Two Scottish-based firms have been awarded the two year contract to deliver insolvency services on behalf of Accountant in Bankruptcy (AiB).
Wylie & Bisset and Insolvency Support Services (ISS) were the successful firms and have been awarded the contract following a full public procurement exercise. The new contract will commence on 1 July 2017.
The contract also allows for a further two optional one-year extensions at the discretion of AiB.
Should these two additional one year extensions be activated, the contract is expected to deliver around £1.5 million in savings to the public purse based on previous contract spend of around £13 million.
AiB currently contracts-out an average of 2500 cases per annum where The Accountant in Bankruptcy has been appointed trustee.
AiB has been able to outsource the administration of bankruptcies to a panel of suppliers since the introduction of a framework contract in 2008.
Accountant in Bankruptcy chief executive Dr Richard Dennis said: “This is the third contract for insolvency services to be awarded by AiB and, as a result of the competitive nature of the procurement process, we have been able to secure improved fee rates and consequently better value for taxpayers.
“Both suppliers will work across the three regions of Scotland outlined in the tender documents. By appointing two companies to handle insolvency services across the whole of Scotland on our behalf, we will benefit from economies of scale and deliver significant cost savings.
“We very much look forward to working closely with the appointed firms to deliver first class insolvency services for those financially vulnerable people in Scotland most in need of debt relief.”
The exercise has been subject to public sector procurement legislation.
Information on the application process and guidance on how to submit interest was provided on the AiB website, published in the Official Journal of the European Union and the Public Contracts Scotland web portal.
AiB is an Executive Agency of the Scottish Government with responsibility for administering the process of personal bankruptcy, administering the Debt Arrangement Scheme and recording corporate insolvencies in Scotland. More information on the Agency can be obtained from the AiB website at http://www.aib.gov.uk/