Scope
Reference
C28572
Description
Sellafield Limited intend to complete this direct award with supplier Oracle for upcoming support contract renewals.
With the first renewal to begin from 01.01.2026.
This contract will align various Sellafield on-prem support contract renewals from four + expiry/renewal dates to only one expiry/renewal date.
New expiry date 05.04.2027.
Contract 1. Oracle - On-Prem co-terming of multiple contract renewals - 2026
Supplier
Contract value
- £811,950.42 excluding VAT
- £974,340.50 including VAT
Above the relevant threshold
Earliest date the contract will be signed
11 December 2025
Contract dates (estimated)
- 1 January 2026 to 5 April 2027
- 1 year, 3 months, 5 days
Main procurement category
Services
CPV classifications
- 72261000 - Software support services
- 48000000 - Software package and information systems
Other information
Description of risks to contract performance
Co-Terming Risk
There is a potential risk that, as part of the co-terming exercise, it may become necessary to incorporate additional Oracle products into the consolidated agreement. This could occur if existing standalone licences reach their expiry and are subsequently aligned under a single contractual arrangement.
Audit and Compliance Risk
There is a potential risk arising from the ongoing Oracle audit. Any identified deficiencies or gaps in current licensing compliance may require remediation through inclusion of additional licences or products within the forthcoming contractual agreement.
Conflicts assessment prepared/revised
Yes
Procedure
Procedure type
Direct award
Direct award justification
- Single supplier - intellectual property or exclusive rights
- Single supplier - technical reasons
Sellafield Ltd proposes to enter into a direct award agreement for a fixed term of sixteen (16) months in respect of the existing Oracle support contracts currently active and in use.
The primary objective of this direct award is to consolidate and co-term the multiple existing support contracts into a single, unified agreement. This approach is intended to achieve contractual alignment, operational efficiency, and continuity of essential support services for critical systems.
Justification for Direct Award
The decision to proceed by way of direct award is based on the following legally defensible grounds:
Value for Money
The proposed direct award ensures continuity of service for critical Oracle systems and avoids disproportionate technical and project complexity or cost that would arise from re-procuring or transitioning to an alternative supplier. Consolidating contracts into a single agreement will deliver administrative efficiencies and reduce the risk of service disruption.
Technical Exclusivity and No Competition
Oracle is the sole provider of support services for its proprietary software products. No alternative supplier can provide the required support for these licences.
Continuity of Service
Maintaining uninterrupted support is essential to ensure compliance, security, and operational stability for systems critical to Sellafield Ltd's business and regulatory obligations. Any lapse in support could result in significant operational and legal risk.
Proportionality under Procurement Act 2023
The direct award is proportionate to the nature and scope of the requirement, given the limited duration (16 months) and the objective of aligning existing contracts rather than procuring new products or services.
Supplier
Oracle Corporation UK Limited
- Companies House: 01782505
Oracle Parkway Thames Valley Park
Reading
RG6 1RA
United Kingdom
Email: contact@oracle.com
Region: UKJ11 - Berkshire
Small or medium-sized enterprise (SME): No
Voluntary, community or social enterprise (VCSE): No
Contract 1. Oracle - On-Prem co-terming of multiple contract renewals - 2026
Contracting authority
Sellafield Limited
- Public Procurement Organisation Number: PWYP-8439-MZWY
Hinton House, Birchwood Park Avenue
Warrington
WA3 6GR
United Kingdom
Contact name: Lukas Hughes
Email: lukas.s.hughes@sellafieldsites.com
Website: https://www.gov.uk/government/organisations/sellafield-ltd
Region: UKD61 - Warrington
Organisation type: Public authority - sub-central government