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Westminster Launches £746m Housing Maintenance Procurement

Westminster Launches £746m Housing Maintenance Procurement
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Westminster City Council has launched a £746m procurement programme covering repairs, maintenance and major works across its housing portfolio of around 21,000 homes.

The procurement represents the first phase of a wider reorganisation of the council’s housing maintenance services, which are currently delivered through eight term partnering contracts awarded between 2017 and 2019. The existing arrangements will be replaced by a new strategic alliance model based on the FAC-1 Framework Alliance Agreement.

Westminster’s housing stock includes approximately 21,000 homes, among them 145 high-rise buildings. Around 57% of the properties are tenanted, while the remaining 43% are leasehold. The council also noted that 41% of its housing stock lies within conservation areas and 17% comprises listed buildings.

The largest element of the procurement is a £400m major works contract, under which two contractors will be appointed to deliver planned and cyclical improvements across the housing estate. The scope includes capital improvement projects, component replacement programmes and major repair works, with schemes commissioned through task briefs issued by the council.

A second contract, valued at £346m, covers responsive repairs and void works. The successful contractor will provide emergency and day-to-day repairs to occupied properties, communal repairs, void refurbishments and retrofit projects. The package also includes temporary works, professional services and resident liaison support.

Both contracts are being procured through the competitive flexible procedure introduced under the Procurement Act 2023 and will be awarded using the TAC-1 Term Alliance Contract form. Successful bidders will also be required to enter into a strategic alliance joining agreement.

The contracts will be awarded for an initial five-year term, with options to extend by a further three years and then two years, allowing for a maximum duration of 10 years. The responsive repairs contract is scheduled to commence in August 2027, while the major works agreements are expected to begin in January 2028.

For the major works package, Westminster intends to appoint the two highest-ranked bidders. The responsive repairs contract will be awarded to a single contractor. The council has stated that it does not wish the same supplier to secure both contracts and has incorporated bidding restrictions to reflect this approach.

Legal adviser Trowers & Hamlins and property consultant Savills are supporting Westminster City Council in the procurement process.

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