National procurement specialist Pagabo has officially launched the tender process for its second-generation £2 billion Pagabo Small Medium Works framework.
This four-year public sector procurement vehicle will succeed the existing framework when it opens for live project orders in April 2027.
Procurement directors designed the expanded framework to streamline contract awards for regional builders across England, Wales, Scotland, and Northern Ireland.
This major UK public capital investment complements large-scale sports and commercial infrastructure developments across the country, building on structural delivery strategies established when the construction of Everton’s Bramley-Moore Dock Stadium, which tracked major regional civil engineering and waterfront construction benchmarks in the North West.
Framework managers doubled the upper project value threshold for medium works from £10 million to £20 million. Contracting authorities structured this adjustment to enable regional contractors to bid on larger public infrastructure packages.
Project Lots and Value Parameters for Pagabo Small Medium Works
Procurement officers split the £2 billion framework across five distinct project value lots to accommodate varying project scopes.
Regional construction firms can submit tender applications for specific geographic regions and financial bands.
- Lot One Construction Scope: Covers minor civil works and building projects valued up to £500,000.
- Lot Two Project Band: Encompasses small-scale public sector developments between £500,000 and £1 million.
- Lot Three Mid-Tier Band: Allocates medium construction schemes ranging from £1 million to £4 million.
- Lot Four Expanded Medium Works: Encompasses larger regional construction projects between £4 million and £8 million.
- Lot Five Major Medium Works: Handles large-scale regional capital projects valued between £8 million and £20 million.
Specialized regional lots ensure equitable distribution of public expenditure across local supply chains. Procurement panels will evaluate bidding contractors based on quality metrics, financial stability, and environmental sustainability commitments.
Public Sector Impact and Market Outlook for Pagabo Small Medium Works
Public sector bodies—including NHS trusts, local authorities, housing associations, and emergency services—will utilize the framework to procure building projects. Direct award and mini-competition options provide public clients with flexible procurement pathways.
- Phase One Bidding Window: Contractors submit prequalification documentation and detailed tender responses through the online procurement portal.
- Phase Two Framework Award: Pagabo evaluates submissions and selects winning regional contractors prior to the April 2027 launch date.
- Phase Three Operational Execution: Public sector clients issue project calls and award works across the four-year operational window through April 2031.
The £2 billion procurement initiative generates thousands of direct regional construction jobs and apprenticeship placements.
Establishing accessible procurement routes ensures small and medium enterprises secure vital public sector pipelines through 2031.
Project Fact Sheet
Name: Pagabo National Framework for Small to Medium Works (2nd Generation).
Type: Public Sector Construction & Civil Works Procurement Framework.
Location: United Kingdom (England, Wales, Scotland, and Northern Ireland).
Total investment: £2.0 Billion GBP (~$2.6 Billion USD) cumulative framework expenditure limit.
Developer / Parent Company: Pagabo (Part of The 55 Group).
Status: Framework Tender Launched (November 2026); Operational Launch April 2027.
Construction employment: Supports tens of thousands of regional tier-two, tier-three, and local SME construction jobs across the UK.
Permanent employment: Sustains regional contractor workforces, apprenticeships, and administrative procurement teams through 2031.
Timelines and production targets: Bidding open Q4 2026; framework operational April 2027 through April 2031 (4-year duration).
Technology integration: Pagabo Digital E-Procurement Portal, Automated Compliance Monitoring, Loop Social Value Calculation Software.
Raw material supply: Locally sourced construction aggregates, structural timber, steelwork, cladding, and low-carbon building materials.
Economic impact: Directs £2 billion in public sector capital spending to regional contractors and local supply chains.
Key infrastructure needs: Educational Buildings, Healthcare Facilities, Blue Light Stations, Civic Community Hubs, Local Authority Housing.
Delivery risks: Construction inflation, contractor insolvency risks, supply chain lead times, regional labor shortages.
Primary target markets: Regional Civil Engineering Firms, Small and Medium Enterprises (SMEs), Tier-2 UK Contractors, Public Sector Authorities.
Project Team
Procurement Authority & Administrator: Pagabo
Parent Company & Software Partner: The 55 Group
Lead Procurement Executive: Jason Stapley (Chief Procurement Officer)
Contracting Authority Host: Public Sector Contracting Bodies & NHS Trusts
Participating Client Sectors: Department for Education, NHS, Local Authorities, Emergency Services, Ministry of Defence
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