Purpose

To seek the Leader’s approval (on behalf of Cabinet) to modify the Council's existing corporate insurance arrangements under Regulation 72(1)(c) of the Public Contracts Regulations 2015, without a new competitive procurement procedure, in order to maintain continuous insurance cover following expiry of the current arrangements on 30 September 2026.

Decision

On behalf of the Cabinet and using special urgency powers, in accordance with Parts 3 and 5.8, of the Council’s Constitution, the Leader of the Council hereby formally:

a)  acknowledges the applicability and criteria set out within of Section 72(1)(c) of the Public Contract Regulations 2015 to the decision being proposed;

b)  notes and acknowledges that the information set out within the Officer’s report and Appendix thereto successfully demonstrates its applicability to the proposal to modify the Council’s existing insurance arrangements;

c)  agrees the proposed modification to extend for a period of one year (from 1 October 2026 to 30 September 2027), the Council's existing corporate insurance arrangements;

d)  authorises the Corporate Director (Finance and IT) to make the necessary arrangements to implement the proposals set out within the Officer report and its Appendix including the requirement to undertake a full competitive procurement exercise as soon as reasonably practicable once the future requirement and timetable are sufficiently clear; and

e)  authorises publication of any contract modification notice that may be required by the Public Contract / Procurement Regulations.

Reasons for the decision

To secure uninterrupted corporate insurance cover from 1 October 2026, preserve flexibility during the current uncertainty surrounding LGR, demonstrate value for money and maintain a clear audit trail supporting the proposed contract modification.

Alternative options considered

Undertake an immediate full tender exercise. This cannot be completed before expiry of the existing policies and, for a short transitional placement, is not expected to secure an effective competitive response or represent value for money.

Enter into a conventional longer-term procurement. This would reduce flexibility during a period of structural uncertainty and could fetter decisions about future insurance arrangements.

Allow for a potential period of no insurance cover in place - This is not viable because the risk is too significant and the Council must maintain appropriate insurance protection for its assets, liabilities, employees and for operational reasons.