Public Services > Central Government

DWP commences estate management contract overhaul

Neil Merrett Published 08 August 2016

Five year agreement to replace department’s PRIME contract aims to appoint independent entity to manage property, including help desk functions and work order management systems


The Department for Work and Pensions (DWP) has issued a tender seeking an independent management capability to oversee its estates, including management of help desk functions, information management and reporting systems.

In a contract valued up to £140m, the department is seeking supply chain integrator services that will include overseeing its work order management systems and information and reporting solutions among a number of wider functions.

The contract is a replacement of the DWP’s Private Sector Resource Initiative for the Management of the Estate (PRIME) contract that delivers serviced accommodation and facilities management services and ends on March 31, 2018. With no extension planned, new agreements for property, facilities management and other related contracts must be in place by April 1, 2018.

“DWP is procuring an independent management capability, to act impartially on its behalf in order to ensure DWP estates and the DWP estates supply chain operates safely, efficiently and effectively, ensuring all contractual obligations and requirements are fully delivered at the required levels of service/quality at (or below) the agreed costs,” said the notice.

Over the course of the proposed five year agreement, anticipated to come into effect from April 2018, the chosen supplier will be expected to work across its offices and supplier premises.  This is estimated to equate for 15% of the overall government civil estate – the largest of any Whitehall department, according to the document.

According to the contract notice, 96% of the DWP’s estates falls under its outgoing PRIME contract, with the department not owning any of the property that it occupies.

The agreement comes with the option to be extended for two additional 12 month periods with the chosen supplier required to operate as a single legal entity with a minimum annual turnover of £30m.

Suppliers have until August 31 to express an interest in the opportunity, with invitations to tender (ITT) then being sent out to chosen candidates by September 12, 2016.

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