Southwark Council has published a preliminary market engagement (PME) notice ahead of a major suite of term contracts for heating and water repairs, maintenance and investment upgrades across its heat networks and associated systems. For contractors operating in communal and district heating, mechanical services, water hygiene, controls and energy management, this is an important early signal. This is not just because of the size, but because the Council is explicitly linking the programme to resident wellbeing, climate action and social value.
Although this is not yet a live tender, PME stage is where the buyer is most open to supplier feedback on what will (and won’t) work in practice. If your organisation can deliver planned and responsive works across heat networks, plant rooms and associated building systems, now is the right time to sharpen your approach and make sure your evidence is ready before the formal procurement window opens.
What’s in scope
The notice describes a “suite of contracts” covering repairs, maintenance and upgrades across:
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Individual and district (communal) heating systems
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Building Energy Management Systems (BEMS)
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Contract cold water services (CWS)
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Temporary boiler installations
Southwark also states an intention to appoint multiple contractors across northern and southern parts of the borough, with an emphasis on collaboration. That combination (multi-contractor plus collaboration) usually means the Council will be looking closely at interface management: how you coordinate outages, share site intelligence, escalate risks, and maintain consistent resident communications across multiple workstreams.
Key facts and timeline
Southwark’s PME notice sets out these high-level commercial details:
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Estimated value: £150m ex VAT (£180m inc VAT)
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Estimated contract dates: 1 April 2027 to 31 March 2032, with a possible extension to 31 March 2037
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Proposed term: 5 years with optional extensions of +3 and +2 years
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Engagement deadline: 11 March 2026
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Estimated tender publication date: 17 April 2026
The engagement section notes prior market engagement events in mid-October 2025, and it references a “final market event via webinar” with a date shown as Thursday 12 March 2025 (11am–12pm). Given the notice itself was published 24 February 2026, suppliers should treat that webinar date as something to confirm directly with the Council using the contact details provided in the notice.
What bidders should prepare now
A joined-up delivery model
For heat networks and communal systems, buyers want confidence in everyday operational control: call handling, diagnostics, access management, outage planning, parts availability, and escalation. Build a clear picture of how work is triaged, scheduled, checked and signed off — and how you keep residents informed when the job affects heating and hot water availability.
Evidence on compliance, safety and quality assurance
Expect scrutiny on safe systems of work, competent persons, commissioning and testing regimes, water hygiene controls for CWS, and how you manage subcontractors. If you deliver temporary boiler installs, include how you de-risk deployment, fuel management, monitoring, and demobilisation with minimal disruption.
A credible approach to BEMS and performance optimisation
BEMS can be a value lever when it’s treated as more than “controls maintenance”. Show how you diagnose performance issues, verify setpoints, support energy optimisation, and provide reporting that links actions to measurable outcomes.
Strong mobilisation and interface planning
With multiple contractors and regional split delivery, mobilisation isn’t just staffing. It’s depot/logistics planning, handover processes, asset data validation, customer contact arrangements, and coordination protocols with the Council and other suppliers.
How Thornton & Lowe can support
Thornton & Lowe can help contractors turn technical delivery into a clear, evaluator-friendly approach, especially where bidders need to demonstrate reliability, resident communications and compliance across complex mechanical systems.
For organisations focused on heating and building services, our guidance on HVAC contract opportunities is a useful starting point for positioning and evidence planning. For bid strategy and writing support on term maintenance-style contracts (including how to structure method statements and strengthen proof points), see our guide on how to win maintenance tenders.
