Deed of Variation of Leisure and Active Communities Contract- Agency Model
A Contract Award Notice
by NORTH HERTFORDSHIRE DISTRICT COUNCIL
- Source
- Find a Tender
- Type
- Contract (Services)
- Duration
- not specified
- Value
- £159M
- Sector
- MISCELLANEOUS
- Published
- 02 Apr 2025
- Delivery
- not specified
- Deadline
- n/a
Concepts
Location
Hertfordshire:
1 buyer
- North Hertfordshire District Council Letchworth Garden City
1 supplier
- Sports & Leisure Management Hinkley
Description
North Hertfordshire District Council intends to vary its existing contract with Sports and Leisure Management Ltd (Everyone Active) to implement an agency model for the delivery of leisure services. Under the revised arrangement, the contractor will act as agent and the Council as principal. The services, facilities, and scope of provision remain unchanged. The purpose is to achieve VAT efficiency and consequently deliver improved financial returns . The contractor will guarantee an additional financial surplus to the Council, which is index-linked,
Total Quantity or Scope
The modification is strictly limited to restructuring the legal relationship to establish an agency model. All services, facilities, and outputs remain as originally contracted.
Award Detail
1 | Sports & Leisure Management (Hinkley)
|
CPV Codes
- 92610000 - Sports facilities operation services
- 92620000 - Sport-related services
Legal Justification
Contract modification without prior publication - Regulation 72(1)(e), Public Contracts Regulations 2015 The Council proposes to vary its existing leisure services contract with Sports and Leisure Management Limited (Everyone Active) to implement an agency model. This variation is made in reliance on Regulation 72(1)(e) of the Public Contracts Regulations 2015. The Council has assessed that this modification does not constitute a substantial change for the purposes of Regulation 72(8), for the following reasons: • The services delivered to the public remain unchanged, and the contract continues to apply to the same facilities and scope. • The change relates solely to the contractual structure - establishing the Council as principal and the contractor as its agent. • The contractor remains the same. Any subcontracting to a charitable trust within the contractor's group is within the scope of existing permissions. • The modification does not shift the economic balance in favour of the contractor. The contractor guarantees an additional financial return and assumes risk of HMRC non-acceptance. • The Council retains full legal and operational control, ensuring compliance with public law and vires principles. • The modification is strictly limited to what is necessary to implement the agency structure. There is no alteration to the evaluation criteria or outcome of the original competition. This VTN/ VEAT notice is published pursuant to Regulation 99(3) of the Public Contracts Regulations 2015. A 10-day standstill period will be observed before execution of the Deed of Variation.
Other Information
** PREVIEW NOTICE, please check Find a Tender for full details. **
Reference
- ocds-h6vhtk-04fc45
- FTS 012630-2025