Future Schools bid costs cut by a third

Building Schools for the Future (BSF) bid costs are to be slashed by up to 30% and procurement time cut by two months under new procurement rules to be introduced next month. The new rules are expected to deliver £250m of savings over the 15-year life of the BSF programme.

These changes to the procurement process are the result of a major review of BSF launched by Partnerships for Schools (PfS) last year. The review aimed to tackle the programme's rising bid costs and lengthy procurement process.

Under the new rules local authorities will use an extended prequalification process to shortlist just two bidders, based on their partnering and design capabilities and track records.

The two shortlisted bidders will then work up no more than two detailed designs to RIBA C+ level.

At present, local authorities require at least three shortlisted bidders to work up any number of detailed designs. BSF bid costs are running at around £2m per scheme at present.

PfS chief executive Tim Byles told CJ: "We want to test bidders' design capabilities, not their actual designs, at the early stage and how they can manage difficult and complex land, design and construction arrangements." He added: "We'll quickly get down to two bidders who will produce no more than two sample schemes. This way we release market resources to build more schools."

Byles said he was confident contractors would "warmly welcome the changes".

The review will also recommend more flexibility in the way local authorities procure the technology element of BSF schemes and greater use of multi-area Local Education Partnerships (LEPs) to encourage wider community regeneration.