Payroll Service and HR/Payroll System
Estimated value
£13.9m
Awarded value
—
Suppliers
0
Lots
1
Published
15 Apr 2026
Description
The London Borough of Hounslow (the "Council") is seeking a Service Delivery Partner ('Delivery Partner') to deliver a fully outsourced Payroll Service and Software‑as‑a‑Service (SaaS) HR/Payroll System from 1 October 2027. The service has been outsourced since October 2017 and TUPE will apply. The incumbent system is iTrent. The Authority will retain an in‑house HR operations team responsible for system set‑ups and reporting. The contract covers a fully managed payroll service for: Council employees Employees of Council‑owned companies (the Lampton Group) External clients purchasing the service Councillors' allowances and expenses Periodic election payrolls Maintained schools, academies and extended childcare centres including: • West Thames College • Norwood Green Juniors • The Green School Trust • BCPS Extended Day Care • Beavers Lodge Playgroup • Hounslow Action For Youth Association Ltd • Riverside Early Risers • Springwell + Morning Care • Springwell Holiday Scheme The supplier must provide the employer role for pension administration, covering the Local Government Pension Scheme (LGPS), Teachers' Pension Scheme and other applicable pension arrangements. The supplier must provide a SaaS HR/Payroll system including payroll, core HR, absence management, recruitment and onboarding, and management of employees and non‑employees. The scope includes implementation, configuration and deployment; data migration and reconciliation; ongoing support, maintenance and upgrades; continuous improvement and benchmarking; and contract exit and transition support. The service must comply with all applicable UK legislation and deliver accurate, timely and customer‑focused payroll services.
Scope
- Reference
- DN812800
- Total value
- £13,860,000 excluding VAT£16,632,000 including VATAbove the relevant threshold
- Commercial tool
- Standalone contract
- Contract dates
- 30 Sept 2026 to 30 Sept 2032Possible extension to 30 Sept 2036
The Contracting Authority reserves the right to extend the contract beyond the initial term for up to a further two (2) years and an additional option to extend for a further two (2) years thereafter, subject to satisfactory performance of the Contractor. Extension Criteria An extension will only be considered where the Contractor has: - Consistently met or exceeded performance expectations - Demonstrated proactive issue resolution and continuous improvement - Maintained compliance with all legal and contractual requirements
- Main category
- services
- CPV classifications
- 7921111079631000
- Contract locations
- UK, United Kingdom
- Particular suitability
- Small and medium-sized enterprises (SME)
Award criteria
Criteria the buyer will use to evaluate bids.
| Name | Description | Type | Weighting |
|---|---|---|---|
| Quality | — | quality | 60.00% |
| Price | — | price | 40.00% |
Participation
Conditions suppliers must meet to bid.
As outlined in the Invitation to Tender
Submission & procedure
- Enquiry deadline
- 05 Jun 2026, 11:00 am
- Submission deadline
- 22 Jun 2026, 11:00 am
- Submission address
- https://procontract.due-north.com/Advert?advertId=3706a117-ab38-f111-813c-005056b64545&fromProjectDashboard=True ↗
- Electronic submission
- Yes
- Procedure
- Open procedure