BSF contract cycle too slow
VARs have called on the government to make the bidding process for Building Schools for the Future (BSF) contracts less onerous.
RM, which has just closed its ninth BSF deal, estimates the cost of bidding at a cool £400,000 and is urging the government to cut the 18-month procurement cycle.
Mike Greig, group finance director at RM, said the firm would spend £4.1m on BSF deals this year. RM announced last week that it has reached a contractual close with Sunderland City Council on a £16m BSF deal.
“Partnerships for Schools, which runs BSF, conducted a review into the BSF procurement process with a view to reducing the procurement cycle from 85 to 75 weeks. It still needs ministerial endorsement to take effect and we would welcome that,” Greig said.
Steve Reynolds, managing director of Civica Direct, said: “There is no doubt that bidding costs for BSF contracts are high. One of the reasons for this is that the contracts involve architects and building companies and so become very complex. But a shorter sales cycle would be possible.”
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