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Havering contract register puts £1.986bn of agreements under scrutiny

Havering contract register puts £1.986bn of agreements under scrutiny

Havering’s council contract register is under scrutiny after papers prepared for the borough’s Overview and Scrutiny Board put the combined stated value of 213 agreements at about £1.986 billion.

The figures were due to be examined at a board meeting on Thursday 24 September. They provide a snapshot of the commitments recorded by the council at the beginning of September, rather than a claim that the authority has already spent the headline amount.

What the register shows

The register gives the agreements an annual value of approximately £244.2 million. Its largest entry is an £800 million development-management contract with Wates Property Services. Other major agreements listed in the papers include a £203 million highways contract with Marlborough Highways, a £168 million temporary-agency staffing contract with Adecco and a £140 million heating contract with Sureserve Compliance South.

Waste and housing services also account for substantial entries. FCC Waste Management’s recycling, waste collection and street-cleansing contract is stated at £90 million, while a housing repairs and voids agreement with Mears is valued at £56 million.

These are contract values across the full duration of agreements. The papers caution that they can change with usage and need, and should not be read as a statement of actual expenditure. A long-term contract may set a maximum or expected value without that sum being drawn down in full. The distinction matters when a large register total is used to describe the scale of public procurement.

Approaching contract deadlines

The scrutiny material identifies 97 agreements, with a combined stated value of roughly £276.9 million, that are expected to expire or reach the end of their initial terms by March 2028. That creates a forward-looking management task for the council and a point of interest for residents, suppliers and councillors.

An approaching end date does not by itself mean a service will stop. Depending on the terms and the council’s decisions, an agreement could be renewed, re-tendered, replaced or allowed to end. The register therefore points to a programme of decisions rather than a single future spending event. It also gives scrutiny members an opportunity to ask how continuity, competition and value for money will be assessed before those deadlines arrive.

Questions about oversight

Contract management is currently devolved to individual council services. Havering says it wants to develop a more central framework to improve tracking, compliance and the handling of contract breaches. The proposed direction would give the authority a common way to monitor agreements that are currently managed in different parts of the organisation.

That approach could make it easier to compare performance, identify overdue actions and see where a supplier has been asked to deliver an improvement plan. It may also clarify who is responsible for escalating a problem when performance falls short. Those are governance benefits in principle, however, and the papers do not establish that a new framework is already operating or that every contract is currently being monitored to one standard.

The board’s scrutiny provides a public forum for testing the register’s numbers and the council’s methods. Relevant questions include how much has actually been paid against the largest agreements, how projected values are calculated, which suppliers have required improvement plans, and how consistently performance information is recorded across services.

For Havering residents, the practical significance lies less in the dramatic size of the aggregate figure than in the decisions behind it. The register covers services and works that affect daily life, from roads and heating to waste collection, repairs and staffing. Clearer information about contract value, delivery and upcoming renewal decisions can help councillors and the public judge whether those arrangements are meeting the borough’s needs.

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