Department of Health to live new framework before October next year

Alder Hey hospital

The Department of Health is expected to kickstart procurement of its flagship contracting framework this month, starting the contest for hundreds of millions of pounds of hospital construction work per annum.

Building understands the department will issue a prior information notice (PIN) outlining a replacement for the current P21+ contracting framework this month, ahead of tendering early next year.

The replacement framework - P22 - will go live in time to replace P21+ when it expires in October 2016.

A framework value has yet to be set, but market sources suggested hundreds of millions of pounds of work would be procured through P22.

The current incumbents of the P21+ framework are Balfour Beatty, Galliford Try (through its acquisition of Miller), Vinci vehicle Integrated Health Projects, Interserve, Kier and Willmott Dixon.

Conor Ellis, head of health at Arcadis, said he was aware of “considerable interest” among potential bidders for P22, adding: “I’m aware of several firms that aren’t currently on the framework that are interested.”