Originally awarded in 2020 with a value of £650 million, the Frameworks Scotland 3 contract covers construction, design, and consultancy services for NHS infrastructure projects across Scotland.

The contract was due to end in November 2025, but will now run until 5 November 2027 at the latest.

The framework comprises a group of major construction contractors:

• John Graham Construction Ltd (Graham)
• BAM Construction
• Balfour Beatty Construction Ltd
• Kier Construction
• McLaughlin & Harvey
• Robertson Construction Group

NHS Scotland said in a modification notice that the move was necessary “due to the current uncertainty around capital funding within NHS Scotland which has continued through 2024/2025”.

It added: “With a number of projects already paused or cancelled, the future pipeline beyond the one-year Scottish Government Budget in December 2024 will not be known.

“Therefore, with such future pipeline uncertainty, it is not possible to go to the market to procure a replacement for Frameworks Scotland 3 at this time.”

The extension, valid for up to 24 months and concluding no later than 5 November 2027, is justified under Regulation 72(1)(c) of the Public Contracts (Scotland) Regulations. It responds to unpredictable circumstances, namely, unclear future funding allocations beyond the 2024 Scottish Government budget and a continuing pattern of paused or cancelled healthcare construction projects.

As a result, NHSScotland is not in a position to launch a new procurement exercise for a replacement framework. The Authority stated that extending FS3 allows time to clarify future pipeline requirements and develop an appropriate procurement strategy for its successor.