Contract award notice

Results of the procurement procedure

Section I: Contracting entity

I.1) Name and addresses

I.4) Type of the contracting authority

Regional or local authority

I.5) Main activity

Health

Section II: Object

II.1) Scope of the procurement

II.2) Description

Section IV: Procedure

IV.1) Description

Section V: Award of contract

A contract/lot is awarded: Yes

V.2 Award of contract

V.2.1) Date of conclusion of the contract

15/06/2026

V.2.2) Information about tenders

Number of tenders received: 1

The contract has been awarded to a group of economic operators: No

V.2.3) Name and address of the contractor

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

Total value of the contract/lot: Lowest offer: 8 799 999.00  GBP / Highest offer: 8 800 000.00  GBP

V.2.5) Information about subcontracting

Section VI: Complementary information

VI.3) Additional information

This is a Provider Selection Regime (PSR) intention to award notice. The awarding of this contract is subject to the Health Care Services (Provider Selection Regime) Regulations 2023. For the avoidance of doubt, the provisions of the Public Contracts Regulations 2015 do not apply to this award. The standstill period begins on the day after the publication of this notice. Written representations by providers must be made to

dpt.procurementcontracting@nhs.net by 24th June 2026. This contract has not yet formally been awarded; this notice serves as an intention to award under the PSR.

The details of the award decision-makers are as follows:-

Kate Fishlock - Service Director (Acute), Adult Directorate (DPT)

Karl Vile - Commercial and Operational Lead (DPT)

Key reasons for selecting the provider include:

Quality and Innovation:-

The existing service meets the quality requirements in the contract. The provider offers local inpatient services, with ensuite single gender wards and on-site freshly cooked meals.

The provider attends monthly contract and performance meetings, where a comprehensive list of local KPIs is routinely monitored. In addition, local deep dive quality reviews take place to review and improve quality requirements.

The provider works with the Trust to align quality and improvement activity in line with the requirements of the contract.

Value:-

The procurement of 16 block beds offers significant value compared to spot purchase prices.

Added value is provided by including 4 flexible beds at the block rate, which can be managed up or down with one months notice.

The contract has a notice period of 3 months, which provides flexibility and value for the Trust if the demand for acute inpatient beds were to reduce significantly.

The price includes the first 24 hours of additional observations and provides value compared to benchmarked prices.

Integration, collaboration, and service sustainability:-

The provider has been working collaboratively with the Trust from the design stage for the building until now and the clinical pathways are embedded as part of the Trusts local services. This includes workspace for a DPT worker on site to support patient flow.

This is an extension of a long-standing contract to provide local service in Exeter, driven by a shortage of NHS capacity.

This contract will enable sustainability of supply for existing patients, who are already in the service and for new patients for the duration of the 2 year contract.

Having locally procured inpatient wards enables the continuation of integrated pathways with community teams and other local services, to support patients being treated as close to home as possible.

Improving access, reducing health inequalities, and facilitating choice:-

This procurement provides local male and female acute inpatient wards, improving access and choice. These are the only male and female wards in the Trust's footprint, with NHS provision comprising mixed gender wards only.

It is therefore essential for access and choice, and to ensure patient safety that local single gender provision remains in place via this contract.

Social Value:-

The continuation of local provision in Exeter enables reduced transport distances (and cost) and emissions for both patients, who don't need to be transported further out of area, and for friends and family members who wish to visit their loved ones in a modern efficient hospital.

This procurement also supports the local economy by providing jobs within the commissioner's geographical footprint, providing a local solution to a local problem.

VI.4) Procedures for review

VI.5) Date of dispatch of this notice

15/06/2026