Fusion21 opens bidding for £1bn construction and refurbishment framework

Fusion21 has invited bids for a national Construction & Refurbishment Framework worth £1bn over four years, running from 2027 to 2031, with a deadline for tenders of 8 January 2027.

The procurement body, which describes itself as a social enterprise specialising in public sector procurement, said it wants suppliers with experience of construction and refurbishment work in housing, health, education and the wider public sector.

The framework is the third iteration of the arrangement. Fusion21 said the previous version has so far delivered 95 member projects with a combined value of £675m and an average project value of £7.2m.

Peter Francis, Group Executive Director (Operations) at Fusion21, said: "This streamlined framework will provide members with a consistent and efficient route from procurement through to delivery, as well as flexibility and confidence in compliance."

The lots

The new framework has two lots. Lot 1, Housing Refurbishment and New Build, covers works to residential and social housing assets, including retrofit and energy efficiency programmes and new build such as extra care, infill and rooftop development.

Lot 2, Non-Domestic Refurbishment and New Build, covers non-domestic buildings and the public estate, including education, health and wider public sector assets.

That is a simpler structure than the current framework. According to Fusion21's own framework page, the existing arrangement has 61 appointed suppliers, 64% of them SMEs, spread across three lots: internal and external refurbishment, construction and new build, and modular buildings.

The headline value has also changed. When Fusion21 announced the 61 appointments in May 2023, it described that framework as worth up to £500m over four years. The £1bn figure for the successor rests on Fusion21's announcement; the official tender notice does not state an estimated value.

Larger contracts

Fusion21 said it is seeking to lift the size of the work let through the framework. Mr Francis said that by identifying demand earlier and bringing requirements together into larger, planned programmes, "we aim to maximise the value of the framework, increase average contract values and give suppliers the consistency and confidence to invest in long-term delivery."

The body said the framework embeds the Gold Standard principles in how projects are procured and managed. The Gold Standard is an independent review of public sector construction frameworks led by Professor David Mosey and published by the Cabinet Office on 16 December 2021, containing 24 recommendations. The Cabinet Office said at the time that it set out how government and industry must work together to tackle waste, secure value for money and drive innovation.

Fusion21 also said the framework aims to create direct and indirect opportunities for SMEs, social enterprises and third-sector organisations. The organisation says it has delivered almost £400m in social impact to date with its members, suppliers and clients.

The procurement

The tender is being run as an open procedure under the Procurement Act 2023, according to the notice on the government's Find a Tender service, which followed a preliminary market engagement notice. The record names the contracting authority as Fusion 21 Foundation and says the framework will cover construction and refurbishment works for participating contracting authorities across the UK.

Fusion21 said applications are welcome from suppliers that meet the criteria in the tender documentation, and that bidders can find the opportunity under "Current opportunities" on its website. The bidding window closes on 8 January 2027.