PPN 04/20 – Recovery & Transition from COVID-19

Following the issue of PPN 04/20 – Recovery and Transition from COVID-19 – we are ready to help our clients, past, present and new, to navigate their way back to the “new normal”.  Although the PPN is directed at Public Bodies, we believe that the principle of renegotiating contracts to reflect a post-COVID world applies to all sectors.

The PPN advises that institutions should begin the process of negotiating out of the unprecedented, interim COVID driven contractual arrangements with suppliers in readiness for the “new normal” which will inevitably arrive in the next few months.

Our considered view, and interpretation of the PPN content, is it’s Government’s aim to ensure that Public Procurement organisations and their contracted suppliers have revised contracts in place from the end of October, when the central financial support via the Job Retention scheme will end.  It’s recognised that contractual obligations from that point on will have to be different to what applied pre-COVID.

The PPN talks about any negotiation needing to be undertaken in a spirit of collaboration and to recognise that what might have been expected pre-COVID may have to change.

Be assured that Litmus understands that no ‘one sizes fits all’ and we are well placed to advise and help either individual institutions or groups – on a case-by-case basis –  to help achieve what is required in a re-negotiation scenario.

We are already in conversation with a number of clients to explore the best way to vary their contracts to meet their specific requirements.

Please do not hesitate to get in touch if you would like to have a no-obligation discussion around this issue or share any specific challenges that may exist.

The Litmus team


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