Concession contracts procurement—before 18 April 2016 [Archived]
Produced in partnership with Walker Morris
Concession contracts procurement—before 18 April 2016 [Archived]

The following Public Law guidance note Produced in partnership with Walker Morris provides comprehensive and up to date legal information covering:

  • Concession contracts procurement—before 18 April 2016 [Archived]
  • What is a concession contract?
  • Works concession
  • Value
  • Contract notice
  • Exclusions
  • Time limits
  • Subcontracting
  • Services concessions
  • Common pitfalls of concession contracts
  • more

ARCHIVED: This Practice Note has been archived and is not maintained.

This Practice Note provides background reading on concessions contracts procurement prior to the introduction of the Concession Contracts Regulations 2016, SI 2016/273, which came into force on 18 April 2016, implementing Directive 2014/23/EU and introducing a new regime for the procurement of works concessions and service concessions. This Practice Note states the law prior to 18 April 2016 and is not maintained. It is for background information only. For more information on the current regime, see Practice Note: Introduction to concession contracts procurement.

What is a concession contract?

A concession contract is an agreement between a contracting authority and suppliers (typically private companies) where suppliers are given the right to exploit works or services provided for their own commercial gain. Under concession contracts, suppliers either receive payment for those services solely through third party sources (usually users of the service they are providing, ie the general public) or partly through payment from the contracting authority along with income received from third parties. The key feature is the supplier, not the contracting authority, bears the operating or demand risk of the arrangement and so has no guarantee of recouping its investment or operating costs.

Following an extensive reform, three new EU procurement Directives were adopted on 11 February 2014:

  1. Directive 2014/23/EU