Homes England prepares to launch new purchasing system to boost housebuilders

On 1 September, Homes England will launch its new Delivery Partner Dynamic Purchasing System (DPS), marking a significant shift in the way the agency procures housebuilders, as well as increasing flexibility and accessibility.

For the first time, housebuilders will be able to join the agency’s list of preferred developers whenever they choose. The Delivery Partner DPS is replacing the existing Delivery Partner Panel (DPP3), which housebuilders and developers are currently only able to join when it is renewed, once every four years.

The Delivery Partner DPS will also be available to public sector partners to help them procure a developer or contractor to build homes on sites they own.

Stephen Kinsella, chief land and development officer at Homes England, said: “This new digital system marks a huge step forward, making it much easier for developers to bid for our land. I would encourage our current partners, as well as those we haven’t worked with before, to get their applications in so we can work together to create great places to live.

“We are one of the largest vendors of residential land, with sites for tens of thousands of homes being disposed over the next three years being channelled through this new approach.”

Applications are being sought from housebuilders who share Homes England’s ambitions to build more sustainably, and for high-quality design and placemaking. By switching from a framework to a DPS, Homes England is also simplifying access for smaller developers and new entrants, helping to further diversify the market.

The application process will also take the size of the developer into account. For example, small and medium-sized enterprises bidding to deliver smaller sites will benefit from simpler entry criteria, whereas the entry criteria for developers bidding to deliver larger strategic sites will have proportionately more testing.

The initial application phase will run from 24 May to 25 June, and the official launch of the new system will follow shortly afterwards on 1 September, 2021.

Successful applicants will become members of the DPS when it launches and applications will then re-open on an ongoing basis, enabling new market entrants to join at any time.