Introduction

We have a unique role in Northern Ireland as one of the province’s largest public sector organisations, with a budget in excess of £600million.

The purpose of this section is to make it easier for potential suppliers, contractors and consultants to do business with us by explaining how we buy the wide variety of construction contracts (building and grounds maintenance), supplies and services needed to provide an excellent housing service.

We issue a regular Construction Information Bulletin to update contractors, consultants and the construction industry generally on any changes in how we carry out our business.

• You can also view all current tenders, as well as finding out about contracts that were recently awarded.

New social housing development  – Design and build announcement

This is to advise those parties with an interest in the delivery of the Social Housing Development Programme that negotiated Design and Build Packages are no longer considered appropriate.  

Design and Build Packages are negotiated contracts for, in this instance, the provision of new social housing whereby a developer who owns the land also builds the houses. These arrangements were appropriate and good value for money when land was in short supply and increasing in value.

However, developing European Union case law has now called into question the use of negotiated Design and Build Packages. This applies to all regions of the UK and throughout the rest of the EU.

Recent legal advice indicates that the negotiated Design and Build approach, which is just one of the methods for delivering the social housing new build programme, could run contrary to current EU procurement law.

In the light of this the Northern Ireland Housing Executive will now replace these negotiated Design and Build Packages with alternative new build schemes using traditional competitive procurement arrangements.

This should ensure that the target to provide 1,750 new social housing homes in 2009/10 will still be achieved.

Former Design and Build contractors are free to compete for construction work commissioned under the Social Housing Development Programme. They can also opt to sell their development land to Housing Associations at any time.

The procurement of new social housing must conform to current EU procurement Law, ensure that both developers and builders have equality of opportunity and, importantly, deliver best value for the public purse.

Development Programme Group, Northern Ireland Housing Executive, 2 Adelaide Street, Belfast BT2 8PB 028 90318400.