Awarded contract

Cleaning and Associated Services

  • Southern Health NHS Foundation Trust

F15: Voluntary ex ante transparency notice

Notice reference: 2022/S 000-021635

Published 5 August 2022, 6:14pm



Section one: Contracting authority/entity

one.1) Name and addresses

Southern Health NHS Foundation Trust

Maples Building, Tatchbury Mount

Southampton

SO40 2RZ

Contact

Fiona Maton

Email

fiona.maton@southernhealth.nhs.uk

Telephone

+44 2382311458

Country

United Kingdom

NUTS code

UKJ3 - Hampshire and Isle of Wight

Internet address(es)

Main address

www.southernhealth@nhs.uk

one.4) Type of the contracting authority

Body governed by public law

one.5) Main activity

Health


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Cleaning and Associated Services

two.1.2) Main CPV code

  • 90911000 - Accommodation, building and window cleaning services

two.1.3) Type of contract

Services

two.1.4) Short description

Domestic Cleaning and associated services including housekeeping, portering, food delivery, and window cleaning.

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: £38,000,000

two.2) Description

two.2.3) Place of performance

NUTS codes
  • UKJ3 - Hampshire and Isle of Wight

two.2.4) Description of the procurement

Domestic Cleaning and associated services including housekeeping, portering, food delivery, and window cleaning. Cleaning according to the NHS National Standards of Cleanliness.

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:

Southern Health have a contract in place for Domestic Cleaning & Associated Services, the scope covers 51 sites over approximately 1200 square miles, encompassing the following disciplines: domestic cleaning, portering, catering, window cleaning, and a range of other specific tasks.

The cleaning standards are mandated by the National Standards of Healthcare Cleanliness 2021. The Trust has sites that fit in to all 6 specified risk areas with additional complexity for areas with specific features.

The Trust is a mental health and community trust which includes physical, mental health and learning difficulties. The contract includes a range of sites ranging from standard office accommodation to community hospitals, secure units, clinics, and GP practices.

Due to the size, complexity, and required service levels there is a minimum level of economic and financial standing required; the supplier must have an annual turnover of twice the estimated contract value. The contract also requires the supplier to detail their commitment to achieving Net Zero by 2050

The Trust is proposing to extend the current OJEU-tendered contract with Medirest for a period of 5 years from April 2023 at a cost of circa £38million in total.

This extension has been prompted by the exceptional and unforeseen market conditions: a severely challenged low pay labour market, unparalleled shortages of Trust clinical staff, inflationary cost pressures for the Trust and a lack of interest from the supplier market.

The extension is not materially different in character to the originally tendered contract.

Changing supplier at this point is too high risk in terms of managing change, maintaining a workforce (shortages in the low pay sector), and generally ensuring a reliable service to provide the high levels of infection prevention and control needed at this point.

This will enable the Trust to make a range of urgent changes to the service to release clinical staff time to care and will allow supplier-led innovations to be implemented now. This level of investment cannot be made cost-effectively by the incumbent with only a year left on the contract.

Market engagement 2021 has indicated that this is not an attractive proposition to the wider market in the current challenging climate, so there is an expectation that a competitive tender would not deliver above and beyond a negotiated extension. This would not represent value for money and would not be prudent use of public monies.

four.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: No


Section five. Award of contract/concession

Contract No

SH0264

Title

Domestic Cleaning & Associated Services

A contract/lot is awarded: Yes

five.2) Award of contract/concession

five.2.1) Date of conclusion of the contract

5 August 2022

five.2.2) Information about tenders

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor/concessionaire

Medirest

Compass House, Guildford Street,

Chertsey

KT16 9BQ

Country

United Kingdom

NUTS code
  • UKJ26 - East Surrey
The contractor/concessionaire is an SME

No

five.2.4) Information on value of contract/lot/concession (excluding VAT)

Total value of the contract/lot/concession: £38,000,000

five.2.5) Information about subcontracting

The contract/lot/concession is likely to be subcontracted

Value or proportion likely to be subcontracted to third parties

Value excluding VAT: £140,000

Short description of the part of the contract to be subcontracted

Window Cleaning


Section six. Complementary information

six.4) Procedures for review

six.4.1) Review body

Southern Health NHS Foundation Trust

Southampton

Country

United Kingdom