Industrial Disease Claims Handling - TRGF3153

The Department for Transport intends to directly award a contract for the continued provision of claims handling services for Industrial Disease Claims received from former employees of British Railways Board to the incumbent supplier. This decision is made in accordance with the Procurement Act 2023, Schedule 5, Paragraph 7, which permits direct award where a change of supplier would result in disproportionate technical difficulties and operational disruption.

The cost of handling the current portfolio of claims received on or before 31st October 2025 has already been paid in advance to the current supplier, covering the full lifecycle from registration to closure. Transitioning to a new supplier would require: • Duplicated fees for management of current portfolio of claims • Complex and resource-intensive transfer of sensitive case data • Operational disruption due to the potential need to manage two separate contracts with associated finance process, and on line databases. • TUPE Considerations: The incumbent supplier currently employs staff with specialist knowledge and experience of this work portfolio.

A change in provider would trigger operation of TUPE Regulations, resulting in legal and operational complexities reinforcing the case for continuity of service. If a competitive tender were pursued, it would need to cover both the existing case portfolio and any new claims received on or after 1st November 2025.

This would create the risk of double payment for the existing portfolio of cases with additional and unnecessary cost to the public purse, service fragmentation and stakeholder disruption. Supplier: Crawford & Company Adjusters (UK) Limited Anticipated Contract Award: 1st November 2025 Duration: 3-years Total Value excluding VAT: £100k (below threshold for services)