The Cabinet of Merton Council met on Monday 22 June 2026, approving variations to contracts for CCTV and ANPR maintenance, and for leisure services, as well as awarding a new contract for agency workers.

Variation to the CCTV and ANPR Maintenance Contract

Cabinet approved a contract variation for the public safety CCTV and Automatic Number Plate Recognition (ANPR) maintenance contract. The variation will increase the contract value by £1.75 million, bringing the total to £5.25 million until its expiry in November 2027. This increase is necessary due to the expansion of the CCTV and ANPR networks and significant investment in public safety infrastructure. Councillor Stuart Neaverson, Cabinet Member for Cleaner Streets, Environment and Transport, highlighted that the contract variation is crucial for maintaining statutory enforcement services, ensuring network resilience, and supporting public safety projects. He stated, This contract is all about making our communities safer, making our communities cleaner and healthier as well. The funding for this variation has been allocated from existing budgets.

Leisure Operator Agency Model Implementation

A contract variation was approved to enable Greenwich Leisure Limited (GLL) to act as the Council's agent for delivering leisure services. This change, which will be implemented from 1 August 2026, is in line with updated HMRC guidance on VAT recovery for leisure services. Councillor Caroline Cooper-Marbiah, Cabinet Member for Culture, Sport and Heritage, explained that this agency model will allow the Council to treat income as non-business for VAT purposes, enabling the recovery of VAT on associated costs and avoiding irrecoverable VAT. This is expected to generate an additional £250,000 per annum in revenue, totalling approximately £1 million over the remainder of the contract. The variation does not alter the existing contract length or the services provided by GLL.

Contract Award for Agency Worker Contract

Cabinet approved the direct award of a new contract for agency workers through the North East Procurement Organisation (NEPO) framework. The contract, valued at approximately £95 million (excluding VAT) over five years, will continue to utilise a neutral vendor model. Councillor Stephen Alambritis MBE, Cabinet Member for Finance, Growth and Corporate Services, noted that the contract award is mandated to pay the London Living Wage, a commitment the council is proud of. He also highlighted that the neutral vendor model increases engagement with Small and Medium-sized Enterprises (SMEs). The report indicated that agency staff remain a critical component of the council's workforce, providing flexibility for fluctuating demand, particularly in social care, and assisting with hard-to-fill roles. The contract aims to reduce reliance on agency staff while strengthening permanent recruitment and retention strategies.