Merchant Acquiring Services

Crown Commercial Service (the Authority) is putting in place a Framework Agreement for use by UK public sector bodies identified at VI.3 (and any future successors to these organisations), which include Central Government Departments and their Arm’s Length Bodies and Agencies, Non Departmental Public Bodies, NHS bodies and Local Authorities.

The above public sector bodies have a need for merchant acquiring services, merchant acquiring equipment, and payment gateway services.

The Services within the scope of this Framework Agreement have been sub-divided into 3 Lots:

Lot 1: A multi-Supplier Lot for the provision of merchant acquiring services and merchant acquiring equipment

Lot 2: A multi-Supplier Lot for the provision of merchant acquiring services and payment gateway services

Lot 3: A multi-Supplier Lot for the provision of merchant acquiring services, merchant acquiring equipment, and payment gateway services.

This Framework Agreement will replace the existing Merchant Acquirer Service framework agreement (PS/09/93) which expires on 8th March 2016. The existing framework agreement is a single-supplier agreement for merchant acquiring services and merchant acquiring equipment. While Lot 1 of this Framework Agreement is similar in scope to the existing framework agreement, the scope of the Services available under Lot 2 and Lot 3 of this Framework Agreement are wider than the existing framework agreement in that payment gateway services will be included. In light of the increased scope of services, the Authority takes the view that it is unlikely that the Transfer of Undertakings (Protection of Employment) Regulations 2006 (“TUPE”) will apply to this Framework Agreement or when any of the existing call-off contracts come to an end. The incumbent supplier has also confirmed that it does not believe TUPE will apply to this Framework Agreement or any resulting Call-Off Contracts as there is no organised grouping of employees dedicated to providing the services. Potential Providers are therefore required to bid on the basis that TUPE will not apply at Framework Agreement or call-off stage.

Potential Providers are permitted to bid for all or any combination of the 3 Lots. However, in order to ensure that the Framework Agreement benefits from a diverse range of providers of payment gateway services, if a Potential Provider is awarded a Framework Agreement for Lot 3, the same Potential Provider will not be permitted to be awarded a Framework Agreement for Lot 2.

Where a Potential Provider is successful in Lot 3 and has also submitted a Tender for Lot 2, the Potential Provider’s Tender for Lot 2 will be excluded from consideration for the Procurement for Lot 2.

Crown Commercial Service reserves the right for an electronic auction to be held by Public Sector bodies during further competition among the parties to the Framework Agreement(s).