Decision details

Declarations of Interest for this Item:

None

RESOLVED:

That the Cabinet Member for Housing and Planning and Deputy Leader:

1. In accordance with the Council’s Contract Standing Order 18.03.3 and CSO 2.01(d), approved a variation/extension to the contracts dated 1st October 2020 with an initial expiry date of 30th September 2025 between the Council and the Service Provider for [a gas servicing programme in Haringey – Lot 1 and Lot 2] (the “Contracts”) under Contract Standing Order 18.03.3 and CSO 2.01(d), and agreed to extend both current Gas Servicing contracts with the following contractors, by extending the current term of the Service by up to six (6) months until 31st March 2026.

·       Purdy Contracts Limited, effective from 1st October 2025, was approved to provide a further extension of six (6) months to 31st March 2026, at an additional cost of £1,305,000.00. This brought the total contract value to £18,759,908.90.

·       Sureserve Compliance South Ltd (formerly K&T Heating Services Ltd), effective from 1st October 2025, was approved to provide a further extension of six (6) months to 31st March 2026, at an additional cost of £1,220,000.00. The aggregated total value of the contract remained the same as the original contract value figure of £11,800,000.00, and only the duration of the Contract was amended.

2. Each contract was extended for a period of 6 months commencing from 1st October 2025 until 31st March 2026.
   
   
3. This decision was retaken following clarification of the contractor’s name and additional information included on the values.

Reasons for the decision:

The reasons for seeking to extend this contract were set out below:

To continue with the servicing and maintenance of Domestic & Commercial heating systems with minimal disruption to the residents due to faults and breakdowns.

To ensure continuity in adhering to regulation 36 (Duties of Landlords) under the Gas Safe Regulations 1998 to keep residents safe.

This was the most economically advantageous route, as a new interim provider would almost certainly have inflated the contract sum, which would have been challenging under the current financial climate.

To procure the new long-term Domestic & Commercial Heating contracts for mobilisation by 1st April 2026, which was in alignment with the new financial year.

Alternative options considered:

Do Nothing
This was not an option, due to the Council’s statutory health and safety obligations.

Undertaking a full procurement exercise to re-tender the contract
A full procurement exercise was underway but was not completed before 1st October, which would have meant that there was no service provision for gas & heating repairs, maintenance & renewals.

In-house Delivery
This option had been previously investigated; however, it was not viable to deliver these services in-house due to the lack of skill sets within the housing repair service to repair and maintain the various types of heating systems currently managed. It would also have taken a significant amount of time, planning, and investment to set up an in-house team in an extremely competitive market at that time.