Tender

Financial Audit Services

NATIONAL ENERGY SYSTEM OPERATOR LIMITED

This public procurement record has 1 release in its history.

Tender

05 Mar 2025 at 16:39

Summary of the contracting process

The National Energy System Operator (NESO) is seeking comprehensive financial audit services with the title "Financial Audit Services" under the industry category of financial auditing services. This tender, initiated through a selective negotiation procedure with a prior call for competition, targets the entire UK with specific NESO sites across the country. The procurement stage is currently in the tender phase, with submissions due by 11th March 2025. Key dates include the invitation to the second stage of tendering on 1st April 2025. The procurement falls under the financial auditing services (CPV code 79212100) and is valued at GBP 5,000,000. The selected audit firm will ensure NESO's financial, performance, and regulatory operations are transparent, accountable, and efficient.

This tender presents a significant opportunity for businesses capable of providing high-standard financial audit services meeting ISSAI requirements. Ideal candidates would be audit firms experienced in verifying financial records according to IFRS standards, evaluating internal financial controls, and delivering comprehensive audit opinions. The contract entails interacting with senior leadership, attending high-level committee meetings, and producing annual reports, making it well-suited for firms with robust capabilities in financial audits and regulatory compliance. The procurement method suggests a competitive selection with a minimum of 5 and a maximum of 20 candidates to advance to the evaluation phase, offering growth potential for firms meeting these advanced criteria.

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Notice Title

Financial Audit Services

Notice Description

National Energy System Operator (NESO) makes sure that Great Britain has the essential energy it needs by ensuring supply meets demand every second of every day. The UK's 2023 Energy Act established an independent system planner and operator to help accelerate Great Britain's energy transition; creating NESO. NESO is built on our previous experience as the National Grid Electricity System Operator (ESO), where we had extensive expertise in balancing electricity supply and demand 24/7, whilst making sure the networks we operated and the markets we served were prepared for the future. NESO was sold by National Grid to the UK Government on 1st October 2024 , becoming a public sector organisation from this date. We require comprehensive financial audit services compliant with International Standards of Supreme Audit Institutions (ISSAI). The objective is to ensure NESO's financial, performance, and regulatory operations are conducted with transparency, accountability, and efficiency. This specification provides the framework for the required audit services, including scope, planning, reporting, accountability, and SLAs. Scope of Services The audit firm will be responsible for delivering the following detailed services: Financial Audit o Provide reasonable assurance over NESO's financial records in accordance with applicable accounting standards (IFRS ). o Verify that financial statements are free from material misstatements due to fraud, error, or irregularities. o Evaluate internal financial controls, focusing on risks associated with financial misreporting, operational inefficiencies, or compliance failures. o Provide an audit opinion on the true and fair representation of NESO's financial position, performance, and cash flow. o Conduct testing of key accounts to provide reasonable assurance over the financial assertions. o Update NESO leadership and Audit & Risk Committee (ARC) regarding relevant changes in legislation and regulation. o Report on external audit progress to NESO leadership, including attendance at bi-monthly ARC meetings and other board or committee meetings as required. o Provide guidance to NESO leadership in particular the Chief Financial Officer (CFO), chair of ARC, director of financial control, and the accounting & reporting lead on accounting and financial matters. o Liaise and coordinate with the CFO, director of financial control and accounting & reporting lead via a monthly progress meeting to ensure full exchange of information. o Produce an annual SOC1 report evaluating the effectiveness of NESO financial controls in relation to transmission revenue charging, for external distribution to UK transmission owners, including National Grid Electricity Transmission (NGET).

Lot Information

Lot 1

NESO was sold by National Grid to the UK Government on 1st October 2024 , becoming a public sector organisation from this date. We require comprehensive financial audit services compliant with International Standards of Supreme Audit Institutions (ISSAI). The objective is to ensure NESO's financial, performance, and regulatory operations are conducted with transparency, accountability, and efficiency. This specification provides the framework for the required audit services, including scope, planning, reporting, accountability, and SLAs. ________________________________________ 4. Scope of Services (Detailed) The audit firm is responsible for delivering the following detailed services: Financial Audit o Provide reasonable assurance over NESO's financial records in accordance with applicable accounting standards (IFRS ). o Verify that financial statements are free from material misstatements due to fraud, error, or irregularities. o Evaluate internal financial controls, focusing on risks associated with financial misreporting, operational inefficiencies, or compliance failures. o Provide an audit opinion on the true and fair representation of NESO's financial position, performance, and cash flow. o Conduct testing of key accounts to provide reasonable assurance over the financial assertions. o Update NESO leadership and Audit & Risk Committee (ARC) regarding relevant changes in legislation and regulation. o Report on external audit progress to NESO leadership, including attendance at bi-monthly ARC meetings and other board or committee meetings as required. o Provide guidance to NESO leadership in particular the Chief Financial Officer (CFO), chair of ARC, director of financial control, and the accounting & reporting lead on accounting and financial matters. o Liaise and coordinate with the CFO, director of financial control and accounting & reporting lead via a monthly progress meeting to ensure full exchange of information. o Produce an annual SOC1 report evaluating the effectiveness of NESO financial controls in relation to transmission revenue charging, for external distribution to UK transmission owners, including National Grid Electricity Transmission (NGET).

Options: Extension would be within the allowable regulations only

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-04e9e8
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/008106-2025
Current Stage
Tender
All Stages
Tender

Procurement Classification

Notice Type
Tender Notice
Procurement Type
Standard
Procurement Category
Services
Procurement Method
Selective
Procurement Method Details
Negotiated procedure with prior call for competition
Tender Suitability
Not specified
Awardee Scale
Not specified

Common Procurement Vocabulary (CPV)

CPV Divisions

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


CPV Codes

79212100 - Financial auditing services

Notice Value(s)

Tender Value
£5,000,000 £1M-£10M
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
Not specified

Notice Dates

Publication Date
5 Mar 202511 months ago
Submission Deadline
11 Mar 2025Expired
Future Notice Date
Not specified
Award Date
Not specified
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

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

Contracting Authority (Buyer)

Main Buyer
NATIONAL ENERGY SYSTEM OPERATOR LIMITED
Contact Name
Tennille Madigan
Contact Email
tennille.madigan@nationalenergyso.com
Contact Phone
+44 7795483583

Buyer Location

Locality
TOWN
Postcode
POSTC ODE
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

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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