Why use construction frameworks?
At Thornton & Lowe, we can help you with everything you need to understand about framework agreements and use them as a key tool for your construction business. Helping you both retain existing public sector clients and win new ones!
These public sector procurement frameworks are designed to bring together government and publicly funded bodies such as Councils, Housing Associations, NHS Trusts and Universities and Colleges, and private sector suppliers.
According to CCS, which has a key construction framework:
"Over £31 billion of public sector spend (all spend types) was channelled through CCS agreements" (Crown Commercial Services: July 2023)
With £700 million alone via their new agreement with NHS England via the Construction Works and Associated Services 2 / ProCure 23 agreement, for example.
When public sector bodies work with contractors they need to ensure procurement compliance, as they are spending tax payers money! This means working with good, high-performing contractors who share their ethics and commitment to the wider community and social value. To do this fairly, they need to follow specific procurement rules and achieve value for money. This can take time, create risk and not always be the best of use of resources, if other public sector buyers have exactly the same needs. Construction framework agreements are their solution to working with pre-approved and vetted contractors, as the procurement has already taken place (getting onto the framework).
There are of course pros and cons to framework agreements, however, for most businesses, especially for those who work in the public sector or want to win government tenders, they really are a key tool.