PPN 01/21 - Case Study for EA Catering Supply Contracts - Plant Social Value Seeds

Introduction

Whilst the PPN does not mandate the inclusion of social value obligations in supplies contracts, EA Commercial Procurement Service (CPS) has agreed to include social value obligations in appropriate supply arrangements where it is anticipated that social value could be delivered and be of benefit to the NI economy. 

In FY 2024/25 the Catering Procurement Category awarded 8 supplies contracts and 4 of these arrangements included specific social value obligations where the supplier must deliver a minimum of 100 Social Value points for every £1 million (and pro-rata) in invoiced value, capped at an averaged invoiced value of £3 million per annum. 

Objectives

Due to the local suppliers involved, it is anticipated that these contracts will deliver social value benefits within NI over the lifetime of the contracts.

Actions

EA have included obligations in each supply arrangement to deliver social value activities where the suppliers can choose activities across the following 3 key themes:-

  • Increasing secure employment and skills.
  • Building ethical and resilient supply chains.
  • Promoting Wellbeing.

EA has further included additional social value points attached to activities carried out with the EA’s Priority groups which are:- 

  • Young people from EOTAS and Youth Centres in economically deprived areas.
  • Children and young people from Special Education Needs settings.
  • Children and young people with asylum/refugee status.

Each activity carries a certain number of points which must match the total points required as per the invoice value under the contract.

Outcome

Contract Ref. NumberContract TitleContract Award DateSuccessful Tenderer(s)Awarded Contract Value (£)
CAT-24-001Equipment or food holding, preparation and transport17/12/2024
  • Stephens Catering Equipment Ltd
  • CE-Tech 
  • Catering Equipment Services Ltd
     £5,450,000.00 
CAT-23-008Frozen Food Products30/12/2024Hendersons Foodservice Ltd £107,000,000.00 
CAT-23-007Soft Drinks and Water01/08/2024Henderson Foodservice Ltd   £15,750,000.00 
CAT-23-006Fresh Poultry and Poultry Products18/06/2024Sysco Foods NI Ltd   £20,500,000.00

These contracts will have social value delivery monitored throughout their contract period to ensure that the supplier delivers on these obligations.

Conclusion

EA CPS continues to be passionate about social value delivery and will continue to place social value obligations in all appropriate arrangements and not just those arrangements mandated by the PPN. 

EA will monitor contracts and supplier’s obligations to maximise the social value benefit from each one to ensure best value for NI public funds are achieved throughout the lifetime of every contract.

Last updated: 06/06/2025