Carillion bags bundled £700m Oxford FM deal

Aaron Morby 13 years ago
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Oxfordshire County Council has awarded Carillion a 10-year property and facilities management services contract worth up to £700m.

The council said the deal will deliver yearly revenue savings of at least £550,000.

It is the first time all property services have been bundled into one contract and is the first local authority contract of this kind in the country.

A framework agreement has also been put in place through which other local councils and bodies within Oxfordshire can procure services that could increase Carillion’s revenue by an additional £200m.

Oxfordshire County Council also has the option to extend the contract for a further 10 years, based on performance.

Carillion will carry out routine property management, facilities management, energy management and capital works services.

The contractor will use Capita Symonds as a key sub-consultant to deliver strategic asset management, estates management and multi-disciplinary design services, worth £42m.

Carillion will also take on the council’s schools catering business and in-house cleaning service as part of the new contract, with the transfer of over 700 staff.

Richard Howson, Carillion chief executive, said: “We will continue to work closely with Oxfordshire County Council to ensure we deliver high quality, value for money services to the people of the county.”

Huw Jones, director for environment & economy said: “The council has taken advantage of the opportunity to combine a number of contracts that had previously operated independently of each other to provide comprehensive high quality services that also operate more cost effectively, not only improving consistency and resilience, but making financial common sense.”

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