Decision details

Councillor A Arif introduced the report seeking Cabinet approval for contractor appointments and contract extensions to deliver the Council's 2026/27 housing retrofit and carbon reduction programme, funded through the approved HRA Capital Programme budget of £5.6 million.

Councillor Birchmore queried the battery storage and whether it is in the roof space. Sian Grant, Director of Housing confirmed this was not the case as it would be a fire risk.

Decision(s):

Cabinet:

-      Approved an extension of the existing contract between the Council and A.Connolly Limited (Company number 03860866) in respect of Bent Hill estate, Prestwich, Sedgley Ward – 140 properties, which forms part of Programme A, for a further term of 12 months commencing on 8th September 2026 and a total estimated contract value of £2,520,090.72 (inclusive of VAT).

-      A contract award to Next Energy Solutions Ltd (Company number 10147744), in respect of the Estates comprising of Programme B and as outlined at 2.1, for an initial term of 8 months (proposed commencement date of 25th September 2026 and the option to extend for a further two years taken as 12-month increments from 1st April 2027, at the Council’s sole discretion. The total estimated contract value for the initial term is £2,608,261.32 (inclusive of VAT). The total estimated future contract values in the event the options to extend are utilised by the Council are as follows: 

o   First 12-month extension: £3,912,391.98 (inclusive of VAT)

o   Second 12-month extension: £3,912,391.98 (inclusive of VAT)

-      The estimated future contract values for the extension periods represent annualised values calculated on a pro rata basis from the initial term figure.

Reasons for decision(s) 

-      The primary reason for requesting the contract extension with A.Connolly and contract award to Next Energy is to ensure continuation of the Bury Council Housing retrofit programme, which is aimed at helping to achieve Energy  Performance Certificate (“EPC”) C by 2030 along with aims to reduce energy consumption and carbon emissions. Retrofit surveys are underway in  preparation for Social Housing/Warm Homes Fund (Wave 3) grant application which is essential to support HRA capital investment. 

Alternative options considered and rejected

-      Do nothing: The energy schemes are necessary to help achieve legislative requirements of EPC C by 2030 and Net Zero ambitions in line with GMHP by 2038. 

-      Deliver Inhouse: Due to the specialist scope of work within these contracts there is both a lack of suitable skills and capacity for the in-house contractor (Repairs Direct). 

-      Re- tender: This option was considered for A.Connolly relating to the Bent Hill scheme and would be possible; however, this would involve a significantly extended procurement process in both time and cost.