Section one: Contracting authority
one.1) Name and addresses
Department of Health and Social Care
39 Victoria Street
London
SW1H 0EU
Procurement.Operations@dhsc.gov.uk
Country
United Kingdom
NUTS code
UKI32 - Westminster
Internet address(es)
Main address
https://www.gov.uk/government/organisations/department-of-health-and-social-care
Buyer's address
https://www.gov.uk/government/organisations/department-of-health-and-social-care
one.4) Type of the contracting authority
Ministry or any other national or federal authority
one.5) Main activity
Health
Section two: Object
two.1) Scope of the procurement
two.1.1) Title
Virus Testing Supplies
two.1.2) Main CPV code
- 38911000 - Manual swab test kits
two.1.3) Type of contract
Supplies
two.1.4) Short description
Provision of Nasopharyngeal Swabs
two.1.6) Information about lots
This contract is divided into lots: No
two.1.7) Total value of the procurement (excluding VAT)
Value excluding VAT: £5,915,232
two.2) Description
two.2.3) Place of performance
NUTS codes
- UK - UNITED KINGDOM
two.2.4) Description of the procurement
Provision of Nasopharyngeal Swabs
two.2.5) Award criteria
Price
two.2.11) Information about options
Options: No
two.2.13) Information about European Union Funds
The procurement is related to a project and/or programme financed by European Union funds: No
Section four. Procedure
four.1) Description
four.1.1) Type of procedure
Award of a contract without prior publication of a call for competition in the cases listed below
- Extreme urgency brought about by events unforeseeable for the contracting authority
Explanation:
The Government must protect the health and well-being of UK citizens. The COVID-19 outbreak is a Public Health Emergency of International Concern (PHEIC) as declared by the World Health Organisation on 30 Jan 2020. The WHO Director General characterised COVID-19 as a pandemic in March 2020. COVID-19 is serious and its consequences pose a risk to life. Cabinet Office published PPN 01/20: Responding to COVID-19 on procuring with extreme urgency in March 2020 which states that contracting authorities may enter into contracts without competing or advertising the requirement where certain tests are met:1) There are genuine reasons for extreme urgency as there is a significant public health risk requiring immediate action as a result of COVID-192) The COVID-19 situation is novel and the Contracting Authority could not have reasonably foreseen these events3) It is not possible to comply with the timescales of another procedure due to the urgent requirement to obtain the supplies being contracted for. Additionally, there are many buyers competing for the same supplies. It is imperative that security of supply is maintained. Demand for equipment is high and there is little or no incentive for suppliers to participate in competitive procurement procedures.4) The situation is not attributable to the contracting authorityDHSC intends to make a direct award of a contract for the purchase of swabs from Hutchison (the Supplier) via the negotiated procedure without prior publication (the Contract) pursuant to Regulation 32 of the Public Contracts Regulations 2015 (PCR 2015) rather than undertaking a competitive exercise.In summary:1. The Products must be of a certain specification from a regulatory perspective and are only available from a small number of suppliers in the market. DHSC is utilising all available suppliers in the market however, due to scarcity in the market and high demand for products, urgent purchasing is still required while more competitive routes to market are established;2. The Products are required to meet the Government’s requirements of testing higher numbers of people, which continue to increase in order to fulfil the track and trace initiative which seeks to reduce the risk of having another nationwide lockdown of all social and economic activity;3. DHSC had a relationship with the FCO in China who were originally facilitating the supply of the Products however, this option is no longer available and DHSC is unable to purchase the Products in this manner;4. The Contract will be for a period of up to 12 weeks and is to plug the gap between the current urgent requirement to meet the testing demand and the mini-competition which is currently being run and will be completed in January 2021;5. If DHSC does not commit to purchasing from the Supplier, there is a risk (as has happened with other suppliers) that DHSC will miss out on this demand and it will be allocated elsewhere;6. DHSC has carried out market testing with other suppliers in the market, in relation to the urgent provision of the Products and no other suppliers are able to meet the urgent demand;7. Further competitive routes to market are also being explored and DHSC has issued an RFI to the market to engage suppliers and understand whether suppliers in the market are able to meet the continuing demand;
four.1.8) Information about the Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement: Yes
Section five. Award of contract
A contract/lot is awarded: Yes
five.2) Award of contract
five.2.1) Date of conclusion of the contract
6 November 2020
five.2.2) Information about tenders
Number of tenders received: 1
The contract has been awarded to a group of economic operators: No
five.2.3) Name and address of the contractor
Hutchison Technologies Ltd
Innovation Centre, 1 Harrison Road
Dundee
DD2 3SN
Country
United Kingdom
NUTS code
- UK - UNITED KINGDOM
National registration number
SC176095
The contractor is an SME
Yes
five.2.4) Information on value of contract/lot (excluding VAT)
Initial estimated total value of the contract/lot: £5,915,232
Total value of the contract/lot: £5,915,232
Section six. Complementary information
six.4) Procedures for review
six.4.1) Review body
The High Court
Strand
London
WC2A 2LL
generaloffice@administrativecourtoffice.justice.gov.uk
Country
United Kingdom