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Reboot for £3.6bn NHS modular buildings framework

Around 21 modular specialists face a fight to retain places on the next-generation modular building framework for NHS Shared Business Services.

The rebooted framework has been expanded to cover new sectors, doubling the expected workload over the next four years to £3.6bn.

For the first time, it will include a hybrid construction/modular lot, where the general construction works element accounts for over £60m of the project value.

This is expected to attract JV bids from mainstream modular specialists of the kind successfully adopted by Kier and McAvoy on the Crown Commercial Services deal awarded last year.

The lotting structure for the NHS SBS, which includes local authorities, will also see the introduction of residential and blue light sectors, while a specialised kitchen lot is dropped.

The new arrangement will come into force when the existing deal expires in 2025. Since the existing framework was launched 8 firms have dropped out or collapsed from the original 29 companies selected.

NHS SBS Modular Building 3:  lotting structure

Public Sector

1.New builds 2. Hire and lease

Healthcare

3. New build 4. Hire and lease

Education

5. New build 6. Hire and lease

Blue Light

7. New build 8. Hire and lease

Residential

9. New build (public and private)

Hybrid

10.Mixed approach construction projects

NHS SBS intends to hold market engagement sessions during April – May 2024 with industry experts and suppliers interested in potentially bidding.

Click for consultation questionnaire here. Responses to be returned by Thursday28 March.

Formal invitations to tender will be issued to shortlisted firms in September.

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