Provision of Nest Scheme Administration Services

Concepts

• provision of nest scheme administration
• finance and insurance
• national employment savings trust
• provision of nest scheme administration services
• operation of administration services
• new scheme administration service
• financial services organisation
• administration services
• customer service
• defined contribution pension scheme

Location

London

Description

The Authority has procured a fully outsourced service for the build, delivery and operation of administration services for the defined contribution pension scheme known as the National Employment Savings Trust. The administration services will support auto-enrolment and be delivered primarily via digital channels. The contract will be for a minimum term of 10 years, with an optional extension period of up to 5 years, and the option of an additional period of up to 3 years for exit. The total contract value is indicative and covers this potential 18 year period.

Total Quantity or Scope

The contract will be for a minimum term of 10 years, with an optional extension period of up to 5 years, and the option of an additional period of up to 3 years for exit. The total contract value is indicative and covers this potential 18 year period. As a financial services organisation with public body status, the Authority adheres to public procurement regulations. Therefore, the Authority conducted this procurement in accordance with the rules laid out in the Public Contracts Regulations 2015. The Authority developed a set of Critical Success Factors (CSFs) which are aligned with its strategic objectives. The CSFs underpinned the procurement programme and will help the Authority to achieve its future vision and are as follows: — managing our risks: the continued success of Nest must have trust at its core. Our customers need to trust that we can effectively look after their data and assets. It is vital that we can manage a smooth transition into our new scheme administration service and that once we are live, that service is robust and secure, — enabling a commercially sustainable Nest: we are ultimately funded by our members. Our new service must be delivered in a commercially efficient way that seeks to align our commercial interests, supports the long-term financial forecasts for the scheme and enables opportunities to maintain and grow sustainable revenue streams, — securing value for money: we need to scope our services to fit the needs of our customers and deliver value for money over the life of the services including exit. We must run a competitive and legally compliant procurement, — improving customer outcomes: our vision is to help millions enjoy a better retirement. Our new scheme administration services must focus on how advances in technology and deep data analytics ensure a joined up approach to continuous improvement and excellence in customer service. This is so that we can help all of our customers to make the right choices and drive better outcomes, — delivering services consistent with our values and capabilities: Nest is underpinned by the values of transparency, ease, empowerment and respect. We want our future services to develop in alignment with these and work with a partner that understands “what makes Nest, Nest” and can provide expertise that complements the capabilities that already sit within our organisation.

Award Detail

Renewal Options

The contract will be for a minimum term of 10 years, with an optional extension period of up to 5 years, and the option of an additional period of up to 3 years for exit. When exiting the contract, the Authority has three options: the Platform-as-a-Service option, the self-hosted option, and the replacement services option.

Award Criteria

CPV Codes

• 66000000 - Financial and insurance services
• 48000000 - Software package and information systems
• 48151000 - Computer control system
• 48220000 - Internet and intranet software package
• 48400000 - Business transaction and personal business software package
• 48410000 - Investment management and tax preparation software package
• 48411000 - Investment management software package
• 48610000 - Database systems
• 48612000 - Database-management system
• 48620000 - Operating systems
• 48900000 - Miscellaneous software package and computer systems
• 66500000 - Insurance and pension services
• 66520000 - Pension services
• 66521000 - Individual pension services
• 66522000 - Group pension services
• 66523000 - Pension fund consultancy services
• 66523100 - Pension fund administration services
• 71600000 - Technical testing, analysis and consultancy services
• 72000000 - IT services: consulting, software development, Internet and support
• 72220000 - Systems and technical consultancy services
• 72222100 - Information systems or technology strategic review services
• 72222200 - Information systems or technology planning services
• 72222300 - Information technology services
• 72310000 - Data-processing services
• 72500000 - Computer-related services
• 72720000 - Wide area network services
• 75100000 - Administration services
• 75110000 - General public services
• 75112000 - Administrative services for business operations
• 75112100 - Administrative development project services
• 75130000 - Supporting services for the government
• 75131100 - General personnel services for the government
• 75300000 - Compulsory social security services
• 75320000 - Government employee pension schemes
• 79000000 - Business services: law, marketing, consulting, recruitment, printing and security
• 79900000 - Miscellaneous business and business-related services
• 72317000 - Data storage services

Indicators

• Options are available.
• Award on basis of price and quality.

Other Information

The contract was awarded on the sole basis of the award criterion of the best price-quality ratio in accordance with regulations 30 and 67 of the Public Contracts Regulations 2015. Therefore, a weighting of "0" has been entered in section II.2.5 above, as technically there was no weighting, only a ratio (Effective Price divided by Transformed Quality Score).