Scope
Reference
2025-105
Description
This procurement relates to the Council appointing an operator to undertake the management of three (3) leisure facilities within Milton Keynes including Bletchley Leisure Centre, Woughton Leisure Centre and Windmill Hill Golf course.
The estimated value of the leisure facilities is £6.5million (Excluding VAT) for the 15 year period (taking into account the 5 year extension) This estimated value of the management of the 3 leisure facilities is indicative only.
The Authority is of the view that TUPE is likely to apply to some staff but economic operators will be expected to undertake their own due diligence.
Following the recent ruling that local authorities can now treat leisure services as non-business for VAT purposes, the Authority wishes to understand the potential positive financial impact to them of this approach to the management of their leisure facilities. Tenderers will be required to base their financial submission on a traditional leisure management contract (Standard Bid); however, the Authority would also like to understand the benefits and risks of the Agency Model (Alternative Pricing Option). This is explained further in the procurement documentation. For the purposes of Section 74(1)(a) and paragraph 1 of Schedule 8 of the Procurement Act 2023, Milton Keynes City Council may during the term of the Leisure Operator Contract apply an agency model arrangement to replace the traditional leisure management arrangement. The Council reserves the right to modify the contract terms and conditions to accommodate a move to the agency model arrangement.
The Authority is delivering a major low-carbon infrastructure investment in the form of a city scale District Heat Network (DHN), a key component of its commitment to achieving net zero carbon emissions by 2030, as outlined in the Authority's Strategy for 2050 and Council Plan 2024-2026. In the first phase of the DHN, low-carbon heat will be delivered to several public buildings across the city, helping to reduce reliance on gas combustion heating. As part of the Public Sector Decarbonisation Scheme (PSDS), the Authority has been successful in its application to convert three major public buildings: the city library; Civic building; and Woughton Leisure Centre. Therefore, Tenderers should be aware that Woughton Leisure Centre will move across to the DHN during the term of this contract and that the successful Tenderer will be required to work closely with the Authority to facilitate this transition. This is explained further in the procurement documentation.
Total value (estimated)
- £6,500,000 excluding VAT
- £7,800,000 including VAT
Above the relevant threshold
Contract dates (estimated)
- 1 March 2026 to 29 February 2036
- Possible extension to 28 February 2041
- 15 years
Description of possible extension:
Option to extend for an additional 5 years making a total potential contract length of 15 years.
Main procurement category
Services
CPV classifications
- 92610000 - Sports facilities operation services
Contract locations
- UKJ12 - Milton Keynes
Submission
Enquiry deadline
12 September 2025, 5:00pm
Tender submission deadline
26 September 2025, 12:00pm
Submission address and any special instructions
Via our e-Tendering portal InTend - https://in-tendhost.co.uk/milton-keynes/aspx/Home
Tenders may be submitted electronically
Yes
Languages that may be used for submission
English
Award decision date (estimated)
11 December 2025
Recurring procurement
Publication date of next tender notice (estimated): 18 June 2040
Award criteria
| Name | Description | Type |
|---|---|---|
| Simple description | As per the information within the Invitation to Tender |
Price |
Weighting description
As per the information within the Invitation to Tender
Other information
Payment terms
As stated in tender documents
Description of risks to contract performance
As stated in tender documents
Conflicts assessment prepared/revised
Yes
Procedure
Procedure type
Open procedure
Documents
Associated tender documents
https://in-tendhost.co.uk/milton-keynes/aspx/Home
For any suppliers interested in this opportunity please visit our e-Tendering portal - https://in-tendhost.co.uk/milton-keynes/aspx/Home
Contracting authority
Milton Keynes City Council
- Public Procurement Organisation Number: PLDZ-6131-PWZH
Civic Offices, 1 Saxon Gate East
Milton Keynes
MK9 3EJ
United Kingdom
Contact name: Procurement Team
Telephone: 01908691691
Email: corporateprocurement@milton-keynes.gov.uk
Website: https://www.milton-keynes.gov.uk
Region: UKJ12 - Milton Keynes
Organisation type: Public authority - sub-central government