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Partnering Agreement for Environmental and Street Scene Services

Gosport Borough Council

This public procurement record has 1 release in its history.

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15 Oct 2026 at 14:41

Award Notice
Summary of the contracting process

Gosport Borough Council’s environmental and street-scene services agreement covers household and other refuse collection, recycling, litter collection, street cleaning and toilet cleaning in Gosport. The agreed changes also make weed spraying a regular service, rather than work the Council could request when needed. Garden-waste collection remains part of the arrangement, with the contractor bearing the income risk. The changes adjust how garden-waste income, profit sharing and public-toilet maintenance costs are handled. The agreement also provides for a new lease of the Willmott Lane depot, with updated plant and site-use details. This is a broad municipal waste and environmental services requirement, combining regular collections with cleaning and grounds-related work.

The contract variation has been awarded to FCC Environment (UK) Limited, formerly the contractor Urbaser Limited, and the contract is active. The Council agreed to formalise a two-year extension from April 2026; the extension was not included in the original agreement. Its estimated value is £8.75 million. The contract was signed on 1 April 2026. The variation was made without prior publication of a competition, using the Council’s stated view that the changes are permitted modifications to the existing contract and are needed to maintain service continuity while it develops a longer-term solution. The original contract was awarded in 2011 following a public procurement exercise. The original procurement used price as its award criterion; no new competitive evaluation took place for this variation.

A credible competitor for a future requirement would need to deliver an integrated local-authority service spanning refuse and recycling collections, litter and street cleaning, public-toilet cleaning and weed spraying. The established arrangement includes garden-waste collections and a depot-based operating model, so experience managing collection routes, vehicles, site operations and resident-facing services would be relevant. Suppliers would also need the capacity to sustain several connected services and manage commercial risks such as garden-waste income, alongside changing waste legislation and operational requirements. The Council has relied on an incumbent arrangement to maintain continuity while working towards a longer-term solution. The scale and breadth of the services point to a need for proven municipal delivery capability, not a specialist supplier focused on one isolated cleaning or collection task.

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Notice Information

Notice Title

Partnering Agreement for Environmental and Street Scene Services

Notice Description

Gosport Borough Council (the Council) awarded a Partnering Agreement for Environmental and Street Scene Services to Urbaser Limited (the Contractor) on 1 April 2011 (the Contract). The Contract was guaranteed by Urbaser S.A.U and provided for a maximum term of 15 years with an estimated value of PS2.6M for the provision of waste and recycling collections as well as street and toilet cleaning activities. The Contract was awarded following the conclusion of a public procurement exercise ran under the Public Contracts Regulation 2006. In March 2024, the Contractor notified the Council that it sold its entire issued share capital of the Contractor by the original guarantor to FCC Environment (UK) Limited (02902416) and requested consent from the Council to novate the guarantee to FCC, which the Council gave. In November 2024, the Contractor changed its name to FCC Waste Management Limited (company number 03588422). The Council intends to vary the Contract (as described in this notice) which will take place no earlier than the expiry of 10 days from the publication of this notice.

Lot Information

Lot 1

Continued from II.1.4 The Council intends to enter into a deed of variation with FCC for the purpose of making the following changes to the Contract: * Extension to the duration of the Contract by a term of 2 years with an estimated value of PS8.75M. This extension was not originally provided for in the Contract; * Incorporate the guarantor as a party to the deed of variation to recognise that these changes are already captured by the existing guarantee as part of the original Contract; * As a consequential change to the deed of variation, the existing lease between the Council and the Contractor for the Willmott Lane depot will expire. The Council will therefore put in place a new lease for a term of two years (to align with the extended term of the Contract) in substantially the same form as the original lease but with an updated plant to reflect the practical boundary/use of the site. Additional information: Continued from II.2.4. * FCC's garden waste income (minus expenditure) has been included for reporting purposes into the main contract sum before margin/profit calculated to reflect income received. Collection of garden waste income from residents remains an FCC risk; * FCC's payment to the Council to reflect "guaranteed garden waste income" has been removed as an expenditure prior to any profit being shared by the parties. Concept of profit share between the parties remains but figure changed as below. * Exceptional profit share amended with the Council taking a greater percentage of any overspend but receiving an equivalent higher percentage of any savings to reflect extension. * The Council's variable profit annual payment to FCC has been removed which has an estimated value of PS25,000 per annum; * Adding weed spraying into the Specification as a service to be provided rather than one which the Council could request if required. This has an estimated value of PS60,000 per annum within the main contract sum instead of being pad as part of Ad Hoc Works to reflect reality this is always required. * Reducing liability for both the Council and FCC in respect of Interior Maintenance and Repair of Public Toilet Buildings which represents a reduced spend of PS45,000 per annum; The value in II.1.7 refers to the estimated value over the further, 2 year term of the Contract.

Procurement Information

The Council is facing a number of challenges around new waste legislation (in particular Simpler Re-cycling and EPR), the need for a new depot site and long run-in times for refuse equipment. An extension to the term of the existing Contract is the most viable option to maintain continuity of a key public service. The Council is part of the Hampshire Project Integration but the other parties are yet to finalise their needs. The existing Contract with Urbaser Ltd (now FCC Waste Management Ltd) commenced on 1 April 2011 and was due to expire in March 2026. The Contract has been provisionally extended by informal agreement and the parties now intend to formalise the extension by 2 years from April 2026 (estimated value of PS8.75M). This extension was not originally provided for in the Contract. As part of the extension, the Council proposes to make further modifications as more particularly described in Section II above. In the Council's reasonable opinion, the modifications are not material and reflect the practical operation of the Contract and, in places, reduce certain costs to the Council. The total actual spend under the original Contract over the 15 year term was PS41M. The increase as against the original estimated value arose due to unexpected increases in waste volumes over the term, growth in households served, market inflation, and changes to operational requirements, which were not foreseen when the initial award was made. The estimated cost of the proposed two-year extension taken together with the other modifications described above is PS8.75M. The proposed extension is intended to provide sufficient time to allow the Council to finalise its requirements for a long-term solution and to undertake a competitive tendering exercise for a long-term successor in accordance with the Procurement Act 2023. The Council considers that the proposed modifications are permitted in accordance with Regulation 72(1)(e) of the Public Contracts Regulations 2015 (PCR). Under Regulation 72(8)(a), the modifications will not render the Contract materially different in character as there is no material change to the services to be provided for the extension period. The modifications are an extension of term only and minor clarifications to the service/payment made to reflect actual operation. Under Regulation 72(8)(b), the Council does not consider that the modifications introduce conditions which would have (i) allowed for the admission of other candidates, (ii) allowed for the acceptance of a tender other than that originally accepted, or (iii) attracted additional participants in the procedure. The key effects of the modifications are to extend the term of the Contract by 2 years and in the context of a 15 year contract the Council does not consider there would have been any change to the outcome of the original procurement. Under Regulation 72(8)(c), the modifications will not materially change any of the core commercial terms of the Contract, and there will be no change to the economic balance of the contract. The modifications do not extend the scope of the Contract considerably within the meaning of Regulation 72(8)(d). No material change is proposed to the nature or quantity of the works and services to be provided. Regulation 72(8)(e) of the PCR is not engaged.

Notice Details

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-0788a8
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/097541-2026
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
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

90 - Sewage, refuse, cleaning and environmental services

CPV Codes

90500000 - Refuse and waste related services

90511100 - Urban solid-refuse collection services

90511200 - Household-refuse collection services

90511300 - Litter collection services

90610000 - Street-cleaning and sweeping services

90680000 - Beach cleaning services

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
£8,750,000 £1M-£10M

Notice Dates

Publication Date
15 Oct 20261 weeks ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
Not specified
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

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

Buyer & Supplier

Contracting Authority (Buyer)

Main Buyer
Gosport Borough Council
Contact Name
Available with D3 Tenders Premium →
Contact Email
Available with D3 Tenders Premium →
Contact Phone
Available with D3 Tenders Premium →

Buyer Location

Locality
GOSPORT
Postcode
PO12 1EB
Postcode Area
Portsmouth
Country
England
Major Region (ITL 1)
TLJ South East (England)
Basic Region (ITL 2)
TLJ3 Hampshire and Isle of Wight
Small Region (ITL 3)
TLJ35 South Hampshire
Delivery Location
Not specified
Local Authority
Gosport
Electoral Ward
Harbourside & Town
Westminster Constituency
Gosport

Supplier Information

Number of Suppliers
1
Supplier Name

FCC Environment (UK) Limited

Further Information

Open Contracting Data Standard (OCDS)

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