New contracts anticipated to save over £50 million on government travel and venue hire
Government has awarded new contracts for travel and accommodation that are anticipated to save more than £50 million.
The Crown Commercial Service (CCS) has awarded a suite of contracts that mark a new approach to how travel and accommodation services are sourced. Instead of a traditional framework agreement, CCS split the provision into 4 separate contracts. This gives central government departments the ability to access much more competitive rates including special offers, and promotional rates and fares.
The successful candidates are:
- Redfern Travel
- Calder Conferences Ltd
- Hogg Robinson Group
- Clarity Travel Management, a new supplier to government
The simplified contract structure demonstrates the government’s pragmatic approach to procurement. Developed during 10 months of consultation with the market, it tailors contracts to the needs of different marketplaces. It will make government travel much better value for money, and opens the service up to small and medium-sized businesses. A wide range of suppliers bid for the work, resulting in more competitive pricing where 3 of the 4 successful bidders are small or medium-sized companies.
The new agreements will also help make civil servants’ travel behaviour more efficient and sustainable. This will be through the increased use of online booking tools, greater use of video and telephone conferencing and more frequent reporting. It will ensure any unnecessary or inefficient journeys are quickly highlighted.
Matt Denham, Commercial Delivery Director at CCS said:
This shift away from traditional frameworks to separate contracts is an excellent example of how the government is reshaping its commercial approach to deliver savings for taxpayers while making the way government runs more efficient.
John Manzoni, Chief Executive of the Civil Service said:
These new contracts demonstrate that by working with our customers and suppliers we are able to develop solutions that support businesses, including smaller companies, while making a significant contribution to government savings that helps to deal with the deficit for the taxpayer.