Scope
Reference
0001
Description
Justification for Direct Award under the Procurement Act 2023
Title: Provision of Lone Working Devices and Monitoring Services - Reliance High-Tech Ltd
Contract Value: £41,636.16 (over 3 years)
Contracting Authority: Phoenix Community Housing
Supplier: Reliance High-Tech Ltd
1. Background and Requirement
Phoenix currently uses Reliance High-Tech Ltd to provide lone worker monitoring services for 87 staff devices. These services are essential to ensure the safety and wellbeing of employees working alone or in potentially high-risk environments. The current devices and service arrangements are embedded in our operational protocols.
To meet increased operational demand, we require an additional 60 devices, bringing the total number to 147. The supplier will continue to monitor and support all devices remotely and provide replacements on a like-for-like basis. Devices will be delivered to the Green Man Offices.
2. Procurement Act 2023 Justification for Direct Award
This contract falls below the threshold for full competitive tendering under the Procurement Act 2023. However, we are providing this justification in line with principles of transparency, value for money, and operational continuity.
The proposed direct award is justified under Section 41(3) (below-threshold contracts) and Section 43 (direct award circumstances) due to:
Continuity of Service (Section 43(1)(a) - Technical Compatibility): The continued use of the same supplier avoids disruptions and compatibility issues between monitoring systems, devices, and user training. Introducing a different supplier at this stage would result in dual systems, increased cost, and complexity.
Low Contract Value: The total contract value (£41,636.16 over three years) is significantly below the relevant threshold for goods and services (£213,477 incl. VAT as of 2025).
Urgency and Operational Necessity: The additional 60 devices are urgently required to meet staff safety obligations, and a change in provider would require a procurement and implementation lead time that poses risk to operational continuity and staff welfare.
3. Contract Details
Duration: 3 years
Monthly Value: £1,156.56
Annual Value: £13,878.72
Total Value: £41,636.16
Devices Covered: 87 existing (with replacements) + 60 new = 147 total
Delivery Location: Phoenix Community Housing Office
Support: Remote monitoring and technical support
4. Value for Money and Risk Management
Reliance High-Tech Ltd has demonstrated consistent performance and responsiveness during the current term. The proposed pricing for the expanded service is competitive and offers continuity with no retraining or dual-system costs. The risk of disruption from changing supplier is disproportionate to the potential marginal savings from a retender.
Contract 1
Supplier
Contract value
- £41,636.16 including VAT
Below the relevant threshold
Earliest date the contract will be signed
14 August 2025
Contract dates (estimated)
- 14 August 2025 to 14 August 2028
- Possible extension to 14 August 2029
- 4 years, 1 day
Description of possible extension:
Reason is with regards to the technology and the transfer of information to another supplier. We may also want to extend the newer 60 devices and not the 87 older devices - VFM, continuity of service, no break in covering staff H&S.
Main procurement category
Services
Options
The right to additional purchases while the contract is valid.
As above option would be to extend for 1 year only. Circumstances would be continuity of service. Handover, etc., to possible new service provider.
CPV classifications
- 71317200 - Health and safety services
Contract locations
- UKC - North East (England)
- UKD - North West (England)
- UKE - Yorkshire and the Humber
- UKF - East Midlands (England)
- UKG - West Midlands (England)
- UKH - East of England
- UKI - London
- UKJ - South East (England)
- UKK - South West (England)
Participation
Particular suitability
- Small and medium-sized enterprises (SME)
- Voluntary, community and social enterprises (VCSE)
Procedure
Procedure type
Below threshold - without competition
Supplier
RELIANCE HIGH-TECH LIMITED
- Companies House: 02025063
- Public Procurement Organisation Number: PWNV-6466-BTGL
6 The Enterprise Centre
Bracknell
RG12 1NF
United Kingdom
Region: UKJ11 - Berkshire
Small or medium-sized enterprise (SME): Yes
Voluntary, community or social enterprise (VCSE): No
Contract 1
Contracting authority
PHOENIX COMMUNITY HOUSING ASSOCIATION (BELLINGHAM AND DOWNHAM) LIMITED
- Companies House: IP30057R
- Public Procurement Organisation Number: PWGM-1832-ZTDL
The Green Man, 355 Bromley Road
London
SE6 2RP
United Kingdom
Region: UKI44 - Lewisham and Southwark
Organisation type: Public authority - sub-central government