Home / Announcements / Serco to pull out of FM deal with Barts Health

Serco to pull out of FM deal with Barts Health

Serco has announced it is to pull out of its soft FM services contract with Barts Health NHS Trust at the end of April 2023.

The multi-service provider employs around 1,700 people across the Barts Health group to deliver portering, laundry, cleaning and security services across its hospitals.

Serco said it is exercising its right to terminate the soft facilities management contract a year early because it is losing money on the deal agreed five years ago.

The trust’s executive is now considering future arrangements, which could include bringing facilities management in-house.

Mark Bagnall, Group Director of Estates and Facilities Management, said: “There will be no change to the day-to-day roles of contracted staff who remain valued members of the Barts Health family. Everyone permanently employed by Serco at the handover will be eligible to transfer to a new provider under existing terms and conditions.”

Simon Chipperfield, Serco’s Managing Director for Health, commented: “I would like to thank our team at Barts Health for their hard work, especially during the pandemic, and reassure them that we will continue to support them through the next 18 months. We are in close contact with the Trust about their future plans and remain interested in the opportunity to provide services beyond the end of the current contract.

“We have not made this decision lightly, and remain fully committed to delivering the high quality services we provide over the next 18 months, as well as ensuring there is a smooth transition to the new arrangements that the Trust puts in place.”

Serco’s contract was due to end in June 2024, and included provision for either side to terminate early from this month providing they gave 18 months’ notice.

Serco said the move did not affect its other NHS contracts elsewhere.

Webinar: Now hiring! Overcoming the challenges of recruiting for soft services.

Recruiting for soft FM services is proving more difficult in the post-Covid workplace. So, what can FMs do to overcome this?

Sara Bean, Editor of FMJ, and Jess Pritchard, Head of Corporate Sector at Moneypenny are joined by panellists:

  • Mark Whittaker, General Manager, Thomson FM & Chair of IWFM
  • Ian Wright, Soft Services Manager, University College London
  • David Bauld, Group Facilities Manager, Paradigm Housing
  • Nicola Lathbury, Managing Director, Hexagon FM

Together they will discuss the current skills shortage in a number of FM areas, ways to keep staff engaged in their job through brilliant culture, and how outsourcing could be a solution to the recruitment issue. Secure your place now for Thursday, 25th November at 11am.

To register click here.

About Sarah OBeirne

Leave a Reply

Your email address will not be published. Required fields are marked *

*