NHS hunts firms for £2.6bn offsite framework

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The NHS has started searching for new suppliers to join a £2.6bn modular building framework.

Set to run for four years, the framework replaces a previous £1.6bn version, which initially saw 29 companies appointed.

Work delivered under the agreement, set by NHS Shared Business Services (NHS SBS), includes providing offsite-built facilities for healthcare. It can also be used by education, residential and wider public sector organisations.

The framework will be split into seven lots for different sectors and divided into subcategories based on job values – ranging from up to £5m to more than £25m.

Potential work includes acting as principal contractor, but NHS SBS says suppliers will also need to be able to offer services including planning application work, design, enabling work and landscaping.

There are 20 suppliers on the current version of the framework, which runs until July, down from the 29 initially named on it in 2021. Among those suppliers, Claritas Group and Caledonian Modular have since gone under.

New quango Skills England said this week that the use of modern methods of construction (MMC) could be expanded considerably in order to tackle labour shortages in the sector.

In January, the House of Lords built environment committee criticised the former government for not having a coherent strategy for public investment in MMC, following the collapse of  volumetric building companies such as Ilke Homes and Splash by Urban House.

Companies have until midday on 8 November to submit their requests to participate in the NHS modular building framework.

Procurement documents and more information can be viewed here.

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