Public procurement notice: Contract Notice
Published: 2020-10-16
Buyer: Transport for Greater Manchester
Country: UK
Contract type: Services
Procedure: Open procedure
CPV classification: 66000000 | 66113000 | 66114000 | 66150000 | 66170000
Estimated value: 120000000 GBP
Submission deadline: 2020-11-27
Award criteria: The most economic tender

Technical requirements: TfGM is intending to establish and manage a panel or framework of experienced, FCA regulated vehicle finance providers (‘Finance Providers’). TfGM intends to provide a financial contribution in respect of each loan agreement concluded by a finance provider with an applicant business (‘Applicant’), such that the panel members are able to offer attractive financial packages to eligible vehicle owners. Although it will make such financial contributions, TfGM is not intending underwriting or guaranteeing any of the loans, and thus the finance providers will still be exposed to the credit and default risk of each applicant/borrower. Nor will TfGM guarantee or underwrite any volume or quantum of loans. The overall aim of the scheme is to address and reduce the adverse impacts on individuals, companies and organisations of financing an upgrade to a compliant vehicle, without reducing the effectiveness of the GM CAZ
Government has instructed many local authorities across the UK to take action to reduce harmful Nitrogen Dioxide (‘NO2’) levels following the Secretary of State issuing a direction under the Environment Act 1995 to a number of authorities to undertake feasibility studies to ‘identify the option which will deliver compliance with legal limits of nitrogen dioxide in the area for which the authority is responsible in the shortest possible time’.
In Greater Manchester, the 10 local authorities are working together to develop a Clean Air Plan to tackle NO2 exceedances at the roadside (GM CAP). The GM CAP is being coordinated by Transport for Greater Manchester (TfGM). An outline business case was submitted in March 2019.
In March 2020 the ten local authorities received a further Ministerial Direction to implement ‘a Charging Clean Air Zone Class C with additional measures’ so that:
(a) compliance with the legal limit value for nitrogen dioxide is achieved in the shortest possible time and by 2024 at the latest;
(b) exposure to levels above the legal limit value for nitrogen dioxide are reduced as quickly as possible.
As part of the GM CAP, TfGM, on behalf of the ten local authorities, is intending to establish contracts for participation in a finance provider framework for the provision of access to affordable finance (Vehicle Finance) for eligible applicants who require assistance in funding the cost of upgrading from a vehicle that is non-compliant with the emissions standards of the Greater Manchester Clean Air Zone (GM CAZ) and would be subject to a daily charge (‘Non-Compliant Vehicle’) to a vehicles that is compliant with the emissions standards of the GM CAZ (‘Compliant Vehicle’), subject to meeting eligibility criteria and availability of funds. Applicants may, alternatively apply for a Grant rather than Vehicle Finance – the administration of such Grants will managed by the CVFS provider, a separate procurement exercise which will run in parallel to this procurement (see further details below). A panel of finance providers will be appointed for the purpose of providing finance contributions to eligible applicants under the clean funds scheme. This panel will be appointed to provide financing coverage across the range of commercial vehicles (taxis, vans and LGVs, HGVs) captured within the clean funds scheme eligibility criteria. Finance providers will be required to provide eligible applicants with finance agreements using a financial contribution to cover the cost of the finance agreement.
TfGM is intending to establish and manage a panel or framework of experienced, FCA regulated vehicle finance providers (‘Finance Providers’). TfGM intends to provide a financial contribution in respect of each loan agreement concluded by a finance provider with an applicant business (‘Applicant’), such that the panel members are able to offer attractive financial packages to eligible vehicle owners. Although it will make such financial contributions, TfGM is not intending underwriting or guaranteeing any of the loans, and thus the finance providers will still be exposed to the credit and default risk of each applicant/borrower. nor will TfGM guarantee or underwrite any volume or quantum of loans. The overall aim of the scheme is to address and reduce the adverse impacts on individuals, companies and organisations of financing an upgrade to a compliant vehicle, without reducing the effectiveness of the GM CAZ.
A duly authorised TfGM procurement representative will verify and release the submissions in ProContract.


Award value: 120000000