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  • Trusted procurement for better buildings and homes LHC.GOV.UK

    FRAMEWORK AGREEMENT GUIDEOff-site Construction of New Homes (NH1)


    These are the key reasons to work with LHC

    whether youre a public sector organisation

    looking for procurement solutions or a

    supplier with products or services to provide.

    Knowledge and experience of procurement Our organisation began half a century ago and over five decades weve developed and shaped our service to meet the evolving needs of our clients.

    Recognised technical expertise Our technical expertise is built on continuous research by our team of technical specialists who consult with clients on the outcomes they need and suppliers on the range of available solutions.

    Commitment to better buildings and homes Our ultimate goal is helping our clients deliver better environments for the communities they serve, a goal we support through our frameworks, that address every aspect of quality, and our selection of the most appropriate suppliers.

    Fast and efficient procurement Once LHC appointed companies are established for a framework, the process of calling off projects and commissioning work is very efficient. Terms and rates have been agreed and even when a mini competition is required, the majority of contractual arrangements have already been finalised. Project work can start quickly.

    Financial gains Working with LHC frameworks gives suppliers access to construction, refurbishment and maintenance projects of over 200m each financial year. Clients who spend more than 200,000 on two or more frameworks in a year will benefit from a share in the LHC operating surplus we return to Members. During the last five years, we have given back a total of 10,000,000 to our members.

    Please read this guide in conjunction with the LHC guide to understanding and using pre-tendered frameworks, available on our website.



    Social landlords are often under pressure to build high quality,

    best value housing quickly. Traditional house builders are finding skill

    shortages in many areas that puts pressure on house building costs.

    Benefits of off-site construction

    There is a solution that provides an ideal alternative to social landlords wishing to build new housing quickly and efficiently off-site construction.

    With many UK manufacturers now using state of the art manufacturing techniques in modern, highly automated factories, off-site construction has come a long way in recent years, offering landlords high quality and cost effective solutions for house building.

    The benefits of off-site construction include:

    -- Predictability of costs due to controlled factory production costs

    -- Faster speed of build as much of the work is completed in the factory

    -- Consistent product build and high quality finishing with fewer defects than traditional build due to controlled factory construction that is not weather dependent

    -- Value engineering can help save costs, including reduced prelim and carpentry costs

    -- Reduced on-site labour requirements helps mitigate against labour and skill shortages

    -- Low site waste as much of the work is conducted off-site leaving less waste to dispose of

    -- Reduced theft risk as there are less easily removable materials on-site

    -- Less disruption to local residents with reduced vehicle movement, dust and noise

    -- Excellent standards of energy efficiency can be achieved

  • 05

    This framework agreement has been produced in two separate phases in strict compliance with UK Public Sector procurement rules for use by public sector bodies in the UK as detailed in the LHC buyer profile ( and as specified in the Contract Notices:

    Phase 1 Design, manufacture, supply and erection:

    -- 2014-OJS091-159133 London

    -- 2014-OJS091-158866 England

    -- 2014-OJS091-159132 Wales

    These were published in OJEU in May 2014 with 6 successful tenderers appointed in November 2014.

    Phase 2 Integrated construction process:

    -- 2015-OJS072-126946 London

    -- 2015-OJS072-126950 England

    -- 2015-OJS072-126948 Wales

    These were published in OJEU in April 2015 with 10 successful tenderers appointed in December 2015.

    Public sector organisations in Scotland wishing to use this framework should contact the Scottish Procurement Alliance (SPA).

    www.scottishprocurement.scot0131 306 0177

    Fully OJEU compliant, it provides local authorities, housing associations and other social landlords with easy access to off-site manufactured volumetric and panelised building systems for the use in new home build projects.

    The framework includes the option of a turnkey solution including design, manufacture, supply, installation and construction services. Alternatively, a supply and erection service is available.

    Suppliers on the framework have developed standard house types which help clients avoid design issues and save time and money, as the houses already comply with Building Regulations, the Housing Quality Index (HQI) and funding authority requirements.

    The LHC Framework Agreement for Off-site Construction of

    New Homes (design, manufacture, supply and erection) is available

    to public sector organisations in England, Wales and Scotland.

    About this framework agreement


    Building system options

    The Off-site Construction of New Homes Framework Agreement

    includes volumetric and panelised systems. These are available individually

    or with full construction services providing a turnkey solution.

    Panelised building systems

    Volumetric building systems are factory produced three-dimensional units that are transported to site for fixing together.

    To meet the requirements of the framework the delivered units are:

    -- Fully finished internally with the option of external wall and roof cladding systems that can be factory fitted

    -- Available with internal fixtures and fittings either specified by the client or selected from a range provided by the manufacturer

    -- Pre-installed with internal services that are tested prior to on-site commissioning by the supplier

    -- Designed to comply with structural, fire, acoustic and thermal Building Regulations

    -- Available with construction services to provide a turnkey solution

    Panelised building systems are factory produced flat panel units that are transported to site for assembly.

    These units form the structure of the building wall, floor and roof structure and can be made of timber, light gauge steel, concrete or structurally insulated panels (SIPs).

    To meet the requirements of the framework the delivered units are:

    -- Provided with external wall thermal insulation with the option of wall linings, windows and external cladding being installed in the factory

    -- Compliant with the requirements for fire safety during construction (if they are timber panelised building systems) meeting HSE and Fire and Rescue Services safety requirements

    -- Available with construction services to provide a turnkey solution

    Volumetric building systems

  • The systems available offer multiple benefits to clients,

    who can also be confident in consistently high standards

    of delivery provided by LHC appointed companies.

    LHC appointed company benefits

    Product and appointed company benefits

    Product benefits

    Volumetric and panelised building systems offer the following benefits to clients:

    -- Compliance with the latest British and European Standards and holding the CE Mark

    -- Compliance with the latest regulations both volumetric and panelised systems have been designed to meet the latest editions of the Building Regulations including: structure (Part A), fire (Part B), acoustic (Part E), conservation of fuel and power (Part L England, Part L Wales)

    -- Enhanced acoustic performance between dwellings for separating walls and floors, up to eight decibels better than Building Regulations

    -- Minimisation of energy costs for residents reduced thermal bridging, improved air tightness and A-rated windows, through fabric energy efficiency

    -- Legally and sustainably sourced timber used in systems timber sourced through sustainably managed forests supported by verified due diligence and risk assessment requirements regarding the chain of custody and compliance with the EU Timber Regulations No. 995/2010:2013

    -- Long term quality assurance and protection against defects all systems are suitable for gaining NHBC or equivalent new build warranty for a minimum of 10 years

    -- Available with construction services to provide a turnkey solution

    Companies on this framework provide:

    -- Confidence in quality of workmanship companies use approved and trained installers to carry out site works

    -- Assurance of quality, environmental, and health and safety management system requirements (companies have been evaluated to ensure management systems are in place)

    -- Time and cost savings leading from quicker starts provision of design services at the feasibility stage through Design For Manufacture (DFM) to deliver the clients design in the most efficient manner

    -- Confidence of conformity to statutory regulatory requirements appointed companies offer design advice and support on the interpretation and conformity to statutory regulatory requirements including meeting funding requirements

    As well as providing compliance, quality and best value to clients, the LHC Framework for Off-site Construction