Haringey Council has extended its gas maintenance contracts with Purdy Contracts Ltd and Sureserve Compliance Services Ltd for an additional six months, pushing the expiry date to 31 March 2026. The decision, approved by Councillor Sarah Williams, Cabinet Member for Housing and Planning (Deputy Leader), comes as the council needs more time to finalise the retendering process for longer-term contracts. The council anticipates awarding the new heating contracts for mobilisation by 1 April 2026, aligning with the new financial year, according to the Public Reports Pack.

The extension will ensure continuous servicing and maintenance of domestic and commercial heating systems, minimising disruption for residents. It also allows the council to meet its statutory health and safety obligations under the Gas Safe Regulations 1998, specifically regulation 36, which outlines the duties of landlords. Failure to comply with these regulations could have serious consequences for the council and its residents, as detailed in the Public Reports Pack.

The existing contracts with Purdy Contracts Ltd and Sureserve Compliance Services Ltd, valued at £2.39 million and £2.36 million per annum respectively, were initially awarded in September 2019 by Homes for Haringey. These contracts cover gas-related servicing and repairs across the borough. The extension will cost an additional £1,305,000 for Purdy Contracts Limited and £1,220,000 for Sureserve Compliance Services Ltd.

The delay in retendering is attributed to the complexity of procuring three new heating contracts: two for domestic properties and one for commercial/communal buildings. According to the Public Reports Pack, this complexity arises from the need to have three separate contracts in place, including a completely new commercial/communal heating contract designed to incorporate newer technologies like renewable energy sources such as ground source and air source heat pumps, and district energy networks. The new commercial contract also needs to align with upcoming Heat Network regulations, including the Heat Network Technical Assurance Scheme (HNTAS) to ensure fairer pricing, clearer billing and improved service standards for residents.

According to the Public Reports Pack provided to Councillor Williams, a full procurement exercise is underway, but it will not be completed before the original contract expiry date of 1 October 2025. Allowing the contracts to lapse would mean no service provision for gas and heating repairs, maintenance, and renewals. The report pack also stated that in-house delivery was not considered viable due to a lack of skilled staff to repair and maintain the various types of heating systems currently managed.

The council says that funding for the six-month extension will come from existing 2025-2026 capital and revenue budgets allocated for gas servicing, repairs, and replacements. The council will also continue to manage our contractors during the extended period to ensure the contract requirements, service level agreements and performance targets are achieved, ensuring transparency and value for money, according to the Public Reports Pack. The extension is also aligned with the council's Corporate Delivery Plan 2024-2026, specifically the 'Homes for the future' theme, which aims to improve the quality of social housing and landlord services.