Funding framework for public sector construction projects launched

A new funding framework has been developed to allow construction firms the chance to bid for work on government projects over the next seven years.

The Construction Works and Associated Services commercial agreement will assist central Government and the wider public sector with projects focused on the construction, refurbishment, repair, demolition or decommission of public buildings across the UK.

Designed by Crown Commercial Service (CCS), the framework aims to provide customers and suppliers with the assurances required for long-term projects, and make sure the Government gets best value for money.

John Welch, CCS’s Deputy Director for Construction, said:

"This agreement will support construction and drive industry growth. Its lotting structure has been designed to maximise opportunities for all sizes of company and that includes SMEs, which play a key role in UK construction.

"For example, standardised payment terms and other fair payment objectives are embedded within the framework scope. This agreement also facilitates the use of digitisation in construction and promotes the use of innovative solutions via modern methods of construction."

It is estimated that over the seven year life of the framework, the cost of the works carried out across the country could be up to £30bn or less – with the projects led by departments and the money taken from existing departmental budgets.

Prompt payment initiatives and project bank accounts (PBA’s) have been incorporated into the framework to support supply chains. Suppliers interested in bidding have to register on the CCS eSourcing system.