Contractor launches legal challenge to repairs deal
A contractor has launched a legal challenge to a housing association over the award of a billion pound repairs and maintenance deal.
The claim from Apollo, which is now part of the Keepmoat Group, centres on the £1.2 billion framework contracts agreed by Circle in May.
Apollo was awarded one of the six contracts on offer, worth up to £220 million but has claimed that it was denied two others because of low offers from Kier, whose contracts are worth up to £490 million
A Circle spokesperson said: ‘We are confident that we have run a full and robust procurement process. However, it’s not unexpected to receive a challenge on contracts of this size. What is important is that we are currently mobilising the contracts for the exciting, new sector leading service we are creating with and for our customers.’
Keepmoat and Kier declined to comment.
Earlier in the year, Circle decided to slash its list of what was around 200 contractors in a move that would save £100 million over ten years.
Besides Apollo and Kier, the three remaining contracts were awarded to Morrison and United House.