Decision details

Gateway 2: Mental Health Supported Housing Provision

Decision Maker: Cabinet

Decision status: Recommendations Approved

Is Key decision?: Yes

Is subject to call in?: Yes

Purpose:

Approval of contract award for the provision of mental health supported housing

Decisions:

RESOLVED:

 

1.  That the award of eight contracts for the delivery of mental health supported housing provision be approved. The contracts will commence on 6 July 2026, for a period of either four or five years as shown in the table in paragraph ?2 of the report, with an option to extend for a further two years, for an estimated maximum annual contract value of £1.95m and a whole life contract value inclusive of extensions of £12.88m.

 

2.  Contracts recommended for award:

 

Four-year contracts to align with Integrated Care Board (ICB) contracts

 

Provider

Lots

Sub-lots/ scheme

Initial Contract Term (years)

Annual Contract Value

Initial Contract Value

Total Contract Value

(4+ 2-years)

Turning Point Services Ltd

Lot 1 - High needs

Lot 1b

4

£384,120

£1,536,480

£2,304,720

Hestia Housing and Support

Lot 3 - High needs (24-hour support)

 

Lot 3

 

4

 

£386,287

 

£1,545,148

 

£2,317,722

Totals

£770,407

£3,081,628

£4,622,442

 

Five-year contracts

 

Provider

Existing Buildings Available (Y/N)

Lots

Sub-lots/ scheme

Initial Contract Term (years)

Annual Contract Value

Initial Contract Value

Total Contract Value

(5+ 2-years)

Peabody Trust

N

Lot 2 - Medium support

Lot 2a

5

£177,143

£885,715

£1,240,001

Southside Partnership

N

Lot 2d

5

£125,343

£626,715

£877,401

Hestia Housing and Support

Y

Lot 4 - Medium support

Lot 4a

5

£225,987

£1,129,935

£1,581,909

Southside Partnership

Y

Lot 4b

5

£196,467

£982,335

£1,375,269

Hestia Housing and Support

Y

Lot 4c

5

£243,757

£1,218,785

£1,706,299

St Mungo Community Housing Association

Y

Lot 4d

5

£211,123

£1,055,615

£1,477,861

 

Totals

£1,179,820

£5,899,100

£8,258,740

 

Total four- and five-year contracts

£1,950,227

£8,980,728

£12,881,182

 

3.  That it be noted that one lot for short term medium support within this procurement was unable to be awarded due to the lack of quality bids. Available options, including conducting single supplier negotiations to award the contract, are currently under review.

 

4.  That it be noted that the approval of any unawarded lot following the chosen procurement exercise will be approved by the strategic director for children and adult services, in consultation with the cabinet member for health and wellbeing for a period of five years with an option to extend for a further two years (5+2).

 

5.  That it be noted that the total estimated maximum value for the contract not awarded is £193k per annum and a whole life contract value of £1.35m over the lifetime of the contract.

 

6.  That the change to the procurement strategy within the gateway 1 (GW1) procurement strategy report as set out in paragraph ?13 of the report be noted.

Report author: David Quirke-Thornton

Publication date: 17/03/2026

Date of decision: 16/03/2026

Decided at meeting: 16/03/2026 - Cabinet

Effective from: 25/03/2026

Accompanying Documents: