Northumbrian Water has launched a £120 million Commercial Services Framework to support its infrastructure investment programmes, creating opportunities for quantity surveyors, commercial consultants, project management specialists and other professional services businesses.
The framework covers commercial support for projects across Northumbrian Water and Essex & Suffolk Water, with dedicated opportunities for small and medium-sized enterprises (SMEs). Importantly, Northumbrian Water has confirmed that it welcomes interest from businesses that don't currently operate in the water sector.
Suppliers wishing to participate must express their interest by 3 November 2026 at midday, ahead of the deadline for returning the completed Conditions of Participation on 6 November.
Northumbrian Water Commercial Services Framework: key information
The framework, reference FA08-31, has been designed to support Northumbrian Water's AMP8 and AMP9 investment programmes. It will provide commercial expertise across infrastructure and non-infrastructure projects, including major capital works.
The main procurement details are:
- Contracting authority: Northumbrian Water Limited
- Estimated value: £120 million excluding VAT (£144 million including VAT)
- Initial framework period: 1 June 2027 to 31 May 2030
- Potential extensions: Up to five additional years, giving a maximum eight-year duration
- Geographical coverage: North East England and East of England
- Procurement procedure: Competitive flexible procedure under the utilities regime
- Evaluation: 50% price and 50% quality
- Estimated award decision: 1 May 2027
The framework will support commercial activities across Northumbrian Water's operating area and the Essex & Suffolk Water region, including both individual contracts and larger investment programmes. The full procurement information is available in the Find a Tender notice for FA08-31 Commercial Services.
What commercial services does Northumbrian Water require?
The framework covers a range of consultancy and advisory functions needed to plan, procure, manage and deliver capital investment. These include NEC contract management, cost and value management, commercial assurance, estimating, risk management, programme support and specialist commercial advice.
Northumbrian Water distinguishes between two broad levels of service.
- Core commercial services involve activities associated with individual contracts or works orders. These may include contract administration, target cost validation, estimating, reporting and routine commercial management.
- Enhanced commercial services provide support at project, programme or portfolio level. These may involve strategic commercial leadership, procurement advice, financial forecasting, risk management and governance.
The framework also includes specialist support for major projects and independent cost intelligence services.
For consultancies, this creates opportunities to contribute at different stages of an investment programme, from early business cases and procurement strategies through to delivery, contract administration and project close-out.
Understanding the six framework lots
The competition is divided into six lots, with some covering both operating regions and others reserved specifically for SMEs.
Lot | Service and geographical coverage | Estimated value excluding VAT |
|---|---|---|
A | Commercial Services, North and South | £72m |
B | Major Projects and Advisory Services, North and South | £24m |
C1 | Commercial Services, SMEs only, North | £8.4m |
C2 | Commercial Services, SMEs only, South | £3.6m |
D | Major Projects and Advisory Services, SMEs only, North and South | £6m |
E | Cost Intelligence, North and South | £6m |
Lot A: Commercial Services is the largest category. It covers core and enhanced commercial support across both regions, including NEC contract management, cost assurance, procurement strategy and commercial governance.
Lot B: Major Projects and Advisory Services focuses on specialist support for complex capital projects. Suppliers may contribute to commercial leadership, risk management, business cases, cost planning and major infrastructure programmes.
Lots C1 and C2: SME Commercial Services provide regional opportunities for smaller consultancies. Lot C1 covers Northumbrian Water's northern operating area, while Lot C2 covers Essex & Suffolk Water.
Lot D: SME Major Projects and Advisory Services is reserved for smaller businesses capable of supporting major investment programmes across both operating regions.
Lot E: Cost Intelligence covers independent estimating, benchmarking, cost modelling, market intelligence and investment planning across both regions.
Although the lot descriptions share some services, their intended supplier profiles and geographical requirements differ. Businesses should select the categories that match their experience, resource capacity and ability to support the relevant operating areas.
Can SMEs and businesses outside the water sector apply?
One of the most encouraging features of this procurement is Northumbrian Water's explicit invitation to organisations of different sizes, including consultancies that may not have extensive existing experience in the water industry. The notice states that businesses without large established delivery teams are welcome to express interest.
Three lots are specifically reserved for SMEs:
- Lot C1: Commercial Services in the North
- Lot C2: Commercial Services in the South
- Lot D: Major Projects and Advisory Services across both regions
For these lots, the notice applies the Procurement Act 2023 SME definition of fewer than 250 staff and either annual turnover below £44 million or a balance sheet total below £38 million. This creates opportunities for smaller quantity surveying practices, NEC contract specialists, commercial advisory firms and project management consultancies.
However, eligibility alone won't guarantee progression. Applicants must still demonstrate that they satisfy the Conditions of Participation and possess the relevant professional capability. Lot D, for example, requires successful consultants to operate across both the Northumbrian Water and Essex & Suffolk Water regions.
Businesses without water-sector experience should consider how their existing infrastructure, utilities, construction or capital programme experience demonstrates transferable expertise. A consultancy with strong NEC contract administration experience on highways or energy projects, for example, may have relevant skills, provided it can evidence its suitability against the actual procurement requirements.
How will suppliers be selected?
Northumbrian Water is using a competitive flexible procedure involving several stages of assessment.
Stage 1: Conditions of Participation
Interested suppliers must first request access to the procurement through Northumbrian Water's eSourcing arrangements. They will then complete the relevant Conditions of Participation, which determine whether applicants meet the required selection criteria.
The assessment will identify the six highest-scoring suppliers per lot to progress to the next stage, subject to the published conditions. This makes the initial submission particularly important. Even businesses with strong technical capabilities may be unsuccessful if their selection responses don't demonstrate those capabilities clearly.
Stage 2: Initial tenders
Shortlisted suppliers will be invited to submit initial tenders. These will be evaluated against the requirements and methodology contained in the procurement documents. The published notice identifies a headline evaluation split of:
- Price: 50%
- Quality: 50%
Following this assessment, up to four suppliers per lot will progress to the next stage.
Stage 3: Interviews and Best and Final Offers
Suppliers progressing beyond the initial tender stage will participate in interviews and submit a Best and Final Offer (BAFO). The interviews and final submissions will contribute to the determination of the most advantageous tender. The notice also describes the subsequent award, standstill and preferred supplier processes. Businesses should therefore prepare for a procurement that assesses both written responses and the ability to demonstrate their proposed approach during a later interview.
How to prepare a competitive commercial services bid
The framework's requirements suggest several areas that commercial consultancies should consider when developing their applications.
Demonstrate relevant commercial expertise
Select examples that show how your organisation has managed commercial responsibilities on comparable infrastructure or capital projects. Relevant experience might include NEC contract administration, cost control, procurement support, change management or commercial assurance. Where possible, explain the scale of the work, your organisation's responsibilities and the measurable results achieved.
For businesses entering the water sector, the emphasis should be on showing how existing expertise applies to Northumbrian Water's requirements.
Explain how you will resource the work
The framework calls for flexible, scalable commercial support. Suppliers should consider how they will provide appropriately qualified personnel, maintain continuity and respond to changing project requirements.
Smaller consultancies may benefit from demonstrating the direct involvement of experienced specialists, clear management arrangements and established approaches to handling capacity. Any reliance on subcontractors or delivery partners should be explained consistently with the procurement requirements.
Prepare evidence of cost and programme management
Strong commercial services responses should demonstrate more than knowledge of contract terminology. For example, a business offering cost consultancy should be able to explain how it develops estimates, validates costs, monitors financial performance and reports risks.
For NEC contract management, evidence may include change control, commercial administration, forecasting and stakeholder coordination. The precise evidence required will depend on the selected lot and the detailed evaluation questions.
Address the quality and commercial requirements
With price and quality each accounting for 50% of the published evaluation, suppliers will need to balance a competitive commercial proposal with a credible delivery approach. Clear methodologies, relevant project examples and appropriate resources can help demonstrate how proposed services will meet the buyer's needs.
Thornton & Lowe's bid writing services can help consultancies organise their evidence, develop structured responses and address procurement-specific questions effectively.
How to express interest in the framework
Northumbrian Water is administering the competition through its Ariba eSourcing Spend Management portal. Businesses must initially email amp8procurement@nwl.co.uk to express their interest and request access.
The email should include:
- Full company name
- Main contact's name and job title
- Email address
- Telephone number
Northumbrian Water states that applicants will be given access to the Ariba portal within 48 hours of receiving a request containing the required information. The published deadlines are:
- 3 November 2026, 12pm: Deadline for expressions of interest
- 6 November 2026, 12pm: Deadline for completed Conditions of Participation
Suppliers should request access promptly to allow sufficient time to review the available documents and prepare their responses.
Bid writing support for commercial consultancies
The Northumbrian Water Commercial Services Framework offers a valuable opportunity for established infrastructure consultancies and smaller specialist businesses seeking to expand their public sector and utilities work. However, with only six suppliers per lot progressing beyond the initial assessment, applicants will need to present their experience and capabilities convincingly from the outset.
Thornton & Lowe works with professional services and construction-related businesses to prepare selection responses, develop competitive tender submissions and strengthen the presentation of technical evidence. Our bid and tender management support can also help coordinate complex submissions involving multiple specialists and supporting documents.
If you're considering applying for the Northumbrian Water framework, contact Thornton & Lowe to discuss how we can support your application.
