Payroll Service and HR/Payroll System

A Tender Notice
by LONDON BOROUGH OF HOUNSLOW

Source
Find a Tender
Type
Contract (Services)
Duration
6 year
Value
£14M
Sector
BUSINESS
Published
15 Apr 2026
Delivery
01 Oct 2026 to 30 Sep 2032
Deadline
22 Jun 2026 11:00

Related Terms

Location

United Kingdom:

Geochart for 1 buyers and 0 suppliers

Description

The London Borough of Hounslow (the "Council") is seeking a Service Delivery Partner ('Delivery Partner') to deliver a fully outsourced Payroll Service and Software‑as‑a‑Service (SaaS) HR/Payroll System from 1 October 2027. The service has been outsourced since October 2017 and TUPE will apply. The incumbent system is iTrent. The Authority will retain an in‑house HR operations team responsible for system set‑ups and reporting. The contract covers a fully managed payroll service for: Council employees Employees of Council‑owned companies (the Lampton Group) External clients purchasing the service Councillors' allowances and expenses Periodic election payrolls Maintained schools, academies and extended childcare centres including: • West Thames College • Norwood Green Juniors • The Green School Trust • BCPS Extended Day Care • Beavers Lodge Playgroup • Hounslow Action For Youth Association Ltd • Riverside Early Risers • Springwell + Morning Care • Springwell Holiday Scheme

Renewal Options

The Contracting Authority reserves the right to extend the contract beyond the initial term for up to a further two (2) years and an additional option to extend for a further two (2) years thereafter, subject to satisfactory performance of the Contractor. Extension Criteria An extension will only be considered where the Contractor has: - Consistently met or exceeded performance expectations - Demonstrated proactive issue resolution and continuous improvement - Maintained compliance with all legal and contractual requirements

Award Criteria

Quality _
Price _

CPV Codes

  • 79211110 - Payroll management services
  • 79631000 - Personnel and payroll services

Indicators

  • This is a recurring contract.
  • Renewals are available.

Other Information

The supplier must provide the employer role for pension administration, covering the Local Government Pension Scheme (LGPS), Teachers' Pension Scheme and other applicable pension arrangements. The supplier must provide a SaaS HR/Payroll system including payroll, core HR, absence management, recruitment and onboarding, and management of employees and non‑employees. The scope includes implementation, configuration and deployment; data migration and reconciliation; ongoing support, maintenance and upgrades; continuous improvement and benchmarking; and contract exit and transition support. The service must comply with all applicable UK legislation and deliver accurate, timely and customer‑focused payroll services. ** PREVIEW NOTICE, please check Find a Tender for full details. **

Reference

  • ocds-h6vhtk-0567b9
  • FTS 034141-2026

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