Procurement Profile: Home Office

Procurement Profile: Home Office

Posted by James Piggott on 14 December 2021

The UK Home Office is responsible "for immigration and passports, drugs policy, crime, fire, counter-terrorism and police".

To help fulfil its responsibilities, the Home Office has awarded over £18 billion in contract awards to private suppliers since January 2016. This makes the Home Office the 3rd largest public authority by total contract award value.

Using our market intelligence platform, this buyer profile digs into these contract awards - and much more - to reveal rich insights into the Home Office's procurement behaviour. With this hard data, you'll be in prime position to win more business from this procurement giant.

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The Home Office has spent nearly £10 billion with private suppliers since January 2016, covering over 43,000 transactions.

As the above graph indicates, annual spend with suppliers has largely flatlined since 2016, ranging from £1.3bn in 2016 to £1.9bn in 2018.

From January 2016 to November 2021, the Home Office's largest suppliers by total spend were:

Supplier / Organisation

Sector

Total Invoice Value

Largest Listed Spend

Value / Date

Airwave Solutions Ltd

Emergency Communications

£1.33bn

Digital Data & Technology (IT Run Cost)

£23.8m / March 2021

EE Ltd

Tele-communications

£483m

CPFG - Crime Policing & Fire Group (Professional & Admin Services)

£11.2m / March 2018

Mitie Care & Custody Ltd

Immigration Services

£386m

UK Immigration Enforcement (Public Order, Security & Safety Services)

£3.19m / July 2018

Cushman & Wakefield Debenham Tie Leung Ltd

Real Estate

£347m

Corporate Enablers (FM Allocation Control)

£18.9m / June 2021

Fujitsu Services Ltd

Information & Communications

£337m

Digital Data & Technology (System Clearing)

£4.89m / Jan 2019

 

 

 

From January 2016 - November 2021, the Home Office has awarded at least 2,090 contracts to over 870 suppliers, valued at approximately £18.1bn.

As the above analysis shows, a substantial chunk of this value came in 2019 after numerous 'Asylum Accommodation and Support Services' contracts were awarded across the country. The largest of which - Asylum Accommodation and Support Services Contract South, awarded to Mears Ltd, Clearsprings Ready Homes Ltd, Serco Ltd and others - was valued at £3.25bn.

The annual volume of Home Office contract awards is fairly inconsistent, nor has it strongly correlated with annual contract value.

Over this period, the Home Office's largest contract awards - excluding AASS related contracts - included:

Title

Award Date

Award Value

Supplier(s)

FW UAS Managed Services

Nov 2019

£1bn

Tekever Ltd

Emergency Services Network - Lot 3 Mobile Services - Contract Variation

July 2019

£681m

Everything Everywhere Ltd

Provision of In-Country and Overseas Escorting

April 2018

£514m

Mitie Care & Custody Ltd

Emergency Services Network - Lot 2 User Services

May 2019

£410m

Motorola Solutions UK Ltd

2020 Modern Slavery Victim Care Contract

June 2020

£281m

The Salvation Army

See how we uncovered these insights

7(1)

 

Tussell's platform identified 179 likely-to-be-renewed contracts * - with a total award value of £2.38bn - that are due to expire from 2023 - 2025.

The spike in upcoming renewal value comes from the expiration of two large Emergency Services Network contracts with Everything Everywhere and Motorola Solutions UK.

Notably, 45 of these contracts - valued at £453 million - were call-offs from a framework. This means that upcoming opportunities to do business with the Home Office lie predominantly outside framework agreements: welcome news if you're not currently on frameworks utilised by the Home Office.

The largest of these contracts - that were not call-offs - include:

Contract Title

End Date

Award Value

Supplier(s)

Emergency Services Network - Lot 3 Mobile Services 2015/24

Dec 2024

£900m

Everything Everywhere Ltd

Emergency Services Network - Lot 2 User Services

Dec 2024

£410m

Motorola Solutions UK Ltd 

Strategic Central & Bureau Platform

Sept 2025

£96.4m

Leidos Innovations UK Ltd

Service and Maintenance of Fixed Mobile RN Detection Equipment

March 2025

£75m

Leonardo MW Ltd

Yarl's Wood Immigration Removal Centre

March 2025

£70m

Serco Ltd

* "likely-to-be-renewed" is defined as 'services' and 'supplies' contracts

 

 

Since 2016, the Home Office has awarded contracts to at least 658 suppliers.*

The Home Office's top suppliers - by total contract award value - were:

Supplier

Sector

Total Contract Award Value

Largest Listed Contract

Contract Value / Award Date

Serco Ltd

Public service provider

£3.19bn

Asylum Accommodation and Support Services Contract South

£3.25bn / Jan 2019

Mears Ltd

Housing and social care

£2.9bn

Asylum Accommodation and Support Services Contract South

£3.25bn / Jan 2019

Clearspring Ready Homes Ltd

Housing

£2.65bn

Asylum Accommodation and Support Services Contract South

£3.25bn / Jan 2019

Tekever Ltd

Surveillance

£1bn

FW UAS Managed Service

£1bn / Nov 2019

Mitie Care & Custody Ltd

Immigration Services

£789m

Provision of In-Country and Overseas Escorting (etc.)

£514m / Apr 2018

The suppliers with whom the Home Office awards contracts most frequently includes Vision-Box Systems (28 total contract awards), Softcat PLC (23 total contract awards), Capgemini UK PLC (21 total contract awards) and Computacenter UK Ltd (15 total contract awards).

 

This figure includes subsidiaries.

 

6(1)

 

Below is a breakdown of the Home Office's IT and consultancy contract awards from 2016 - November 2021. This analysis was conducted using CPV codes, meaning the data may include some anomalous results.

 

IT and Software (CPV: 48000000, 72000000, 42960000)

Since 2016, the Home Office has awarded over approximately 1,100 IT and software related contract awards, at a value of £4.4bn.

As the above graph indicates, the total value of these contracts has remained relatively stable since 2016, peaking in 2019 alongside the aforementioned Emergency Services Network contracts.

The largest suppliers in this sector - by total contract award value - were Motorola Solutions UK Ltd (£707m), Everything Everywhere (£681m), Capgemini UK PLC (£220m), Fujitsu Services Ltd (£198m) and Sopra Steria Ltd (£170m).

The largest contracts in this period included:

Title

Award Date

Award Value

Supplier(s)

Emergency Services Network - Lot 3 Contract Variation

July 2019

£681m

Everything Everywhere Ltd

Emergency Services Network - Lot 2 User Services

May 2019

£410m

Motorola Solutions UK Ltd

Public Cloud Hosting Services - One Government Value Agreement

Nov 2020

£120m

Amazon Web Services UK Ltd

Strategic Central & Bureau Platform

Oct 2019

£96.4m

Leidos Innovations UK Ltd

Front End Service

Apr 2018

£94m

Sopra Steria Ltd

 

Marketing, Recruitment, Consultancy (CPV: 79000000) *

Since 2016, the Home Office has awarded approximately 170 consultancy-related contracts, at a total value of £463m.

As the above analysis indicates, while the volume of consultancy-related contracts awarded has increased year-on-year this has not resulted in a corresponding rise in value. 

The largest suppliers in this sector - by total contract award value - include M&C Saatchi UK Ltd (£111m), Sopra Steria Ltd (£64.6m), Deloitte LLP (£60.1m), Mitie Ltd (£31m) and Teleperformance Ltd (£22.8m).

The largest contracts in this period included:

Title

Award Date

Award Value

Supplier(s)

HMPO Scanning, Validation and Storage

May 2020

£64.6m

Sopra Steria Ltd

BSBT Strategic Communications

May 2016

£60.7m

M&C Saatchi UK Ltd

Programme Advisory & Delivery Services

Aug 2019

£60m

Deloitte LLP

RICU Communications

Feb 2019

£50m

M&C Saatchi UK Ltd

NOMS SLA

Sept 2017

£26.4m

Not listed

 

To yield more consultancy-tailored data, the search behind this data did not include references to 'AASC', 'Escorting', 'ESN' or 'Immigration'

 

4(1)

 

Of the 2,090 contracts awarded by the Home Office since 2016, 650 - or nearly 1/3rd - have been identified as call-offs from a framework.

Using Tussell's frameworks analytics, we can see the total value of these call-offs sat at approximately £1.71bn and spanned 69 frameworks.

By value of identified call-offs, the Home Office's most valuable frameworks include Technology Services 2 (£294m), G-Cloud 12 (£169m), Digital Outcomes & Specialists 4 (£161m), Digital Outcomes & Specialists 2 (£129m) and Facilities Management Marketplace (£91.4m).

By the total count of identified call-offs, the Home Office's most heavily utilised frameworks are Digital Outcomes & Specialists 2 (82 call-offs), G-Cloud 11 (59 call-offs), Technology Products 2 (57 call-offs), Technology Products & Associated Services (53 call-offs) and G-Cloud 9 (50 call-offs).

Across this period, the Home Office has operated 25 frameworks of their own, but only called-off 21 contracts from them at a value of £8.32m (with the National Framework Agreement for the Supply of Conducted Energy Devices being by and far the most utilised). This strongly indicates that the Home Office prefers calling-off contracts from externally created framework agreements, rather than harnessing their own.

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*

The Home Office procures billions of pounds worth of goods and services every year. With data-driven insights and analysis behind you, your business can do more business with this procurement leader.

This analysis only covers the surface of what Tussell's aggregated data platform can tell you about public sector. With Tussell, you can analyse spend, contract awards, favoured frameworks and more across the public sector, helping you make more informed decisions when selling to the public sector.

Book a demo with our team to see how Tussell can unlock insights for your public sector business strategy.

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