IN Brief:
- Pagabo has opened tenders for a proposed £2bn Small to Medium Works framework, managed for The Education Alliance.
- Five principal lots cover a national contractor route and four regional value bands, with lots 2–5 organised into 40 geographic area sub-lots.
- Bids close on 5 January 2027, with the four-year framework expected to start in April 2027.
Pagabo has opened a tender for a national Small to Medium Works framework with an estimated maximum value of £2bn, creating a new route for public bodies to procure construction projects worth up to £20m. The four-year framework is expected to commence in April 2027 and is being managed by the procurement specialist on behalf of contracting authority The Education Alliance.
The procurement covers new-build construction, refurbishment, highways, public realm, accessibility improvements, decarbonisation and mechanical and electrical engineering. Potential users include councils, central government departments, housing associations, NHS trusts, education providers, emergency services and public utilities. The range is deliberately broad, allowing buyers to appoint contractors for building and civil engineering works without treating every project as a separate national tender.
Five principal lots provide different routes to market. Lot 1 is the Collaborative Partner lot, available to national contractors for projects from £0 to £20m across England, Scotland, Wales and Northern Ireland. Lots 2 to 5 are arranged around geographic sub-lots and four value bands, separating contracts worth up to £1m, £1m–£5m, £5m–£10m and £10m–£20m.
Pagabo says the regional structure is designed to make up to 75% of contractor appointments available to businesses operating within the relevant areas. That is a framework-design commitment, not evidence that three-quarters of future contract spending has been awarded locally. Procurement outcomes will depend on which contractors secure places, which public bodies use the agreement and the value and location of individual projects.
The value bands separate smaller repair and refurbishment packages from construction programmes requiring larger delivery teams, more extensive design coordination and higher working capital. The 40 geographic area sub-lots allow contractors to compete in selected operating areas rather than across the entire UK. Lot 1 remains available to national contractors for eligible works across all four home nations, with projects in its £0–£20m band.
Selection onto the framework will be weighted 70% towards quality and 30% towards price, according to the tender information. The quality weighting applies to the competition for framework places and should not be confused with an assurance that future call-offs will use identical evaluation arrangements. Each public authority will still need to comply with the framework rules and applicable procurement law when awarding work.
The new arrangement is intended to operate under the Procurement Act 2023 and Procurement Regulations 2024. Those requirements affect procurement procedures, transparency and contract management, with framework users expected to follow the relevant notices and reporting obligations. Pagabo plans to manage the process through Pagabo+, its digital platform for framework administration, delivery reporting and compliance.
Pagabo says Pagabo+ will provide one digital environment for framework administration, management, delivery reporting and compliance. A public client using that route must still define the works, assess project-specific risks and make a lawful appointment under the framework. Those requirements differ between, for example, a highway intervention requiring traffic management and a school refurbishment carried out around occupied buildings.
The tender is the third iteration of Pagabo’s Small to Medium Works offering. Other Pagabo arrangements have been in the market during 2026, but they cover distinct procurement routes and financial thresholds. Its previously reported Major Works and developer frameworks, for example, should not be combined with this £2bn opportunity or treated as a single pot of funded construction projects.
The £2bn value is Pagabo’s estimate of the potential contracts that may pass through the framework over four years. It does not represent an allocated capital budget, and inclusion on the contractor list will not guarantee an order. Buyers will have to decide whether to use the agreement, secure funding for individual schemes and make appointments under its published rules.
The national and regional lot structure gives bidders a choice of geography and contract scale. A regional contractor may be well placed for local repairs or new buildings within its capacity, while a larger contractor can seek wider coverage through the collaborative partner lot. Appointments made once the framework launches will still depend on the procuring body’s requirements and the available delivery capacity at that point.
Publication of the tender starts the process of selecting contractors rather than construction on any named scheme. The next milestones are submission of bids, evaluation against the published quality and price weighting, and establishment of the contractor panels. Individual public bodies can only turn the arrangement into work once they have identified eligible projects and made the relevant call-off decisions.
Tenders close on 5 January 2027 through Pagabo’s InTend portal. Subject to procurement completion, the four-year framework is expected to launch in April 2027, with five principal lots and 40 geographic sub-lots covering regional construction requirements across the UK.
