Purpose

Authority is sought to award a new Arboricultural Services contract for Peterborough City Council due to the current contract expiring on 31 March 2027
 

Decision

Cabinet RESOLVED to:
1. Approve the proposal to award an arboriculture contract and give delegated authority to the Executive Director of Place and Economy, in consultation with the Executive Director of Corporate Resources and Director of Legal and Governance, to award a contract for a period of five years, with the option to extend for up to a further five years in 12-month increments from 1 April 2027, following the procurement process and subject to the necessary budget being in place. The value of the contract, including optional extension periods, would not exceed £8.4 million including VAT.
2. Note that the cost of the contract would be funded from the service revenue budget.

Alternative options considered

Continue with the Existing Mixed Delivery Model: Under this option, the Council would continue to deliver arboricultural services through a combination of inhouse staff and external contractors. This option is discounted as it would perpetuate existing inefficiencies arising from the separation of service responsibilities across multiple providers. The current arrangements require significant coordination between Council teams and contractors, resulting in fragmented accountability and reduced flexibility in responding to service demands. In addition, the existing contractual arrangements are due to expire and would not provide a long-term sustainable solution for service delivery. The current contact does not include any provision to extend and therefore, it cannot be lawfully extended in accordance with the Procurement Act 2023.

Bring the entire service in-house: The Council could choose to deliver all arboricultural services directly through an expanded in-house workforce. This option was considered but is not recommended due to the specialist nature of arboriculture operations. Delivery would require significant investment in specialist plant, vehicles, equipment, training and professional qualifications, together with the recruitment and retention of appropriately qualified staff within an increasingly competitive labour market. The Council would also assume all operational, commercial and health and safety risks associated with the service. It is not considered that this option would deliver the best balance of cost, resilience and value for money.