Modification notice

Modification of a contract/concession during its term

Section I: Contracting entity

I.1) Name and addresses

Section II: Object

II.1) Scope of the procurement

II.2) Description

Section IV: Procedure

IV.2) Administrative information

Section V: Award of contract/concession

Contract No: C120/2017/2018

Title: Entrepreneurial Support Services for Enterprise Hubs

V.2 Award of contract/concession

V.2.1) Date of conclusion of the contract/concession

18/10/2018

V.2.2) Information about tenders

The contract has been awarded to a group of economic operators: Yes

V.2.3) Name and address of the contractor/concessionaire

V.2.3) Name and address of the contractor/concessionaire

V.2.3) Name and address of the contractor/concessionaire

V.2.4) Information on value of the contract/lot/concession (excluding VAT)

Total value of the contract/lot: /concession: 4 166 666.00  GBP

Section VI: Complementary information

VI.3) Additional information

Need for modification brought about by circumstances which a diligent contracting authority/entity could not foresee Description of the circumstances which rendered the modification necessary and explanation of the unforeseen nature of these circumstances:

The original contract is due to expire in September 2022. In order to provide a replacement service, the Welsh Ministers would need to commence procurements proceedings imminently. Welsh Government staff in the Department of Economy, Skills and Natural Resources (where the oversight for this service sits) have been largely re-deployed to manage the Welsh Ministers' response to the Covid-19 pandemic. This is in addition to any sickness in the department or employees being away from work due to any shielding obligations or family commitments. These conditions have perpetuated and although it appears that there will be no further lockdowns and business is getting back on track, Welsh Government employees have to be redeployed back to their usual work and the procurement must be planned. There is insufficient time to properly scope and re-design the service in time for a new procurement to be launched and a new contract awarded by September 2022. There is also insufficient time to allow for orderly exit and implementation periods as the new service transitions. These circumstances were completely unforseen by the Welsh Ministers and the extension is being put in place to allow capacity levels within the relevant departments to return to normal and commence a procurement.

Lot 1: North West Wales (Gwynedd, Isle of Anglesey, Conwy and Denbighshire) was awarded to Menter Môn Cyf. The value is 833,333.00 GBP

Lot 2: Mid Wales (Powys and Ceredigion)was awarded to Business in Focus Limited. The value is: 833,333.00 GBP

Lot 3: South West Wales including South West Valleys (Carmarthenshire, Neath Port Talbot and Pembrokeshire) was awarded to Business in Focus. The value is: 833,333.00 GBP

Lot 4: South East Valleys (Blaenau Gwent, Bridgend, Caerphilly, Merthyr Tydfil, Rhondda Cynon Taf, Torfaen) was awarded to Welsh Ice. The value is: 833,333.00 GBP

The estimated value of this contract over the 4 lots is between 3,333,333.00 GBP and 4,166,666.00 GBP (excluding VAT). During the period of the contract the Welsh Ministers may pilot and develop new services to be delivered by or through the contractor at the Enterprise Hubs, if the need so requires. 833,333 GBP (excluding VAT) of the 4,166,666.00 GBP (excluding VAT) is incorporated into the contract value to cover the cost of these potential new services which could be allocated across one or more of the lots subject to funding availability and at the discretion of the Welsh Ministers.

To ensure a timely response please forward a copy of any questions or enquiries to BusinessDivision@gov.wales

(WA Ref:116903)

VI.4) Procedures for review

VI.5) Date of dispatch of this notice

21/12/2021

Section VII: Modifications to the contract/concession

VII.1) Description of the procurement after the modifications

VII.1.1) Main CPV code

79000000

VII.1.2) Additional CPV code(s)

79100000

79200000

79400000

79410000

79411000

79411100

79999000

80000000

VII.1.3) Place of performance

NUTS code:

UKL

VII.1.4) Description of the procurement

Welsh Government is looking to engage with contractors to deliver 4 regional Enterprise Hubs

Lot 1 - North West Wales

Lot 2 - Mid Wales

Lot 3 - South West Wales inc South West Valleys

Lot 4 - South East Valleys

The 3 year contract with the option to extend for 12 months will support space, community and networks for cohorts of Entrepreneurs with wrap round services, such as (this list is not exhaustive or prescriptive): mentoring, business angels, after-work classes, hackathons, pitching events, workshops/master classes,inspirational guest speakers and innovative solutions.

The facility and infrastructure of the Enterprise Hub will be provided by the bidder for the duration of the contract and will need to be fully operational within 3 calendar months of contract award.

Please note that this contract is part funded by European Regional Development Fund (ERDF) and is therefore subject to the availability of those funds.

VII.1.5) Duration of the contract, framework agreement, dynamic purchasing system or concession

Duration in months: 60

VII.1.6) Information on value of the contract/lot/concession (excluding VAT)

Total value of the procurement: 5 833 331.00 GBP

The contract/concession has been awarded to a group of economic operators: Yes

VII.1.7) Name and address of the contractor/concessionaire

VII.1.7) Name and address of the contractor/concessionaire

VII.1.7) Name and address of the contractor/concessionaire

VII.2) Information about modifications

VII.2.1) Description of the modifications

The contract for all 4 lots is being extended for a further 12 months and will now terminate in September 2023.

VII.2.2) Reasons for modification

Need for modification brought about by circumstances which a diligent contracting authority/entity could not foresee

Description of the circumstances which rendered the modification necessary and explanation of the unforeseen nature of these circumstances:

Redeployment of Welsh Government staff to manage the Welsh Ministers' response to the Covid-19 pandemic. This is in addition to any sickness in the department or employees being away from work due to any shielding obligations or family commitments. These conditions have perpetuated and although it appears that there will be no further lockdowns and business is getting back on track, Welsh Government employees have to be redeployed back to their usual work and the procurement must be planned. There is insufficient time to properly scope and re-design the service in time for a new procurement to be launched and a new contract awarded by September 2022. There is also insufficient time to allow for orderly exit and implementation periods as the new service transitions. These circumstances were completely unforseen by the Welsh Ministers and the extension is being put in place to allow capacity levels within the relevant departments to return to normal and commence a procurement.

VII.2.3) Increase in price

Updated total contract value before the modifications (taking into account possible earlier contract modifications and price adaptions and, in the case of Directive 2014/23/EU, average inflation in the Member State concerned)

Value excluding VAT: 4 166 665.00 Currency: GBP

Total contract value after the modifications

Value excluding VAT: 5 833 331.00 Currency: GBP