--- title: "Economic Scenario Model (ESM)" ocid: "ocds-b5fd17-f948e66f-6525-412b-8bda-856f6410a64d" canonical_url: "https://d3tenders.com/contract/?ocid=ocds-b5fd17-f948e66f-6525-412b-8bda-856f6410a64d" markdown_url: "https://d3tenders.com/contract/ocds-b5fd17-f948e66f-6525-412b-8bda-856f6410a64d.md" json_url: "https://d3tenders.com/contract/ocds-b5fd17-f948e66f-6525-412b-8bda-856f6410a64d.json" source: "Contracts Finder" current_stage: "Award" buyer: "PENSION PROTECTION FUND" published: "2024-05-21" --- # Economic Scenario Model (ESM) Buyer: PENSION PROTECTION FUND Current stage: Award OCID: ocds-b5fd17-f948e66f-6525-412b-8bda-856f6410a64d [View canonical contract page](https://d3tenders.com/contract/?ocid=ocds-b5fd17-f948e66f-6525-412b-8bda-856f6410a64d) [Download OCDS JSON](https://d3tenders.com/contract/ocds-b5fd17-f948e66f-6525-412b-8bda-856f6410a64d.json) ## Summary The Pension Protection Fund (PPF) has awarded a contract for an Economic Scenario Model (ESM) to Ortec Finance Ltd. The contract, valued at £1,534,253, involves the procurement of a licence and associated services for a 60-month initial duration, extendable up to 96 months. The ESM will be used for assumption-generation and calibration of investment strategies, liabilities projection, and risk assessment. The procurement method was an open procedure, and the contract period spans from 2022 to 2027, with potential for further development and enhancements throughout the contract term. This tender for the Economic Scenario Model presents opportunities for businesses in the software package and information systems industry to engage with the Pension Protection Fund. Small and medium-sized enterprises (SMEs) and voluntary, community, and social enterprise (VCSE) organisations are particularly encouraged to participate. Businesses well-versed in providing IT solutions for financial modelling, asset management, and pension scheme analysis would be well-suited to compete. The PPF's evolving business needs and future requirements indicate potential for further collaborations and service enhancements throughout the contract period, creating avenues for business growth and innovation. ## Notice Update 21.05.24 - Section 1 contract value (ex VAT) updated in line with the now known expected spend on additional modules. The scope for additional modules and subsequent spend were included within the Invitation to Tender and Award Notices. The PPF procured a licence and associated services for an Economic Scenario Model (ESM) for use in assumption-generation for a range of medium and long-term modelling. The solution provides a real-world calibration of an appropriate timeframe, including outputs for a sufficiently broad range of asset classes given the investment strategy of the PPF and the pension schemes it protects. The outputs also facilitate the projection of the liabilities of the PPF and those of the pension schemes it protects. The contract awarded is for an initial duration of 60 months, with options to extend for up to three further 12 month terms. If the extensions are all exercised the total contract duration will be 96 months. If all extensions are executed the total final value is estimated to be PS1,115,410.02 + VAT. The PPF is a continuously developing business within a changing market and it is envisaged that there will be a future requirement for further components, modules or packages within the economic scenario model solution, including bespoke developments within the system which are reserved for the PPF's use only. It is fully envisaged that these components and modules will be developed over the life of the contract not only to reflect changes in the market, but also the PPF's strategy, including, but not limited to, changes in approach to the amount of business retained or brought in-house, the nature and size of the PPF's assets and liabilities and the PPF's approach to risk and return. This may require additional components and modules not currently listed, or development of the services themselves or existing services provided to the PPF which support or are supported by these services. It is further envisaged that additional software, including licences, may need to be developed to enhance the services, to increase efficiency and streamline the services, to increase the availability of the services in line with changes in the market, anticipated changes to the PPF's strategy over the life of the contract and changes in the nature and size of the PPF's assets and liabilities or to develop other services that support or are supported by these services. These additional services, systems, software and licences may result in price revision of the original contract and/or may significantly increase the fees paid in relation to these services over the life of the contract. The PPF makes no guarantee as to the nature and extent of such additional services, systems, software or licences. Note that the contract value stated above is the estimated value of the contract assuming all extension options are taken but does not include the cost of all potential additional services, systems, software and licences. ## Key Details | Field | Value | | --- | --- | | Publication source | Contracts Finder | | Latest notice | https://www.contractsfinder.service.gov.uk/Notice/b4bc6c06-70d6-4020-8a23-db590297c3db | | Notice type | Award Notice | | Procurement type | Standard | | Procurement category | Goods | | Procurement method | Open | | Procurement method details | Open procedure (above threshold) | | Tender suitability | SME, VCSE | | Awardee scale | Large | | All stages | Tender, Award | ## Dates | Field | Value | | --- | --- | | Publication date | 21 May 2024 | | Submission deadline | 14 May 2021 | | Future notice date | Not specified | | Award date | 26 Aug 2021 | | Contract period | 31 Jan 2022 - 30 Jan 2027 | | Recurrence | Not specified | ## Values | Field | Value | | --- | --- | | Tender value | £1,534,253 | | Lots value | Not specified | | Awards value | £1,534,253 | | Contracts value | Not specified | ## Status | Field | Value | | --- | --- | | Tender status | Complete | | Lots status | Not specified | | Awards status | Active | | Contracts status | Not specified | ## Buyer | Field | Value | | --- | --- | | Main buyer | PENSION PROTECTION FUND | | Locality | CROYDON | | Post town | Croydon | | Postcode | CR0 2NA | | Country | England | | ITL 1 | TLI London | | ITL 2 | TLI6 Outer London - South | | ITL 3 | TLI62 Croydon | | Local authority | Croydon | | Electoral ward | Fairfield | | Westminster constituency | Croydon West | | Delivery location | TLI London | ## Supplier | Field | Value | | --- | --- | | Number of suppliers | 1 | | Supplier names | ORTEC FINANCE | ## CPV Codes ### Divisions - 48 - Software package and information systems ### Codes - 48000000 - Software package and information systems ## Release History - 21 May 2024 at 15:48 - AwardUpdate - Award Notice - https://www.contractsfinder.service.gov.uk/Notice/b4bc6c06-70d6-4020-8a23-db590297c3db - 10 Mar 2022 at 09:29 - Award - Award Notice - https://www.contractsfinder.service.gov.uk/Notice/b4bc6c06-70d6-4020-8a23-db590297c3db - 14 Apr 2021 at 10:42 - Tender - Tender Notice - https://www.contractsfinder.service.gov.uk/Notice/5f418155-da82-4c6d-b0c0-bcfb605fd444 ## Documents - https://www.contractsfinder.service.gov.uk/Notice/b4bc6c06-70d6-4020-8a23-db590297c3db 21st May 2024 - Awarded contract notice on Contracts Finder - https://www.contractsfinder.service.gov.uk/Notice/5f418155-da82-4c6d-b0c0-bcfb605fd444 14th April 2021 - Opportunity notice on Contracts Finder ## Notice URLs - https://www.ppf.co.uk ## Provenance This Markdown file is an alternate public rendering of the D3 Tenders contract record. 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