Unsuccessful at Tender Evaluation Stage Standstill Letter

Address:
Ground Floor
1 Hartshead Square
Sheffield
S1 2FD
Email:
[email protected]
Website:
www.dwp.gov.uk
Date:
17/04/2015
Remploy Ltd (registration 09457025) Formation Letter
Dear Recipient
The purpose of this letter is to clarify the background regarding the creation of Remploy
Ltd (company registration number 09457025) and to address this new entity’s
corporate history.
The Minister for Employment announced in July 2014 that the Government was
launching a commercial process to seek either an investor or partner for Remploy
Employment Services (part of Remploy Ltd with company registration of 00394532).
When in Government ownership Remploy Employment Services worked with around
70,000 people each year and over 2,500 employers, working out of around 60 national
branches with over 850 employees covering over 30 contracts providing regional and
national coverage assisting the disabled and disadvantaged into work. Up to April 2015
Remploy Employment Services provided the majority of its support to disabled people
through the DWP’s Work Choice programme (from October 2010). The Work Choice
programme is a voluntary employment programme which helps disabled people with
more complex issues find work and stay in a job. At the time of Government exit
Remploy Employment Services delivered Work Choice nationally across Great Britain
and provided a significant proportion of the overall delivery of the programme (50% by
referral). Remploy Employment Services delivered Work Choice through DWP Grant in
Aid (GIA) funding and this was valued at circa £30m per annum up to April 2015.
In addition to Work Choice, while under Government ownership, Remploy Employment
Services competed for and won a range of other commercial contracts, including
contracts providing national coverage. This included agreements to deliver as a subcontractor with five prime providers of the DWP’s Work Programme. They are also the
sole national provider of services under the DWP’s Access to Work Mental Health
contracts and hold a number of other contracts including with local authorities, housing
associations, and education providers.
The DWP’s commercial process to find an investor/Partner concluded in March 2015
with Maximus selected as the successful candidate to support the creation of a Joint
Venture with Remploy Employment Services employees as part of its move out of
Government control.
Remploy Ltd (company registration of 09457025) was formed as a joint venture
partnership with 70% of shares held by Maximus Companies Ltd and 30% by Remploy
Employment Services employees held via an Employee Benefit Trust (EBT). This new
partnership was finalised on 7 April 2015 and included the continued use of the
Remploy Ltd brand. Thus, whilst Remploy Ltd (company registration 09457025) does
not appear to have a deep corporate history due to its recent formation, information is
available from the DWP on its history and constituent parts; Remploy Employment
Services (as part of Remploy Ltd company registration 00394532) up to April 2015;
Remploy Ltd (company registration 09457025) from April 2015 and Maximus
Companies Limited (company registration 09188364) in the form of performance
certificates. If you would like further information on any of these parties’ contract
performance then please contact Garry Chambers (copied to David Grimstone) on the
details below.
Yours sincerely
Garry Chambers MBE
Senior Disability Category Manager