Agenda item

The Cabinet Member for Health, Social Care and Wellbeing RESOLVED:

3.1. Approved the award of a Contract to the proposed provider identified in the exempt report for a maximum sum for year 1 of £4.5million in accordance with Contract Standing Order (CSO) 2.01. Cabinet approve awards of contracts valued at £500,000 or more) in accordance with CSO 0.08 (Decision which is required to be taken by Cabinet, may also be taken by the Leader or a Cabinet Member with the Leader’s agreement). The new contract arrangement will be managed via a new Consortium arrangement with 7 other London Boroughs, known as the North London Equipment Partnership (NLEP).

3.2. Noted that the contract will be for a period of 1 year with a 2-year extension period option (1+1). It is proposed the contract will start on 15th September 2025.

3.3. Approved the share of mobilisation costs estimated at £62,500 per borough.

3.4. Delegated authority to the Corporate Director for Adults, Housing and Health to take all necessary decisions to enter into a partnership agreement with the boroughs listed in paragraph 1.2 above to form the North London Equipment Partnership.

The report was submitted as an urgent matter due to the serious impact on residents who relied on the continued provision of community equipment, following the liquidation of NRS Healthcare Limited—the Council’s previous provider—on 1 August 2025. The appointment of an Official Receiver and Special Managers necessitated rapid decision-making to safeguard essential services. Community equipment encompassed a broad range of items, from basic daily living aids to complex health and social care support tools.

Since 1 August, the Council had operated under an interim arrangement with NRS through the appointed managers. The original framework agreement had been commissioned in 2023 by Westminster City Council and the Royal Borough of Kensington and Chelsea, and was shared among 21 London boroughs via the London Community Equipment Consortium. A separate report had been submitted to the Cabinet Member seeking approval to formally terminate the contract with NRS.

The equipment service had supported both adults and children living at home, promoting independence and facilitating early hospital discharge. Items ranged from low-cost aids like grab rails and raised toilet seats to high-cost specialist beds, hoists, pressure care devices, and mattresses. While the majority of recipients were aged 65 and over, younger disabled individuals also benefited. In June alone, 17,000 pieces of equipment had been delivered to 2,500 residents. The service also included repairs, maintenance, and collection of equipment.

RESOLVED

The Cabinet Member for Health, Social Care and Wellbeing:

3.1. Approved the award of a Contract to the proposed provider identified in the exempt report for a maximum sum for year 1 of £4.5million in accordance with Contract Standing Order (CSO) 2.01. Cabinet approve awards of contracts valued at £500,000 or more) in accordance with CSO 0.08 (Decision which is required to be taken by Cabinet, may also be taken by the Leader or a Cabinet Member with the Leader’s agreement). The new contract arrangement will be managed via a new Consortium arrangement with 7 other London Boroughs, known as the North London Equipment Partnership (NLEP).

3.2. Noted that the contract will be for a period of 1 year with a 2-year extension period option (1+1). It is proposed the contract will start on 15th September 2025.

3.3. Approved the share of mobilisation costs estimated at £62,500 per borough.

3.4. Delegated authority to the Corporate Director for Adults, Housing and Health to take all necessary decisions to enter into a partnership agreement with the boroughs listed in paragraph 1.2 above to form the North London Equipment Partnership.

Reasons for decision

4.1. These urgent decisions are sought due to the need to ensure continuity of provision of Community Equipment services for residents, to ensure they are kept safe and fulfil the council's statutory responsibilities.

4.2. The Community Equipment Supplier, Nottinghamshire Rehab Ltd (trading as NRS Healthcare), went into compulsory liquidation on the 1 August 2025. Whilst PWC were appointed as the Special Manager to oversee the process, NRS Healthcare continued to operate (via Official Receiver and Special Managers), but with a reduced service to allow Local Authorities to identify alternative arrangements. Extensive work has been undertaken by the service to identify short- and medium-term opportunities to meet these requirements.

4.3. As a result of this work a preferred supplier arrangement has been identified for the provision of a 1-year contract with the options to extend for a further 2 years on a 1 + 1 basis. This provides the Council with the opportunity to continue exploring longer term options whilst meeting the essential need.

4.4. The proposal of entering a new consortium with another 7 boroughs, forming the North London Equipment Partnership (NLEP), provides an appropriate arrangement to secure and manage the contract. The new arrangement will be supported with a formal partnership arrangement between the 8 boroughs.

Alternative options considered:

5.1. The recommended option is to directly award a contract to the proposed provider, The provider has the requisite skills and experience to safely manage this complex service, whilst further planning for longer term service provision takes place, as outlined in the above options appraisal.