We aim to provide the SSRO’s stakeholders with an overview of the guidance the SSRO issues for use by the Secretary of State for Defence and the parties to contracts which are regulated under this framework. The guidance overview sets out:
- the guidance the SSRO provides and the basis for doing so;
- how we develop and review our guidance, including how we engage with stakeholders to ensure our guidance is fit for purpose;
- how we promote understanding of our guidance; and
- how we measure our performance in providing guidance to inform ongoing improvements in our approach.
The Defence Contract Analysis and Reporting System (DefCARS) allows contractors to meet the reporting requirements for contract and supplier reports.
DefCARS is an online, web-enabled system which facilitates submission of statutory reports to the SSRO and MOD. When preparing reports, contractors must have regard to guidance issued by the SSRO.
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 determining contract profit. Our guidance plays an important role in supporting MOD contracting staff and contractors to apply the regulatory framework and realise the benefits the Act and Regulations seek to achieve.
The SSRO provides support to the MOD and defence contractors in relation to the regulatory framework. The SSRO’s support is designed to:
- inform people about the regulatory framework, the role of the SSRO and aspects of its work, such as guidance, compliance reviews and referrals;
- assist contractors to submit reports required under the regulatory framework and apply the SSRO’s guidance; and
- help the MOD and contractors to use the Defence Contracts Analysis and Reporting System (DefCARS).
Our helpdesk operates from 9am to 5pm Monday to Friday, excluding UK bank holidays. It can be contacted on 020 3771 4785 or by email at helpdesk@ssro.gov.uk. We can also arrange online video calls via Microsoft Teams.
We answer most helpdesk queries within 1 or 2 working days and aim to respond to all queries within a maximum of 5 working days.
The SSRO may be asked to give a formal opinion or make a legally binding determination on matters related to the regulatory framework for single source defence contracts in circumstances set out in the Defence Reform Act 2014 and Single Source Contract Regulations 2014.
The SSRO has published guides to the procedures it will follow when giving an opinion or making a determination on matters referred to it. The guidance for each type of referral provides details of:
- the requirements for making a referral to the SSRO;
- the criteria that the SSRO will apply to determine whether to accept a referral;
- the process the SSRO follows at each stage when giving an opinion or making a determination; and
- the roles and expectations of all parties throughout the process.
Anyone intending to make a referral to the SSRO should contact us via referrals@ssro.gov.uk or 020 3771 4785 to discuss the requirements for referrals.
A party seeking an opinion or determination from the SSRO may find it helpful to complete the SSRO’s Referral submission template.
Featured
View all
March 13, 2026
The Secretary of State for Defence has today (13 March 2026) confirmed the baseline profit rate that will apply for 2026/27, which will be used as the first-step in the process for agreeing the contract profit rate on critical defence contracts awarded by the Ministry of Defence (MOD) in the absence of a competitive process. […]
February 12, 2026
The SSRO’s approach to overseeing the regulatory framework for single source defence contracts is grounded in the principle of being a responsive and supportive regulator. By providing clear and accessible guidance on the regulatory framework, the SSRO helps the parties to non-competitive contracts to understand what is expected of them and safeguards value for money […]
November 12, 2025
The SSRO is consulting on planned updates to the compliance and review methodology. The proposals include: aligning our key performance indicators to the SSRO’s Corporate Plan 2025-2026; clarifying our report review priorities depending on resource availability; and providing more flexibility for when the SSRO may raise issues on reports. We believe our proposed updates specifically […]
November 6, 2025
We have published a refreshed Stakeholder Engagement Strategy (the ‘Strategy’) to help shape and coordinate the SSRO’s different engagement activities, ensuring they contribute to the delivery of its statutory functions and strategic aims. Successful engagement is fundamental to the SSRO’s evidence-based approach to its work, and we continuously seek to improve how we undertake our […]
October 7, 2025
The BPR is the starting point for the agreement of contract profit rates and is 8.56 per cent for 2025/26. The BPR has been applied to contracts worth over £124 billion since April 2015. The BPR is only the first in a series of steps used by the contracting parties to derive the contract profit […]
October 3, 2025
The SSRO is seeking feedback on its new guidance for both contractors and the Ministry of Defence to support flexible, transparent and efficient amendment of the price of single source contracts. Most UK defence contracts awarded without competition fall under the Single Source Regulatory Framework, which aims to ensure fair pricing and value for money […]
Latest News
View all
March 13, 2026
The Secretary of State for Defence has today (13 March 2026) confirmed the baseline profit rate that will apply for 2026/27, which will be used as the first-step in the process for agreeing the contract profit rate on critical defence contracts awarded by the Ministry of Defence (MOD) in the absence of a competitive process. […]
February 12, 2026
The SSRO’s approach to overseeing the regulatory framework for single source defence contracts is grounded in the principle of being a responsive and supportive regulator. By providing clear and accessible guidance on the regulatory framework, the SSRO helps the parties to non-competitive contracts to understand what is expected of them and safeguards value for money […]
January 21, 2026
The SSRO will hold its first teach-in session of 2026 on 4 February, focusing on how the regulatory framework for non-competed defence contracts applies to qualifying sub-contracts (QSCs). The training will run from 2.30pm to 4.00pm (GMT), via Microsoft Teams. The SSRO’s teach-in programme is informed by feedback from the Ministry of Defence (MOD) and […]
November 6, 2025
Introduction from John Russell, Chief Executive, SSRO SSRO publications It remains the SSRO’s duty in carrying out our functions to aim to secure value for money for the taxpayer and fair and reasonable prices for suppliers on single source defence contracts. We pursue these twin aims by providing independent advice, guidance, and robust analysis. The […]
October 7, 2025
The BPR is the starting point for the agreement of contract profit rates and is 8.56 per cent for 2025/26. The BPR has been applied to contracts worth over £124 billion since April 2015. The BPR is only the first in a series of steps used by the contracting parties to derive the contract profit […]
October 3, 2025
The SSRO is seeking feedback on its new guidance for both contractors and the Ministry of Defence to support flexible, transparent and efficient amendment of the price of single source contracts. Most UK defence contracts awarded without competition fall under the Single Source Regulatory Framework, which aims to ensure fair pricing and value for money […]
SSRO Helpdesk
The helpdesk is the point of contact within the SSRO where parties to qualifying defence contracts or qualifying sub-contracts can ask for clarification, advice or seek further information on all issues related to the work of the SSRO and its statutory functions.
helpdesk@ssro.gov.uk020 3771 4785