Award

Price Review 2024 - Supplementary Support

WATER SERVICES REGULATION AUTHORITY (OFWAT)

This public procurement record has 5 releases in its history.

Award

15 Aug 2023 at 10:33

Award

14 Apr 2023 at 09:03

TenderUpdate

28 Nov 2022 at 12:59

TenderUpdate

24 Oct 2022 at 10:32

Tender

21 Oct 2022 at 15:05

Summary of the contracting process

The Water Services Regulation Authority (Ofwat) is seeking a Delivery Partner for the 2024 Price Review to provide additional capacity to support the delivery of the review through various technical skillsets. The contract will be awarded through a negotiated procedure without prior publication. Two suppliers, Grant Thornton UK LLP and PA Consulting Limited, will be awarded separate contracts with a capped value of GBP 1 million each. The contract is intended to start in September 2023 and conclude by January 2025.

This tender provides an opportunity for financial consultancy services to compete for contracts in the services category. Businesses with expertise in risk and return, financial modelling, data governance, and customer procurement are well-suited to participate. The procurement method is limited, and the contract will be awarded under extreme urgency circumstances. The key dates include the contract start in September 2023 and completion by January 2025, with GBP 1 million cap value for each supplier.

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Notice Title

Price Review 2024 - Supplementary Support

Notice Description

This Voluntary Ex-Ante Transparency (VEAT) relates the intention to award of a contract to provide additional capacity to support the delivery of the Price Review (PR24), through the provision of flexible access to high quality resources across a range of technical skillsets within the scope of the following workstreams: Risk and return / cost of capital; Financial modelling; Data governance and modelling coordination; Direct procurement for customers; Costs; Outcomes and Leadership/ Coordination. The contract shall be awarded under Regulation 32 as Ofwat intends to award this public contract following the negotiated procedure without prior publication of a contract notice. Justification of this intention together with full details of the intended contract are included within sections II.2.4 and IV.1.1 of this notice.

Lot Information

Lot 1

This is a VEAT notice and relates to Award notice reference 2022/S 000-029817 for the Delivery Partner for Price Review 2024. It is the intention to award a separate contract to two suppliers - Grant Thornton UK LLP and PA Consulting Limited. The contracts will be used on a need only basis to respond to changing requirements throughout the period of the contract, in particular for those projects where the existing Delivery Partner contract for PR24 may be unable to fulfil the requirement. The contract is intended to commence in September 2023 (subject to final agreement) and any required services shall complete by January 2025. The contract shall be capped to a value of GBP 1m ex VAT (GPB 1,200,00 incl VAT) for each supplier.

Renewal: The contract may need to be modified / extended in the case of appeals to PR24.

Procurement Information

We placed a Contract Notice via the Find a Tender Service (FTS) in December 2022 for the original services. Following an Open procedure, we received bids from 3 consortia, led by Grant Thornton UK LLP, PricewaterhouseCoopers LLP and PA Consulting Ltd. PricewaterhouseCoopers LLP was awarded the contract as the highest scoring bidder. Separate to the original contract award, additional capacity is required. This is a matter of strict necessity brought about by the following circumstances, all which were not foreseeable as follows: - In April 2023 after the tender process concluded, Ofwat secured approval from HMT to increase the size of its budget to enable delivery of additional regulatory work on behalf of customers and the environment. The scale of work required under a number of areas - including PR24 where infrastructure investment will be larger than previous price reviews - has increased as a result. - The need for Ofwat to have access to a wide range of advisors with the relevant capability and capacity and who are in a position to provide that support to Ofwat independently. To address this, Ofwat is undergoing a period of growth in its in-house capacity and further procurement to bolster its access to third party support. However, this will not be fully completed in time to for the Price Review process. Business Plans are received in October 2023 and we do not have sufficient time to retender for potential additional capacity to ensure the successful Delivery of PR24, including time for the necessary onboarding. To ensure successful delivery of PR24 we require flexible access to high quality resources across a range of technical skillsets. Therefore, it is the intention to award a contract to the two unsuccessful lead bidders from the original Open Procedure who also demonstrated access to these resources, along with their ability to deliver and to ensure best quality outcomes. The contracts will be used on a need only basis, in particular for those projects where the existing Delivery Partner contract may be unable to fulfil the requirement and for services of a lower value, up to a capped valued of GBP 1m +VAT for each supplier. It is our intention to adopt the original advantageous terms specified in the original tender process to ensure value for money. We welcome any questions or comments regarding this VEAT notice during the prescribed period - please contact the Ofwat procurement team at procurement@ofwat.gov.uk

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-037809
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/023846-2023
Current Stage
Award
All Stages
Tender, Award

Procurement Classification

Notice Type
Tender Notice
Procurement Type
Standard
Procurement Category
Services
Procurement Method
Limited
Procurement Method Details
Negotiated without publication of a contract notice
Tender Suitability
Not specified
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

66 - Financial and insurance services


CPV Codes

66171000 - Financial consultancy services

Notice Value(s)

Tender Value
£10,000,000 £10M-£100M
Lots Value
£10,000,000 £10M-£100M
Awards Value
Not specified
Contracts Value
£9,533,333 £1M-£10M

Notice Dates

Publication Date
15 Aug 20232 years ago
Submission Deadline
6 Jan 2023Expired
Future Notice Date
Not specified
Award Date
29 Mar 20232 years ago
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

Tender Status
Complete
Lots Status
Cancelled
Awards Status
Active
Contracts Status
Active

Contracting Authority (Buyer)

Main Buyer
WATER SERVICES REGULATION AUTHORITY (OFWAT)
Contact Name
Jamila Hinds-King, Marek Hammond
Contact Email
jamila.king@ofwat.gov.uk, marek.hammond@ofwat.gov.uk
Contact Phone
+44 1216447500, +44 1216447534

Buyer Location

Locality
BIRMINGHAM
Postcode
B5 4UA
Post Town
Birmingham
Country
England

Major Region (ITL 1)
TLG West Midlands (England)
Basic Region (ITL 2)
TLG3 West Midlands
Small Region (ITL 3)
TLG31 Birmingham
Delivery Location
TLG31 Birmingham, TLI3 Inner London - West, TLI51 Bexley and Greenwich

Local Authority
Birmingham
Electoral Ward
Ladywood
Westminster Constituency
Birmingham Ladywood

Supplier Information

Number of Suppliers
3
Supplier Names

GRANT THORNTON

PA CONSULTING SERVICES

PRICEWATERHOUSE COOPERS LLP (PWC

Open Contracting Data Standard (OCDS)

View full OCDS Record for this contracting process

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The Open Contracting Data Standard (OCDS) is a framework designed to increase transparency and access to public procurement data in the public sector. It is widely used by governments and organisations worldwide to report on procurement processes and contracts.

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