Award

Extension to Soft FM Services - North (Cluster) - Modification Notice

MINISTRY OF JUSTICE

This public procurement record has 1 release in its history.

AwardUpdate

30 Oct 2024 at 13:40

Summary of the contracting process

The Ministry of Justice (MoJ) has announced a contract extension for Soft Facilities Management (FM) Services in the North of the UK. This contract, initially signed on 20 November 2017 and set to end in March 2026, will now be extended until 30 September 2026. The extension, valued at GBP 175,500,600, ensures continuity of critical services while the MoJ transitions to a new delivery model under the Property Transformation Programme (PTP). This procurement stage is currently at the contract award and modification notice phase, highlighting a 6-month extension due to the complexity and scope of the existing services and the anticipated delays from the upcoming general election. The services fall within the industry category of Building and facilities management services (CPV code 79993000) and are provided by Sodexo Ltd, covering various operational sites across the UK.

This tender extension creates significant opportunities for businesses involved in facilities management, particularly those that can navigate the complexities of large-scale service delivery. With the upcoming PTP competitions in November 2024, business growth is attainable for suppliers registered under the Crown Commercial Service (CCS) framework RM6232 for Total Facilities Management (TFM) contracts and those interested in Workplace Services Management (WSM) through competitive procedures. Companies specialising in maintaining operational consistency in critical public services, handling vetted workforce and supply chains, and those capable of adapting to new procurement models are well-suited to compete in this evolving landscape.

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Notice Title

Extension to Soft FM Services - North (Cluster) - Modification Notice

Notice Description

Lot Information

Provision of Soft Facilities Management Services (North)

6 month extension for additional services as set out VII.2.1

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-04b292
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/035170-2024
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
Award Notice
Procurement Type
Standard
Procurement Category
Services
Procurement Method
Not Specified
Procurement Method Details
Not specified
Tender Suitability
Not specified
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

79 - Business services: law, marketing, consulting, recruitment, printing and security


CPV Codes

79993000 - Building and facilities management services

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
£175,500,600 £100M-£1B

Notice Dates

Publication Date
30 Oct 20241 years ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
20 Nov 20178 years ago
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

Tender Status
Not Specified
Lots Status
Not Specified
Awards Status
Active
Contracts Status
Active

Contracting Authority (Buyer)

Main Buyer
MINISTRY OF JUSTICE
Contact Name
Not specified
Contact Email
ccmdmojcluster@justice.gov.uk
Contact Phone
+44 02033343555

Buyer Location

Locality
LONDON
Postcode
N/A
Post Town
Not specified
Country
Not specified

Major Region (ITL 1)
Not specified
Basic Region (ITL 2)
Not specified
Small Region (ITL 3)
Not specified
Delivery Location
Not specified

Local Authority
Not specified
Electoral Ward
Not specified
Westminster Constituency
Not specified

Supplier Information

Number of Suppliers
1
Supplier Name

SODEXO

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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                    "description": "The MoJ intends to implement a new delivery model for the future provision of facilities management services across the MoJ estate. This new model will be delivered via the Property Transformation Programme (PTP). This programme includes those services currently being provided under this contract and the PTP procurement processes are due to be launched in November 24. Given the size and complexity of PTP and delays as a result of the General Election, PTP will not be mobilised until late 2026. The MoJ has therefore determined that it is necessary to extend the existing contract by 6 months from March 2026 to September 2026 to ensure continuity of critical services whilst the PTP procurement processes can conclude. This notice relates to the modification of a contract in accordance with regulation 72(1)(b) PCR. Additional services by the original contractor have become necessary. A change of contractor cannot be made for economic or technical reasons such as requirements of interoperability with existing services and a change of contractor would cause significant inconvenience and substantial duplication of costs for MoJ. The additional services refer to the continued provision of services by the original contractor over the extension period. These additional services are necessary to enable continued service provision and also to prepare for service transition to a new provider(s) to be appointed under the PTP procurement processes referred to above. For various reasons, as set out below it would not be possible to run a procurement for a new contractor to provide these services over a 6-month period. The FM services to be supplied are complex, deliver in live operational sites and require a vetted workforce and supply chain. Although alternative suppliers exist for FM services in general, it would not be feasible for MoJ to competitively procure and successfully mobilise a new contract with an alternative supplier to the existing contractor Mitie/Kier/OCS/Sodexo in advance of the anticipated transition to PTP. Both the demobilisation of the existing contract, and mobilisation phases of a replacement contract are lengthy. Anticipated mobilisation periods for new contracts as a result of the PTP processes start at a minimum of 120 days. For such a short extension there would be insufficient time to mobilise a new supplier, transfer staff, embed new processes and then move to a steady state service. This would account for a disproportionate amount of time relative to the length of the extended service required. In addition, given the commencement of mobilisation for new contracts awarded under the PTP procurement process would begin prior to the start of any new contract for a 6 month additional service period, it would mean that mobilisation activity would be happening concurrently. This is therefore not feasible. This is particularly the case given the complexities associated with mobilisation and the risk of disruption to critical public services during any mobilisation period. In addition, any change in contractor would cause a substantial duplication of costs for a short continuation of services. This would include the duplication of costs associated with the preparation and transfer of staff and assets as well as the establishment of new processes and IT systems through those demobilisation and mobilisation phases. The increase in price as a result of the extension is less than 50% of the original contract value. The extension was entered into on 26/9/24. ...continued below at 2.2...",
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