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Tenfell
Awarded contract
Published 17 Jan 2022

Provision of Lateral Flow testing devices for the detection of COVID-19 viral antigens

UK Health Security Agency · London

Key facts

Contract value
£322,500,000
Awarded
17 Dec 2021
Contract starts
17 Dec 2021
Contract ends
31 Jan 2022
Procedure
Call-off from a dynamic purchasing system
Buyer type
Central government

Awarded to

SupplierValue
INNOVA MEDICAL GROUP INC£322,500,000

Description

Mass testing using lateral flow testing kits (LFTs) for the detection of Covid-19 viral antigens has become a key part of protecting the economy and saving lives during the Covid-19 pandemic. UKHSA has ensured the supply of LFTs by implementing a Dynamic Purchasing System (as advertised in a contract notice on the Find a Tender Service with reference C22033 on 5 March 2021). Further to that DPS, UKHSA published an Invitation to Tender on 27 July 2021 with reference C40441 for the supply of up to 600 million LTFs in packs of 7. This tender concluded and contracts were awarded in September 2021. The Omicron outbreak and its high transmissibility, which was not foreseeable by UKHSA, has led to a significant and urgent surge in demand for LFTs. As a result, it was necessary to fully utilise the supply of LFTs available under tender C40441 and then increase the volume of LFTs available under that tender to 713,500,000. This was necessary to ensure continuing supply of LFTs to the public, as any delay would risk the current stock of LFTs being exhausted thereby introducing a significant risk to public health. This modification (in the form of increased volume available under the tender) does not alter the overall nature of the contracts let under the tender process. In accordance with the allocation mechanism set out in the ITT, and following this modification, UKHSA entered into a contract with Innova Medical Group Inc on 17 December 2021 for the supply of LFTs. This order was made up of volume anticipated under the original tender as well as additional volume available as a result of this modification. The total value of both elements was £322,500,000. The increase in price as a result of the modification does not exceed 50% of the value of the original contracts let under the original tender process. No further tender process was required to implement this modification because it meets the requirements set out in Regulation 72(1)(c) of the Public Contracts Regulations 2015 for the reasons set out in this notice.

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