Over 130 Glasgow firms in line to win City Building contracts

Graham Paterson executive director of City Building
Graham Paterson, executive director of City Building

Glasgow construction firm City Building is giving scores of city businesses the opportunity to achieve growth after appointing them as suppliers.

The company awarded 136 Glasgow-based firms framework sub-contractor status to supply more than 70 construction and trades services which range from ground investigation and demolition to joinery, heating and plumbing services and installation of micro renewables.

Each of the successful suppliers were subject to a detailed evaluation process, with their bids individually assessed by a team of 20 experts across eight separate divisions within City Building. Factors that were considered during the evaluation process included environmental sustainability, employment of apprentices and delivery of community benefits.

The firms have been awarded framework status for three years with the option to extend their agreements by up to 12 months. More than four fifths (82.5%) of the successful businesses are SMEs (small-medium sized businesses), potentially delivering a major economic boost to the Glasgow’s SME community.

The framework is part of City Building’s commitment to contributing to the Glasgow economy.

According to recent research, City Building supports a turnover of nearly £325 million across companies in the city. It also supports a total of 3,877 jobs in Glasgow and estimates that 73.5% of its supplier spend is placed with companies based in the city.

Dr Graham Paterson, executive director of City Building, said: “We are extremely proud of the positive impact our supplier development activity has had on Glasgow SMEs, supported businesses and the third sector.

“Our new sub-contractor framework agreement will help us to continue to drive wealth and create employment opportunities across the city.”

The framework agreement has been welcomed by the Federation of Small Businesses Scotland chair, Martin Little, who said: “Glasgow’s smaller businesses are extremely important and contribute significantly to the local economy, and public procurement can be a very effective way to help them grow and thrive.

“Our research shows that for every £1 spent with an SME, 63p was re-spent in the local area compared to 40p in every £1 spent with a larger business. This is why we have asked public sector agencies in Scotland to spend at least 10% of their procurement budget with local micro firms by 2020.

“While there is much more that could be done on public procurement and supply-chain development, this is good work from City Building. With the Glasgow City Deal’s £1.13bn investment in the pipeline, we want to see more local firms getting value from public spending.”

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