---
title: "Payment Exception Service - Amended Notice"
ocid: "ocds-h6vhtk-056964"
canonical_url: "https://d3tenders.com/contract/?ocid=ocds-h6vhtk-056964"
markdown_url: "https://d3tenders.com/contract/ocds-h6vhtk-056964.md"
json_url: "https://d3tenders.com/contract/ocds-h6vhtk-056964.json"
source: "Find A Tender Service"
current_stage: "Tender"
buyer: "DEPARTMENT FOR WORK & PENSIONS"
published: "2025-10-23"
---

# Payment Exception Service - Amended Notice

Buyer: DEPARTMENT FOR WORK & PENSIONS  
Current stage: Tender  
OCID: ocds-h6vhtk-056964

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## Summary

The Department for Work & Pensions (DWP) in the United Kingdom is currently in the tender stage for a project titled "Payment Exception Service - Amended Notice," aimed at the financial and insurance services industry. The procurement process involves creating a system that facilitates benefit and pensions payments to clients without bank accounts across Great Britain and Northern Ireland. With an amended estimated contract value of approximately £27,038,490, the DWP plans to award this contract on 5th February 2026, with submissions closing on 27th October 2025. This open procurement involves a competitive flexible procedure, and all submissions must be made electronically via the DWP's Atamis supplier portal by the aforementioned deadline.

This tender offers considerable opportunities for businesses, particularly those registered as Payment Service Providers (PSPs) and members of the Financial Conduct Authority, who can meet legislative requirements and provide comprehensive geographical coverage without integrating with DWP systems. The initiative is especially suitable for SMEs and VCSEs that can demonstrate robust financial and technical capacity. The awarded supplier will address the crucial need for inclusive payment services, ensuring accessibility for vulnerable populations, thus aligning with the government's mission to promote financial inclusion. Businesses with capabilities in cash distribution networks and customer financial services will find strategic growth opportunities in this tender.

## Notice

DWP is procuring a Supplier to create and operate a system (the "Payment Exception Service") which will allow benefit and pensions recipients (which DWP refers to as "Customers") without bank accounts to receive payment of entitlement through an alternate method of payment. The service is required to fulfil the Secretary of State obligation to pay benefit and pensions payments on time, on the due date, to the correct customer. Customers will need to be able to access their payments in cash at a wide range of geographical locations. Suppliers will need to ensure comprehensive coverage, which DWP further defines in the specification document. The geographical scope of the Payment Exception Service will be for Great Britain and Northern Ireland. Benefit payments are usually paid weekly, monthly or 4 weekly. This will be a "Payment Service" as defined by the Payment Services Regulations 2017. DWP considers that a simple and robust delivery model is the best way to ensure that particularly vulnerable customers can access their payments. To meet the Governments mission-led focus, DWP's ambition is to ensure that only customers who need the service are relying on PES over the coming years. Customers who are able to, should be paid by alternative means, to help support them to become financially included. Conditions of Participation are set out below and will be described in detail in Procurement Specific Questionnaire (PSQ). All bids will be assessed based on legal, financial capacity and technical ability. Core Conditions of Participations: * registration on the Central Digital Platform * meeting all legislative requirements to operate the required service in the UK * being fully registered member of the Financial Conduct Authority * being registered Payment Service Provider (PSP) * evidence intention to have all required insurances in place * being able to provide an independent service without integration with any of the DWP systems DWP strongly advise that potential suppliers review the Conditions of Participation and the fundamental requirements carefully before compiling a full bid as failure to meet these requirements may result in your bid being excluded. Please note the values of this notice have been changed as of 10/10/2025.

### Lot Information

Lot 1

Renewal: For clarity, the value of PS14,649,875 excluding VAT in the 'Total Value (estimated)' section of the Tender Notice is the estimated value for the initial 3-year period. The value across the total contract term including all potential extensions is PS24,501,147 excluding VAT. We do not consider that this information will have a material impact on providers ability to respond to the ITT documents and therefore it is not necessary to extend the tender deadline or re-open the clarification deadline. However, if any bidder has any questions regarding the clarified values please do contact us via the procurement portal in the usual way.

## Key Details

| Field | Value |
| --- | --- |
| Publication source | Find A Tender Service |
| Latest notice | https://www.find-tender.service.gov.uk/Notice/067964-2025 |
| Notice type | UK4 - Tender Notice |
| Procurement type | Standard |
| Procurement category | Services |
| Procurement method | Open |
| Procurement method details | Competitive flexible procedure |
| Tender suitability | SME, VCSE |
| Awardee scale | Not specified |
| All stages | Planning, Tender |

## Dates

| Field | Value |
| --- | --- |
| Publication date | 23 Oct 2025 |
| Submission deadline | 27 Oct 2025 |
| Future notice date | 9 Sep 2025 |
| Award date | Not specified |
| Contract period | 5 Feb 2026 - 4 Feb 2029 |
| Recurrence | Not specified |

## Values

| Field | Value |
| --- | --- |
| Tender value | £22,532,075 |
| Lots value | £22,532,075 |
| Awards value | Not specified |
| Contracts value | Not specified |

## Status

| Field | Value |
| --- | --- |
| Tender status | Active |
| Lots status | Active |
| Awards status | Not specified |
| Contracts status | Not specified |

## Buyer

| Field | Value |
| --- | --- |
| Main buyer | DEPARTMENT FOR WORK & PENSIONS |
| Additional buyers | DEPARTMENT FOR WORK AND PENSIONS |
| Locality | BLACKPOOL |
| Post town | Blackpool |
| Postcode | FY4 5ES |
| Country | England |
| ITL 1 | TLD North West (England) |
| ITL 2 | TLD4 Lancashire |
| ITL 3 | TLD42 Blackpool |
| Local authority | Blackpool |
| Electoral ward | Stanley |
| Westminster constituency | Blackpool South |
| Delivery location | Not specified |

## CPV Codes

### Divisions

- 66 - Financial and insurance services

### Codes

- 66000000 - Financial and insurance services

## Release History

- 23 Oct 2025 at 15:47 - TenderUpdate - UK4 - Tender Notice - https://www.find-tender.service.gov.uk/Notice/067964-2025
- 10 Oct 2025 at 14:22 - TenderUpdate - UK4 - Tender Notice - https://www.find-tender.service.gov.uk/Notice/064255-2025
- 9 Sep 2025 at 14:58 - Tender - UK4 - Tender Notice - https://www.find-tender.service.gov.uk/Notice/055124-2025
- 30 Jul 2025 at 14:54 - Planning - UK3 - Planned Procurement Notice - https://www.find-tender.service.gov.uk/Notice/044405-2025

## Documents

- https://www.find-tender.service.gov.uk/Notice/067964-2025
  23rd October 2025 - Tender notice on Find a Tender
- https://www.find-tender.service.gov.uk/Notice/064255-2025
  10th October 2025 - Tender notice on Find a Tender
- https://www.find-tender.service.gov.uk/Notice/055124-2025
  9th September 2025 - Tender notice on Find a Tender
- https://www.find-tender.service.gov.uk/Notice/044405-2025
  30th July 2025 - Planned procurement notice on Find a Tender
- https://dwp2.my.site.com/s/Welcome
  Go to the above link then click on "supplier registration here". Then click on the supplier login button with the your login details. Under find opportunities and click here. Select Payment Exceptions Service C5141

## Notice URLs

- https://www.find-tender.service.gov.uk/Notice/011609-2025
- https://www.legislation.gov.uk/ukpga/2023/54/contents

## Provenance

This Markdown file is an alternate public rendering of the D3 Tenders contract record. The canonical page is https://d3tenders.com/contract/?ocid=ocds-h6vhtk-056964. The underlying structured data is available as OCDS JSON at https://d3tenders.com/contract/ocds-h6vhtk-056964.json.