Functional Assessment Services (FAS) 2023 – Lot 5

Contracts

• Functional Assessment Services (FAS) 2023 – Lot 1

  Signed

  19 Sept 2023

  Value

  £942,350,728

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation 72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”), and is published for transparency purposes. The Functional Health Assessments (“FAS”) contracts were signed in September 2023 and included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for Personal Independence Payment (“PIP”) assessments has continued to rise whilst the Authority has worked with incumbent suppliers to successfully recruit and retain a higher number of Health Professionals (“HPs”) which has enabled the highest ever volume delivery of PIP assessments. The increased number of HPs helps the Authority better meet the demand for assessments across PIP and Work Capability Assessment (“WCA”) (as well as other benefits), and better protects the delivery of the service. Retention of the HP’s into FAS ensured that capacity for assessments will meet the current levels of PIP, WCA and other benefits. Collectively, this helps by reducing the length of a customer's journey and minimises the backlog of claims. In addition to the increased clinical staffing, there were some changes to supplier costs to reflect IT solution changes to address technical constraints and levels of integration. Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has agreed an extension to the previous Side Letter with the FAS supplier to vary the FAS contract to cover the increased clinical staffing which leads to the provisions of additional services, in addition to the additional costs to reflect the changes to the IT solution to address various technical constraints. The additional services are required to address an increase in the number of FAS assessments over the number initially envisaged during the procurement. Given that the FAS contract was entered into in September 2023 and the FAS suppliers have recently completed a lengthy hand over period prior to commencing operational services commencement in September 2024, it would not have been possible to appoint a new supplier to deal with the additional services outlined in this modification notice, as the new supplier would not have had the benefit of the handover period., Need for additional works, services or supplies by the original contractor/concessionaire: Appointing a new supplier to address the additional services would have also led to a significant duplication of costs, due to overlap in supplier personnel and duplication of processes and systems and particularly as during the handover period, the Department was paying incumbent suppliers to deliver the assessment services. There would be interchangeability issues with existing processes and systems with a new supplier which would negatively impact the delivery of key services. A change in supplier without the lengthy handover period and a transition to the new managed IT System would risk the delivery of the services which provide critical statutory benefits to vulnerable claimants. The increase in price does not exceed 50% of the value of the original contract.

• The Functional Assessment Service Lot 4 (London, South East & East Anglia)

  Signed

  19 Sept 2023

  Value

  £575,433,801

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation 72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”), and is published for transparency purposes. The Functional Health Assessments (“FAS”) contracts were signed in September 2023 and included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for Personal Independence Payment (“PIP”) assessments has continued to rise whilst the Authority has worked with incumbent suppliers to successfully recruit and retain a higher number of Health Professionals (“HPs”) which has enabled the highest ever volume delivery of PIP assessments. The increased number of HPs helps the Authority better meet the demand for assessments across PIP and Work Capability Assessment (“WCA”) (as well as other benefits), and better protects the delivery of the service. Retention of the HPs into FAS has ensured that capacity for assessments will meet the current levels of PIP, WCA and other benefits. Collectively this helps by reducing the length of a customer's journey and minimises the backlog of claims. In addition to the increased clinical staffing, the process built in some changes to supplier business models and costs to reflect IT solution changes to address technical constraints and levels of integration. Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has agreed an extension to the previous deed of variation with the FAS supplier to vary the FAS contract to cover the increased clinical staffing which leads to the provisions of additional services, in addition to the additional costs to reflect the changes to the IT solution to address various technical constraints. The additional services are an increase in the number of FAS assessments over the number initially envisaged during the procurement. The increase in price does not exceed 50% of the value of the original contract., Need for additional works, services or supplies by the original contractor/concessionaire: Given the FAS contract was entered into in September 2023 and the FAS suppliers completed a lengthy handover period before starting operational services in September 2024, appointing a new supplier for the additional services outlined in this modification notice was not possible, as they would lack the handover period. Appointing a new supplier to address the additional services would also lead to significant duplication of costs, due to overlap in supplier personnel and duplication of processes and systems, especially since the Department was paying the incumbent suppliers to deliver assessment services during the handover. There would be interchangeability issues with a new supplier, negatively impacting the delivery of key services. A change in supplier without the lengthy handover period and a transition to the new managed IT System would risk the delivery of the services providing critical statutory benefits to vulnerable claimants.

• The Functional Assessment Service Lot 3 (South East England)

  Signed

  19 Sept 2023

  Value

  £528,418,921

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation 72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”), and is published for transparency purposes. The Functional Health Assessments (“FAS”) contracts were signed in September 2023 and included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for Personal Independence Payment (“PIP”) assessments has continued to rise whilst the Authority has worked with incumbent suppliers to successfully recruit and retain a higher number of Health Professionals (“HPs”) which has enabled the highest ever volume delivery of PIP assessments. The increased number of HPs helps the Authority better meet the demand for assessments across PIP and Work Capability Assessment (“WCA”) (as well as other benefits), and better protects the delivery of the service. Retention of the HPs into FAS has ensured that capacity for assessments will meet the current levels of PIP, WCA and other benefits. Collectively this helps by reducing the length of a customer's journey and minimises the backlog of claims. In addition to the increased clinical staffing, the process built in some changes to supplier business models and costs to reflect IT solution changes to address technical constraints and levels of integration. Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has agreed a deed of variation with the FAS supplier to vary the FAS contract to cover the increased clinical staffing which leads to the provisions of additional services, in addition to the additional costs to reflect the changes to the IT solution to address various technical constraints. The additional services are an increase in the number of FAS assessments over the number initially envisaged during the procurement. The increase in price does not exceed 50% of the value of the original contract., Need for additional works, services or supplies by the original contractor/concessionaire: Given the FAS contract was entered into in September 2023 and the FAS suppliers completed a lengthy handover period before starting operational services in September 2024, appointing a new supplier for the additional services outlined in this modification notice was not possible, as they would lack the handover period. Appointing a new supplier to address the additional services would also lead to significant duplication of costs, due to overlap in supplier personnel and duplication of processes and systems, especially since the Department was paying the incumbent suppliers to deliver assessment services during the handover. There would be interchangeability issues with a new supplier, negatively impacting the delivery of key services. A change in supplier without the lengthy handover period and a transition to the new managed IT System would risk the delivery of the services providing critical statutory benefits to vulnerable claimants.

• Contract 024202-2026-1

  Signed

  19 Sept 2023

  Value

  —

  Period

  … – 6 Sept 2031

  Status

  active

• Functional Assessment Services (FAS) 2023 – Lot 2

  Signed

  19 Sept 2023

  Value

  £721,138,844

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation 72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”), and is published for transparency purposes. <br/>This notice relates to modifications made by way of three successive amendments dated 3 September 2025, 27 November 2025 and 29 January 2026 respectively. The amendments dated 27 November 2025 and 29 January 2026 are extensions of the amendment dated 3 September 2025 – these amendments were required due to ongoing complex discussions between both Parties to address the need for additional volumes and the associated changes required. The narrative below is relevant to each of the modifications with each modification allowing the services to be provided at the assessment demand levels required to support the Authority’s required volumes to meet the service users’ needs whilst the ongoing discussions are progressed, therefore preserving these vital services for benefit service users.<br/><br/>The Functional Assessments Services (“FAS”) contract (Lot 2) was signed in September 2023 and included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for Personal Independence Payment (“PIP”) assessments has continued to rise whilst the Authority has worked with incumbent suppliers to successfully recruit and retain a higher number of Health Professionals (“HPs”) which has enabled the highest ever volume delivery of PIP assessments. The increased number of HPs helps the Authority better meet the demand for assessments across PIP and Work Capability Assessment (“WCA”) (as well as other benefits), and better protects the delivery of the service. Recruitment and retention of the HP’s into FAS is critical to ensuring that capacity for assessments continues to be met for the required levels of PIP, WCA and other benefits. Collectively, this helps by reducing the length of a customer's journey, minimises the backlog of claims and ensures that all claimants receive the services they are entitled to.<br/>In addition to the increased clinical staffing, there were some changes to supplier costs to reflect IT solution changes to address technical constraints and levels of integration. <br/>Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has agreed modifications with the FAS supplier to vary the FAS contract to cover the increased clinical staffing which leads to the provision of additional services - these additional services are required to address an increase in the number of FAS assessments required over the number initially envisaged during the procurement. The modification also reflects changes to the IT solution to address various technical constraints. <br/>For clarity as stated above this notice relates to three side letters which have had the following impacts on the value of the contract:<br/>The amendment dated 3 September 2025 changed the TCV from £681,730,070 to £701,714,320 <br/>The amendment dated 27 November 2025 changed the TCV from £701,714,320 to £711,341,328<br/>The amendment dated 29 January 2026 changed the TCV from £711,341,328 to £721,138,844<br/>Additional demand for both assessment volumes have arisen since Contract Award necessitating these additional services to support the Authority’s required volumes to meet the service users’ needs whilst the ongoing discussions are progressed, therefore preserving these vital services for benefit service users., Need for additional works, services or supplies by the original contractor/concessionaire: There would be interchangeability issues with existing processes and systems with a new supplier which would have an unacceptable impact on the delivery of key services and would result in a high level of cost associated with engaging,mobilising and operating the additional services. Appointing a new supplier to address the additional services would have also led to a significant duplication of costs, for the reasons mentioned in the paragraph above in mobilising a new supplier and also due to overlap in supplier personnel and duplication of processes and systems which would be required if two suppliers were delivering different parts of the service. The increase in price (under each of the Side Letters dated 3 September 2025, 27 November 2025 and 29 January 2026) does not exceed 50% of the value of the original contract for each of the modifications.

• The Functional Assessment Service Lot 5 (Northern Ireland)

  Signed

  19 Sept 2023

  Value

  £157,080,007

  Status

  active

• The Functional Assessment Service Lot 1 (Northern England and Scotland)

  Signed

  19 Sept 2023

  Value

  £918,148,703

  Period

  … – 6 Sept 2031

  Status

  active

• The Functional Assessment Service Lot 2 (Midlands and Wales)

  Signed

  19 Sept 2023

  Value

  £645,465,979

  Status

  active

• The Functional Assessment Service Lot 3 (South West England)

  Signed

  19 Sept 2023

  Value

  £506,745,902

  Status

  active

• The Functional Assessment Service Lot 4 (London, South East & East Anglia)

  Signed

  19 Sept 2023

  Value

  £542,473,048

  Status

  active

• The Functional Assessment Service Lot 3 (South West England)

  Signed

  19 Sept 2023

  Value

  £518,504,027

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation 72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”), and is published for transparency purposes. The Functional Health Assessments (“FAS”) contracts were signed in September 2023 and included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for Personal Independence Payment (“PIP”) assessments has continued to rise whilst the Authority has worked with incumbent suppliers to successfully recruit and retain a higher number of Health Professionals (“HPs”) which has enabled the highest ever volume delivery of PIP assessments. The increased number of HPs helps the Authority better meet the demand for assessments across PIP and Work Capability Assessment (“WCA”) (as well as other benefits), and better protects the delivery of the service. Retention of the HPs into FAS ensured that capacity for assessments will meet the current levels of PIP, WCA and other benefits. Collectively, this helps by reducing the length of a customer's journey and minimises the backlog of claims. In addition to the increased clinical staffing, there were some changes to supplier costs to reflect IT solution changes to address technical constraints and levels of integration. Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has agreed a deed of variation with the FAS supplier to vary the FAS to cover the increased clinical staffing which leads to the provisions of additional services, in addition to the additional costs to reflect the changes to the IT solution to address various technical constraints. The additional services are required to address an increase in the number of FAS assessments over the number initially envisaged during the procurement., Need for additional works, services or supplies by the original contractor/concessionaire: 1. Given that the FAS contract was entered into in September 2023 and the FAS suppliers have just completed a lengthy hand over period prior to commencing operational services commencement in September 2024, it would not have been possible to appoint a new supplier to deal with the additional services outlined in this modification notice, as the new supplier would not have had the benefit of the handover period. 2. Appointing a new supplier to address the additional services would have also led to a significant duplication of costs, particularly as during the handover period, the Department was paying incumbent suppliers to deliver the assessment services. 3. There would be interchangeability issues with a new supplier which would negatively impact the delivery of key services. A change in supplier without the lengthy handover period and a transition to the new managed IT System would risk the delivery of the services which provide critical statutory benefits to vulnerable claimants

• The Functional Assessment Service Lot 4 (London, South East & East Anglia)

  Signed

  19 Sept 2023

  Value

  £564,587,959

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation 72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”), and is published for transparency purposes. The Functional Health Assessments (“FAS”) contracts were signed in September 2023 and included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for Personal Independence Payment (“PIP”) assessments has continued to rise whilst the Authority has worked with incumbent suppliers to successfully recruit and retain a higher number of Health Professionals (“HPs”) which has enabled the highest ever volume delivery of PIP assessments. The increased number of HPs helps the Authority better meet the demand for assessments across PIP and Work Capability Assessment (“WCA”) (as well as other benefits), and better protects the delivery of the service. Retention of the HPs into FAS ensured that capacity for assessments will meet the current levels of PIP, WCA and other benefits. Collectively, this helps by reducing the length of a customer's journey and minimises the backlog of claims. In addition to the increased clinical staffing, there were some changes to supplier costs to reflect IT solution changes to address technical constraints and levels of integration. Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has agreed a deed of variation with the FAS supplier to vary the FAS to cover the increased clinical staffing which leads to the provisions of additional services, in addition to the additional costs to reflect the changes to the IT solution to address various technical constraints. The additional services are required to address an increase in the number of FAS assessments over the number initially envisaged during the procurement., Need for additional works, services or supplies by the original contractor/concessionaire: 1. Given that the FAS contract was entered into in September 2023 and the FAS suppliers have just completed a lengthy hand over period prior to commencing operational services commencement in September 2024, it would not have been possible to appoint a new supplier to deal with the additional services outlined in this modification notice, as the new supplier would not have had the benefit of the handover period. 2. Appointing a new supplier to address the additional services would have also led to a significant duplication of costs, particularly as during the handover period, the Department was paying incumbent suppliers to deliver the assessment services. 3. There would be interchangeability issues with a new supplier which would negatively impact the delivery of key services. A change in supplier without the lengthy handover period and a transition to the new managed IT System would risk the delivery of the services which provide critical statutory benefits to vulnerable claimants

• Contract 033162-2026-1

  Signed

  19 Sept 2023

  Value

  —

  Period

  … – 6 Sept 2031

  Status

  active

• Functional Assessment Services (FAS) 2023 – Lot 2

  Signed

  19 Sept 2023

  Value

  £771,113,954

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation<br/>72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”), and is published for<br/>transparency purposes.<br/><br/>This notice relates to a modification to the Functional Assessment Services (“FAS”) contract (Lot 2) (set out in the narrative below) which was signed in September 2023. These modifications were made by way of a deed of variation (“DoV”) dated 1 April 2026, to take effect from 1 May 2026, following the conclusion of negotiations and agreement reached between both Parties in relation to additional volumes and associated contractual changes required to support the delivery of those requirements. The DoV supersedes and replaces three successive interim amendments dated 3 September 2025, 27 November 2025 and 29 January 2026 respectively. Those interim amendments were required due to the then ongoing<br/>complex discussions between both Parties to address the need for additional volumes<br/>and the associated changes required. This DoV will enable the services to be provided at the<br/>assessment demand levels required to support the Authority’s required volumes to meet<br/>the service users’ needs, therefore preserving these vital services for benefit service users.<br/><br/>The original FAS contract (Lot 2) included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for Personal Independence Payment (“PIP”) assessments has continued to rise whilst the Authority has worked with incumbent suppliers to successfully recruit and retain a higher number of Health Professionals (“HPs”) which has enabled the highest ever volume delivery of PIP<br/>assessments. The increased number of HPs helps the Authority better meet the demand<br/>for assessments across PIP and Work Capability Assessment (“WCA”) (as well as other<br/>benefits), and better protects the delivery of the service. Recruitment and retention of the<br/>HP’s into FAS is critical to ensuring that capacity for assessments continues to be met for<br/>the required levels of PIP, WCA and other benefits. Collectively, this helps by reducing the<br/>length of a customer's journey, minimises the backlog of claims and ensures that all<br/>claimants receive the services they are entitled to.<br/><br/>In addition to the increased clinical staffing, the modification included some changes to supplier costs to reflect IT solution changes to address technical constraints and levels of integration, as well as higher costs relating to inflation and historical staff salary increases.<br/><br/>Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has agreed this modification<br/>with the FAS supplier to vary the FAS contract to cover the increased clinical staffing which leads to the provision of additional services - these additional services are required to address an increase in the number of FAS assessments required over the number<br/>initially envisaged during the procurement. The modification also reflects changes to the<br/>IT solution to address various technical constraints.<br/><br/>Need for additional works, services or supplies by the original contractor/concessionaire. Description of the economic or technical reasons and the inconvenience or duplication of cost preventing a change of contractor:<br/><br/>Additional demand for assessment volumes have arisen since Contract Award necessitating these additional services to support the Authority’s required volumes to meet the service users’ needs, therefore preserving these vital services for benefit service users., Need for additional works, services or supplies by the original contractor/concessionaire: There would be interchangeability issues with existing processes and systems with a new supplier which would have an unacceptable impact on the delivery of key services and would result in a high level of cost associated with engaging, mobilising and operating the additional services. <br/><br/>Appointing a new supplier to address the additional services would have also led to a significant duplication of costs and significant inconvenience, for the reasons mentioned in the paragraph above in mobilising a new supplier and also due to overlap in supplier personnel and duplication of processes and systems which would be required if two suppliers were delivering different parts of the service. <br/><br/>The increase in price under this DoV does not exceed 50% of the value of the original contract.

• Functional Assessment Services (FAS) 2023 – Lot 2

  Signed

  19 Sept 2023

  Value

  £774,475,244

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation<br/>72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”), and is published for<br/>transparency purposes.<br/><br/>This notice relates to modifications made by way of a Deed of Variation (“DoV”) dated 1 April 2026, following the conclusion of negotiations and agreement reached between both Parties in relation to Capita’s delivery of an additional service i.e. the archive data services covering, among others, storing the authority data formerly held on Capita’s IT systems which Capita have been operating up to and including 31 March 2026 as the Personal Independence Payment (“PIP”) assessment service delivery IT platform. This DoV allows the said authority data to remain within Capita’s data storage solution for the required period from 1 April 2026 in line with Departmental data security and data retention policies. This has been required owing to interoperability constraints between the Capita IT solution and the Authority IT solution. It is vital for claimant services that this data is available to Capita; since it is not technically feasible to store the data using an alternative solution, this modification is required in order to provide these vital claimant services.<br/> <br/>Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has agreed this modification<br/>with the FAS supplier to vary the FAS contract to cover the provision of the archive data services - these additional services are required to address a need to retain and have access to authority data, considering technical constraints not initially envisaged during the procurement. <br/><br/>Need for additional works, services or supplies by the original contractor/concessionaire. Description of the economic or technical reasons and the inconvenience or duplication of cost preventing a change of contractor:<br/><br/>It is not technically feasible for a different supplier to deliver the required additional services within the period that the Department needs those services to commence. Although it would be technically possible for a different supplier to provide the services, it is not possible within the timescales envisaged by the Authority because of the lead in time (estimated to be 12 months) for such an alternative supplier to deliver the services due to the technicalities of migrating the data from one system to another., Need for additional works, services or supplies by the original contractor/concessionaire: The Department would likely incur substantial duplication of costs by running a procurement to appoint another contractor or propose an alternative solution in place of the proposal under the modification. Further, any procurement and impact of embedding another solution for such a short period would be disproportionately expensive and inconvenient, compared with the option of making this modification in which case Capita will provide the additional service with no material changes to their existing business processes and with minimal duplicated expenses.<br/> <br/>The increase in price under this DoV does not exceed 50% of the value of the original contract.

• Functional Assessment Services (FAS) 2023 – Lot 5

  Signed

  19 Sept 2023

  Value

  £179,729,076

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation 72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”) and is published for transparency purposes. <br/>The Functional Health Assessments (“FAS”) contracts were signed in September 2023 and included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for Personal Independence Payment (“PIP”) assessments has continued to rise whilst the Authority has worked with incumbent suppliers to successfully recruit and retain a higher number of Health Professionals (“HPs”) which has enabled the highest ever volume delivery of PIP assessments. The increased number of HPs helps the Authority better meet the demand for assessments across PIP and Work Capability Assessment (“WCA”) (as well as other benefits), and better protects the delivery of the service. Retention of the HPs into FAS ensured that capacity for assessments will meet the current levels of PIP, WCA and other benefits. Collectively, this helps by reducing the length of a customer's journey and minimise the backlog of claims.<br/>In addition to the increased clinical staffing, there were changes to supplier costs to reflect IT solution changes to address technical constraints and levels of integration. <br/>Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has now agreed a further extension of the previous Side Letters entered into with the FAS supplier to vary the FAS contract to cover the increased clinical staffing which leads to the provisions of additional services, in addition to the additional costs to reflect the changes to the IT solution to address various technical constraints. The additional services are required to address the continued increase in the number of FAS assessments over the number initially envisaged during the procurement. <br/>Need for additional works, services or supplies by the original contractor/concessionaire. <br/>Description of the economic or technical reasons and the inconvenience or duplication of cost preventing a change of contractor: <br/>Given that the FAS contract was entered into in September 2023 and the FAS supplier completed a lengthy hand over period prior to commencing operational services commencement in September 2024, it would not have been possible to appoint a new supplier to deal with the additional services outlined in this modification notice, as the new supplier would not have had the benefit of the handover period. <br/>Appointing a new supplier to address the additional services would have also led to a significant duplication of costs, particularly as during the handover period the Department was paying incumbent suppliers to deliver the assessment services., Need for additional works, services or supplies by the original contractor/concessionaire: Need for additional works, services or supplies by the original contractor/concessionaire. <br/>Description of the economic or technical reasons and the inconvenience or duplication of cost preventing a change of contractor: <br/><br/>Appointing a new supplier at this time would result in interchangeability issues with existing processes and systems to a new supplier which would negatively impact the delivery of key services. A change in supplier without the lengthy handover period would risk the delivery of the services which provide critical statutory benefits to vulnerable claimants. <br/>The increase in price does not exceed 50% of the value of the original contract.

• Contract 053853-2026-1

  Signed

  19 Sept 2023

  Value

  —

  Period

  … – 6 Sept 2031

  Status

  active

• Functional Assessment Services (FAS) -Lot 4

  Signed

  19 Sept 2023

  Value

  £755,323,374

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice relates to a modification made by way of a Deed of Variation dated 05th May 2026 with effect from and including 1st September 2025. <br/><br/>This modification updates the Contract to increase the contract value for Contract Years 2 and 3. <br/><br/>The modification includes amendments to costs and volumes for Contract Years 2 and 3 to reflect revised requirements for both Personal Independence Payments (“PIP”) and Work Capacity Assessment (“WCA”) assessments (i.e., an increase in PIP assessments in Contract Year 2 and a change to WCA assessments in Contract Years 2 and 3). The modification also includes additional costs paid to account for inflation. <br/><br/>The modification includes the introduction of additional services to support changes in assessment volume requirements. In addition, the Authority has agreed to uplift Supplier performance metrics in respect of specific TPLs in order to resolve an audit-related issue and to enable growth in service delivery. There is also a fallback provision in relation to revised PIP assessment volumes for Contract Delivery Year 3. <br/><br/>The modification also includes adjustments to the performance management framework. This incorporates revisions to the weighting of specific Target Performance Levels (“TPL”), alongside revisions to associated minimum performance thresholds, across both PIP and WCA services for Service Delivery Year 2. <br/><br/> These changes are intended to ensure that the performance framework remains proportionate and aligned to increased assessment volumes. <br/><br/>Additionally, this modification reflects the additional recruitment of Health Professionals (“HPs’’) required to meet volume demands, including the impact of training new HPs. <br/><br/>The Functional Assessments Services (“FAS”) contract (Lot 4) was signed in September 2023 and included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for PIP assessments has continued to rise whilst the Authority has worked with the incumbent supplier to successfully recruit and retain a higher number of HPs which has enabled the highest ever volume delivery of PIP assessments. The increased number of HPs helps the Authority better meet the demand for assessments across PIP and WCA (as well as other benefits) and better protects the delivery of the service. Retention of the HPs into FAS has ensured that capacity for assessments continued to meet the required levels of PIP, WCA and other benefits. Collectively this helps by reducing the length of a customer's journey, minimises the backlog of claims and ensures that all claimants receive the services they are entitled to.  <br/><br/>The increased number of HPs helps better meet demand for assessments across PIP and WCA (as well as other benefits) and better protects the delivery of the service. This helps reduce the length of a claimant’s journey, minimises the backlog of claims and ensures that all claimants receive the services they are entitled to.  <br/><br/>Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has agreed these modifications with the FAS supplier to vary the FAS Lot 4 contract to cover the increased clinical staffing which leads to the provision of additional services. The additional services are required to address an increase in the number of FAS assessments required over the number initially envisaged during the procurement.   <br/><br/>The increase in price does not exceed 50% of the value of the original contract.  , Need for additional works, services or supplies by the original contractor/concessionaire: An increased demand for assessments since the Contract was awarded, required these additional services to meet claimants needs and to preserve these vital services for benefit of claimants. Interchangeability issues with existing processes and systems with a new supplier would have an unacceptable impact on the delivery of key services and would result in a high level of cost associated with engaging, mobilising and operating the additional services. These factors would negatively impact the delivery of key services which provide critical statutory benefits to vulnerable claimants.<br/>Appointing a new supplier to address the additional services would also lead to a significant duplication of costs and significant inconvenience, for the reasons mentioned in the paragraph above in mobilising a new supplier and also due to overlap in supplier personnel and duplication of processes and systems which would be required if two suppliers were delivering different parts of the service.

• Functional Assessment Services (FAS) 2023 – Lot 5

  Signed

  19 Sept 2023

  Value

  £199,137,817

  Period

  19 Sept 2023 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation 72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”) and is published for transparency purposes. This notice relates to a modification to the Functional Assessment Services (“FAS”) contract (Lot 5) (set out in the narrative below) which was signed in September 2023. These modifications were made by way of a deed of variation (“DoV”) dated 19 May 2026, following the conclusion of negotiations and agreement reached between the Authority and the Lot 5 FAS Supplier in relation to additional volumes and associated contractual changes required to support the delivery of those requirements. The DoV supersedes and replaces successive interim amendments dated 26 September 2024, 20 March 2025, 22 October 2025, 18 March 2026 and 28 April 2026 respectively. Those interim amendments were required due to the then ongoing complex discussions between the Authority and the Lot 5 FAS Supplier to address the requirement for additional volumes and the other associated changes required. This DoV will enable the services to be provided at the assessment demand levels needed to support the Authority’s required volumes to meet the service users’ needs, therefore preserving these vital services for benefit service users.The original Functional Health Assessments (“FAS”) contract (Lot 5) was signed in September 2023 and included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for Personal Independence Payment (“PIP”) assessments has continued to rise whilst the Authority has worked with the incumbent supplier to successfully recruit and retain a higher number of Health Professionals (“HPs”) which has enabled the highest ever volume delivery of PIP assessments. The increased number of HPs helps the Authority better meet the demand for health assessments across PIP and other benefits; Work Capability Assessments (“WCA”) across UC and ESA and better protects the delivery of the service. Recruitment and retention of the HPs into FAS ensured that capacity for assessments will meet the current levels of PIP, UC, ESA and other benefits. Collectively, this helps by reducing the length of a customer's journey and minimise the backlog of claims, ensuring that all claimants receive the services they are entitled to.In addition to the increased clinical staffing, the modification included some changes to supplier costs to reflect IT solution changes to address technical constraints and levels of integration, as well as higher costs relating to inflation and historical staff salary increases. Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has therefore agreed a modification with the FAS supplier to vary the Lot 5 FAS contract to cover the increased clinical staffing which leads to the provision of additional services - these additional services are required to address an increase in the number of FAS assessments required over the number initially envisaged during the procurement. The modification also reflects changes to the IT solution to address various technical constraints.Need for additional works, services or supplies by the original contractor/concessionaire. Description of the economic or technical reasons and the inconvenience or duplication of cost preventing a change of contractor:Additional demand for assessment volumes has arisen since Contract Award necessitating these additional services to support the Authority to meet the service users’ needs, therefore preserving these vital services for benefit service usersThere would be interchangeability issues with existing processes and systems with a new supplier which would have an unacceptable impact on the delivery of key services and would result in a high level of cost associated with engaging, mobilising and operating the additional services., Need for additional works, services or supplies by the original contractor/concessionaire: Appointing a new supplier to address the additional services would have led to a significant duplication of costs, significant inconvenience and disruption to the service, for the reasons mentioned in the paragraph above regarding the mobilization of a new supplier. Furthermore, the Authority would incur substantial duplication of costs by running a procurement to appoint a new contractor.<br/>There would also be considerable duplication of costs, inconvenience and operability issues if two suppliers delivered different parts of the service due to overlapping in supplier personnel and duplication of processes and systems. <br/>The increase in price under this DoV does not exceed 50% of the value of the original contract.

• Functional Assessment Services (FAS) 2023 – Lot 3

  Signed

  19 Sept 2019

  Value

  £587,145,639

  Period

  19 Sept 2019 – 6 Sept 2031

  Status

  active

  • Change This notice is in relation to modification of an existing Contract, pursuant to regulation 72(1)(b) of the Public Contracts Regulations 2015 (“PCR 2015”) and is published for transparency purposes. <br/>This notice relates to a modification made by way of a Deed of Variation dated 01 April 2026 to take effect from Operational Services Commencement Date, 06 September 2024. <br/>This modification updates the Contract to increase the contract value for Contract Years 1, 2 and 3. The modification includes amendments to costs and volumes for Contract Years 1 to 3 to reflect the revised requirements for both PIP and WCA assessments. Additionally, this modification accounts for the impact of inflation on salaries and non-staff costs in respect of Contract Year 2 and the training of new Health Professionals (“HPs”) that are required due to the impact of additional recruitment to meet demand, and the impact of training new HPs .<br/>The Functional Assessments Services (“FAS”) contract (Lot 3) was signed in September 2023 and included an assessment of supplier capacity as of November 2021 (the launch of the procurement). In the intervening period demand for Personal Independence Payment (“PIP”) assessments has continued to rise whilst the Authority has worked with the incumbent suppliers to successfully recruit and retain a higher number of Health Professionals (“HPs”) which has enabled the highest ever volume delivery of PIP assessments. The increased number of HPs helps the Authority better meet the demand for assessments across PIP and Work Capability Assessment (“WCA”) (as well as other benefits) and better protects the delivery of the service. Retention of the HPs into FAS has ensured that capacity for assessments continued to meet the required levels of PIP, WCA and other benefits. Collectively this helps by reducing the length of a customer's journey, minimises the backlog of claims and ensures that all claimants receive the services they are entitled to. <br/>Pursuant to regulation 72(1)(b) of the PCR 2015, the Authority has agreed these modifications with the FAS supplier to vary the FAS Lot 3 contract to cover the increased clinical staffing which leads to the provisions of additional services. The additional services are required to address an increase in the number of FAS assessments required over the number initially envisaged during the procurement. <br/>The increase in price does not exceed 50% of the value of the original contract., Need for additional works, services or supplies by the original contractor/concessionaire: Additional demand for both assessment volumes have arisen since Contract Award necessitating these additional services to support the Authority’s required volumes to meet the service users’ needs therefore preserving these vital services for benefit service users. There would be interchangeability issues with existing processes and systems with a new supplier which would have an unacceptable impact on the delivery of key services and would result in a high level of cost associated with engaging, mobilising and operating the additional services. Appointing a new supplier to address the additional services would have also led to a significant duplication of costs and significant inconvenience, for the reasons mentioned in the paragraph above in mobilising a new supplier and also due to overlap in supplier personnel and duplication of processes and systems which would be required if two suppliers were delivering different parts of the service.

Bid statistics published by the authority

Consortium members and other public bodies

• Department for Work and PensionsContracting authorityMinistry or any other national or federal authority, including their regional or local subdivisionsHealth Sheffield, UKContact emailShow contact details

Dispute resolution & review bodies

• The Department for Work and PensionsReview bodyReview contact point SheffieldContact emailShow contact details

Tender pack and attachments

• Technical selection criteriatenderTechnical selection criteria