Published date: 22 December 2021

Closed opportunity - This means that the contract is currently closed. The buying department may be considering suppliers that have already applied, or no suitable offers were made.


Closing: 14 February 2022, 1pm

Contract summary

Industry

  • Financial and insurance services - 66000000

Location of contract

United Kingdom

Value of contract

£50,000,000 to £90,000,000

Procurement reference

ID 207

Published date

22 December 2021

Closing date

14 February 2022

Closing time

1pm

Contract start date

1 May 2022

Contract end date

30 April 2026

Contract type

Service contract

Procedure type

Open procedure (above threshold)

Any interested supplier may submit a tender in response to an opportunity notice.

This procedure can be used for procurements above the relevant contract value threshold.

Contract is suitable for SMEs?

Yes

Contract is suitable for VCSEs?

Yes

Description

We are seeking partners to co-design, pilot and then scale up innovative affordable finance products targeted at people in vulnerable circumstances.

The first pilot is a no interest loans scheme to be delivered in six locations across England, Northern Ireland, Scotland and Wales.

The Treasury backed NILS pilot is an opportunity to improve credit provision for customers who don't currently have access to a fair credit option who are excluded from credit because of they cannot afford the interest and the principal, but could afford principal repayments; or who do not meet lending criteria for other reasons but where there is a societal benefit to lending to them responsibly.

Equivalent services have been in place internationally for a long time but no scaled provision exists in the UK.

We hope that the pilot results in a positive set of outcomes for customers, and also for the partners who help to deliver the programme. One of our objectives for the pilot is that it strengthens overall affordable credit provision in the UK. Bid opportunities are divided into geographic lots with options to bid for more than one lot or all lots.

We are also seeking partners to work with us on wider innovative product development initiatives leading to pilot implementation and scaled up delivery. This is covered in a separate lot, initially focussed on England, but with the option to be extended beyond. This may encompass the development, piloting and scaling of:

Solutions tackling problem debt

Solutions tackling appliance poverty

Insurance products specifically designed for low income households

Savings products and credit builder products

Alternative and fair versions of buy now, pay later (BNPL) lending

Revolving credit products or ethical overdraft products

Car financing and other products to enable economic livelihood to improve

Hire purchase or conditional sale products

Fair and accessible credit cards

Other lending products which may also be coupled with complementary products eg savings, credit builder products, insurance offerings and more.

Therefore, we are seeking partner organisations who share the vision of a credit market which can provide a fair and affordable option for all customers. Stringent tests are included in our procurement about bidders track record with the customers we are targeting and their commitment to delivering these contracts within the interests of the customer coming first.

The contracts are set up to be capable of being extended for a further 5 years after the initial development and piloting period and these extensions are dependent on our funding partners contributing beyond the initial term and would be entered into by mutual consent.

More information

Links

About the buyer

Contact name

Gary Stephens

Address

2nd Floor 28 Commercial Street
London
E16LS
England

Telephone

07940519544

Email

procurement@fair4allfinance.org.uk

Website

https://fair4allfinance.marketdojo.com/users/current_opportunities