Compliance & Governance

Gift Policy

Also known as: Gifts and hospitality policy

A gift policy sets the rules on whether, and how, staff may accept gifts or hospitality from suppliers to prevent undue influence over buying decisions.

Gifts and hospitality from suppliers can quietly bias procurement decisions, so most organisations regulate them. A gift policy typically bans cash, sets a low value threshold above which gifts must be declined or declared, requires a register of what is accepted, and prohibits anything offered around the time of a live tender or award.

The aim is not to forbid all courtesy but to remove any perception that an award was influenced by inducement. A clear, well-communicated gift policy protects both staff and the organisation, and forms part of a wider anti-bribery and code-of-ethics framework.

Example

A buyer offered event tickets by a bidder during an open tender would, under a typical gift policy, decline them and record the offer in the gift register.

Frequently asked questions

What is a gift policy in procurement?
A gift policy sets rules on accepting gifts or hospitality from suppliers — often banning cash, setting a declaration threshold and prohibiting gifts during live tenders — to prevent undue influence.
Why do procurement teams need a gift policy?
Because gifts can bias, or appear to bias, supplier selection. A clear policy protects the integrity of awards and supports anti-bribery compliance.

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