Extension and variation of Whole Genome Sequencing Services contract

Description

Extension and variation of a contract for Whole Genome Sequencing ("WGS") Services entered into in 2019 with Illumina Cambridge Limited ("Sequencing Contract") under regulation 72(1)(b) and regulation 72(1)(e) of the PCR 2015. The contract entered into in 2019 provided 300,000 whole genome equivalents ("WGE"). The WGS Services cover short read sequencing technology services only. The extension is necessary to manage the move to distributed WGS within the NHS. Lot 1: Genomics England ("the Contracting Authority") was established in 2013 to make the UK the world leader in the application of genomics in healthcare in partnership with NHS England. The Contracting Authority has a contractual relationship with Illumina Cambridge Limited ("Illumina") for WGS Services. The contract was entered into on 1 November 2019 ("Agreement") by direct award and in reliance on Regulation 32 of the Public Contracts Regulations 2015. The Contracting Authority determined through considerable due diligence and assessment of the options available, to issue a transparency notice in the Official Journal of the European Union, for the Agreement for reasons of technical skills required being limited to one supplier. The VEAT notice was issued on 20 September 2019 with reference number GeL-CR-101-19. The Contracting Authority is now granting a term extension and variation to the Agreement to Illumina to enable the NHS to transition to distributed WGS in 2026, to assist in the delivery of the Contracting Authority's Generation Study and to complete the original planned number of WGS samples. The NHS is transitioning from a central location for WGS in Hinxton to a distributed model where WGS takes place within the NHS. This transition is expected to take place during the course of 2026. The Agreement provides for 300,000 WGE to be sequenced over the life of the Agreement. The first year commenced on 1 November 2020. The Agreement was originally awarded for 5 years as it was considered this would be sufficient to carry out the desired number. However, more time is required to enable the target number of samples to be met. The Contracting Authority, for various reasons outside of its control, including the impact of Covid, has been unable to provide the guaranteed number of samples in the original term. The Contracting Authority is undertaking the Generation Study, which has now been extended to 31 March 2027, and WGS is required to deliver it. The extension and variation will include the following modifications to the Agreement: - extends its term to 31 March 2027 (with a right to terminate it earlier after 31 July 2026); - the sample types to include research sample in the total amount of samples that can count towards the 300k target in full in order to make the target more achievable for the Contracting Authority; and - to include a small additional payment from the Contracting Authority to Illumina to cover Illumina's further lab costs. For the avoidance of doubt, this payment is strictly to cover Illumina's additional lab and staff costs to be incurred under the extended contract term and does not cover any additional volumes under the contract. The contract modification will therefore benefit the Contracting Authority by allowing the original sample numbers to be sequenced; enabling the Agreement's original objectives to be achieved; allow the NHS to transition smoothly to distributed sequencing and facilitate the continued delivery of the Generation Study. The Contracting Authority considers that these amendments are permitted pursuant to the Public Contracts Regulations 2015 as more fully explained below.