EU Public Procurement Thresholds: What Changes from 1 January 2026?

New EU thresholds for public contracts from 1 January 2026: updated values and implications for contracting authorities

EU procurement thresholds set the financial limits above which contracting authorities must apply standard procedures, such as the open procedure. They play a crucial role in determining how award procedures are conducted, ensuring transparency, competition and consistency across Member States. These thresholds are updated every two years (on 1 January of even-numbered years) according to a mathematical formula laid down in the EU Directives. The mechanism is based on economic indicators and price trends, with the aim of maintaining alignment across national markets within the European Union. Under the Commission Delegated Regulation of 22 October 2025 – applicable from 1 January 2026 – the European Commission has established the following adjustments:1. For works contracts, the threshold decreases from €5,538,000 to €5,404,000. This slight reduction reflects the ongoing trend of aligning limits with actual international market values.2. For supplies and services, the threshold is reduced from €143,000 to €140,000. While the change is marginal, it remains relevant for municipalities, provinces, regions and metropolitan cities when structuring tender procedures.3. For social and other specific services, the threshold falls from €221,000 to €216,000, applying to a broad range of services subject to a lighter procedural regime than standard public contracts. The adjustments are minimal and do not introduce substantial operational changes for contracting authorities. The overall framework therefore remains unchanged – a framework many operators still regard as complex, particularly given the obligation to adopt more structured procedures when the threshold is exceeded, even by a small margin. Looking ahead, 2026 may prove to be a turning point, with new EU procurement directives expected to be published. These could pave the way for a revised Public Contracts Code and a potential overhaul of the threshold calculation mechanism, which is currently perceived as lacking flexibility. Until then, contracting authorities will continue to operate within the existing regulatory framework, with no significant simplification of procedures in sight. For further details:European Commission Delegated Regulation of 22 October 2025.