Award

Deed of Variation of Leisure and Active Communities Contract- Agency Model

NORTH HERTFORDSHIRE DISTRICT COUNCIL

This public procurement record has 1 release in its history.

Award

02 Apr 2025 at 16:11

Summary of the contracting process

North Hertfordshire District Council has completed the procurement process for a "Deed of Variation of Leisure and Active Communities Contract- Agency Model" in the industry category of sports facilities operation services. Located in the UKH23 region, this procurement falls under the services category and is designed to modify the legal structure of the existing contract with Sports and Leisure Management Ltd (Everyone Active). The variation aims to achieve VAT efficiency and improve financial returns by establishing an agency model, with the Council acting as the principal and the contractor as its agent. The contract is valued at £158,889,251 and was signed on 3 January 2024, with the procurement method employed being an award procedure without prior publication of a call for competition, as allowed under Regulation 72(1)(e) of the Public Contracts Regulations 2015.

This tender presents significant opportunities for businesses in the sports and leisure management sector, especially those experienced in similar service delivery models. Companies that can offer innovative financial management and operational efficiency could benefit from this project, with the guaranteed additional financial surplus being a notable incentive. Small and medium-sized enterprises (SMEs) in the sport-related services industry may find this an ideal opportunity to expand their portfolio and demonstrate their expertise in managing leisure facilities under a principal-agent structure. This procurement modification ensures continued delivery of unchanged services, making it suitable for businesses seeking stable and consistent project scopes.

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Notice Title

Deed of Variation of Leisure and Active Communities Contract- Agency Model

Notice Description

North Hertfordshire District Council intends to vary its existing contract with Sports and Leisure Management Ltd (Everyone Active) to implement an agency model for the delivery of leisure services. Under the revised arrangement, the contractor will act as agent and the Council as principal. The services, facilities, and scope of provision remain unchanged. The purpose is to achieve VAT efficiency and consequently deliver improved financial returns . The contractor will guarantee an additional financial surplus to the Council, which is index-linked,

Lot Information

Lot 1

The modification is strictly limited to restructuring the legal relationship to establish an agency model. All services, facilities, and outputs remain as originally contracted.

Procurement Information

Contract modification without prior publication - Regulation 72(1)(e), Public Contracts Regulations 2015 The Council proposes to vary its existing leisure services contract with Sports and Leisure Management Limited (Everyone Active) to implement an agency model. This variation is made in reliance on Regulation 72(1)(e) of the Public Contracts Regulations 2015. The Council has assessed that this modification does not constitute a substantial change for the purposes of Regulation 72(8), for the following reasons: * The services delivered to the public remain unchanged, and the contract continues to apply to the same facilities and scope. * The change relates solely to the contractual structure - establishing the Council as principal and the contractor as its agent. * The contractor remains the same. Any subcontracting to a charitable trust within the contractor's group is within the scope of existing permissions. * The modification does not shift the economic balance in favour of the contractor. The contractor guarantees an additional financial return and assumes risk of HMRC non-acceptance. * The Council retains full legal and operational control, ensuring compliance with public law and vires principles. * The modification is strictly limited to what is necessary to implement the agency structure. There is no alteration to the evaluation criteria or outcome of the original competition. This VTN/ VEAT notice is published pursuant to Regulation 99(3) of the Public Contracts Regulations 2015. A 10-day standstill period will be observed before execution of the Deed of Variation.

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-04fc45
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/012630-2025
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
Award Notice
Procurement Type
Standard
Procurement Category
Services
Procurement Method
Limited
Procurement Method Details
Award procedure without prior publication of a call for competition
Tender Suitability
Not specified
Awardee Scale
SME

Common Procurement Vocabulary (CPV)

CPV Divisions

92 - Recreational, cultural and sporting services


CPV Codes

92610000 - Sports facilities operation services

92620000 - Sport-related services

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
£158,889,251 £100M-£1B

Notice Dates

Publication Date
2 Apr 202510 months ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
3 Jan 20242 years ago
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

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

Contracting Authority (Buyer)

Main Buyer
NORTH HERTFORDSHIRE DISTRICT COUNCIL
Contact Name
Procurement Team
Contact Email
procurement.team@north-herts.gov.uk
Contact Phone
+44 1462474392

Buyer Location

Locality
LETCHWORTH GARDEN CITY
Postcode
SG6 3JF
Post Town
Stevenage
Country
England

Major Region (ITL 1)
TLH East (England)
Basic Region (ITL 2)
TLH2 Bedfordshire and Hertfordshire
Small Region (ITL 3)
TLH26 North and East Hertfordshire
Delivery Location
TLH23 Hertfordshire CC

Local Authority
North Hertfordshire
Electoral Ward
Letchworth South West
Westminster Constituency
North East Hertfordshire

Supplier Information

Number of Suppliers
1
Supplier Name

SPORTS AND LEISURE MANAGEMENT LIMITED (EVERYONE ACTIVE

Open Contracting Data Standard (OCDS)

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