Section one: Contracting authority
one.1) Name and addresses
Department for Work and Pensions
Quarry House, Quarry Hill
Leeds
LS2 7UA
professional.services@dwp.gov.uk
Country
United Kingdom
NUTS code
UK - United Kingdom
Internet address(es)
Main address
https://www.gov.uk/government/organisations/department-for-work-pensions
one.4) Type of the contracting authority
Ministry or any other national or federal authority
one.5) Main activity
General public services
Section two: Object
two.1) Scope of the procurement
two.1.1) Title
The Provision of Quality Assurance Monitoring for DWP Housing Benefit Assurance Process - Awarded Contract Notice
two.1.2) Main CPV code
- 79212000 - Auditing services
two.1.3) Type of contract
Services
two.1.4) Short description
This notice is to inform of the award of a contract for the provision of Quality Assurance Monitoring of the Housing Benefit Assurance Process for the Department for Work and Pensions (DWP).
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: £157,223
two.2) Description
two.2.3) Place of performance
NUTS codes
- UK - United Kingdom
two.2.4) Description of the procurement
DWP was seeking a supplier able to access and review accountancy firms carrying out Housing Benefit Assurance Process (HBAP) engagements to provide independent challenge and bring cross sector experience of best practice to bear in support of the DWP Housing Benefit Assurance Team.
The quality assurance engagement is expected to fall into two broad areas of work:
- the development, issue and review of a questionnaire to test accountancy firms are using correct versions of HBAP modules, and adequate internal controls are in place within each firm to ensure the correct and consistent application of HBAP. This may involve a review of supporting evidence such as internal documentation and guidance for Reporting Accountants and management checks. The supplier may undertake visits to individual accountancy firms in order to carry out the reviews.
- to sample a selection of HBAP reports and supporting working papers from the accountancy firms to ensure HBAP modules are being fully and correctly completed, and findings from the HBAP testing are being fully and accurately reflected in HBAP reports as per the DWP’s testing instructions contained within HBAP Modules. This may require site visits to accountancy firms, but should not entail visits to individual Local Authorities (LAs).
The intention is to run an annual exercise to review HBAP. The HBAP process concludes each year on 30th November which is the statutory deadline for completed HBAP reports and amended subsidy claims to be submitted to DWP by accountancy firms and LAs.
The contract length covers a period of 1 year and 1 month – and includes audit reporting for 3 accounting periods.
two.2.5) Award criteria
Quality criterion - Name: Quality criterion - Professional Capability / Weighting: 0
Quality criterion - Name: Quality criterion - Methodology / Weighting: 0
Quality criterion - Name: Quality criterion - Prior Knowledge/Expertise / Weighting: 0
Price - Weighting: 0
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
- The procurement falls outside the scope of application of the regulations
Explanation:
We believe that there is not an active market of regulatory bodies with the powers or capacity to undertake this work. We believe that the Institute of Chartered Accountants in England and Wales (ICAEW) are the only viable supplier for this area of work, given that they are the Recognised Supervisory Body (RSB) for all of the audit firms undertaking HBAP testing, and have the delegated authority to carry out the work from the Financial Reporting Council (FRC). The FRC website states that “Monitoring of … [these types of] statutory audits is delegated by the FRC to Recognised Supervisory Bodies under a series of Delegation Agreements”. For the purposes of local audits the two bodies that hold these delegated powers are the Institute of Chartered Accountants of Scotland (ICAS), and the ICAEW. ICAS have confirmed that they do not believe they have responsibility for undertaking any quality monitoring work in respect of firms for which they are not the registered RSB. ICAEW are the registered RSB for all of the audit firms eligible to undertake HBAP testing, and for all of those who have been appointed by LAs.
We issued a Voluntary Ex-Ante Transparency Notice (VEAT) notice to inform the market that we intended to award this contract to ICAEW if there were no responses from other companies. No responses were received as a result of the VEAT. We have therefore awarded this contract to The Institute of Chartered Accountants in England and Wales (ICAEW).
four.1.8) Information about the Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement: No
four.2) Administrative information
four.2.1) Previous publication concerning this procedure
Notice number: 2020/S 019-042940
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
23 June 2021
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
The Institute of Chartered Accountants in England and Wales
Chartered Accountants’ Hall, Moorgate Place
London
EC2R 6EA
Country
United Kingdom
NUTS code
- UK - United Kingdom
The contractor is an SME
No
five.2.4) Information on value of contract/lot (excluding VAT)
Total value of the contract/lot: £157,223
Section six. Complementary information
six.3) Additional information
None.
six.4) Procedures for review
six.4.1) Review body
Department for Work and Pensions
Caxton House, Tothill Street
London
SW1H 9DA
Country
United Kingdom