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You are here: BAILII >> Databases >> England and Wales High Court (Technology and Construction Court) Decisions >> Parkingeye Ltd v Velindre University NHS Trust & Anor [2026] EWHC 1019 (TCC) (01 May 2026) URL: https://www.bailii.org/ew/cases/EWHC/TCC/2026/1019.html Cite as: [2026] WLR(D) 293, [2026] EWHC 1019 (TCC) |
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BUSINESS AND PROPERTY COURTS IN WALES
TECHNOLOGY AND CONSTRUCTION COURT (KBD)
2 Park Street, Cardiff, CF10 1ET |
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B e f o r e :
sitting as a Judge of the High Court
____________________
PARKINGEYE LIMITED | Claimant / Respondent |
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| - and – |
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| (1) VELINDRE UNIVERSITY NHS TRUST (2) CARDIFF AND VALE UNIVERSITY HEALTH BOARD |
Defendants / Applicants |
____________________
Jorren Knibbe (instructed by NWSSP Legal & Risk Services) for the Defendants/Applicants
Hearing date: 22 April 2026
____________________
Crown Copyright ©
Judge Keyser KC :
Introduction
Limited
("NPCG").
- First statement of Iliass Dadda, Senior Procurement Business Manager at NHS Wales Shared Services Partnership ("NWSSP"), Procurement Services: 18 March 2026
- First statement of Andrew John Evans, a Senior Commercial Lawyer at NWSSP, Legal & Risk Services: 17 March 2026
- Second statement of Iliass Dadda (in reply): 10 April 2026
- First statement of Steffanie Pothecary, Head of Transport and Sustainable Travel at Cardiff & Vale (in reply): 10 April 2026.
- First statement of Jo Wade, the Sales and Marketing Director of the respondent: 7 April 2026
- First statement of John Edward Williams, a partner at DWF Law LLP and the solicitor with conduct of these proceedings on behalf of the respondent: 7 April 2026
- Second statement of Jo Wade (in further response): 14 April 2026.
The Law
The 2023 Act
"A contracting authority may not carry out a covered procurement except in accordance with this Act."
A contracting authority that wishes to award a public contract must do so by means of a competitive process or, in certain cases (not relevant here), by a direct award or an award under a framework: section 11(2). The terms "contracting authority", "covered procurement" and "public contract" are defined terms; I need not set out the definitions. It is common ground that the Procurement was a covered procurement in respect of a public contract, and (subject to an issue as to which applicant was actually the proper contracting authority) that the applicants would be contracting authorities.
"(1) In carrying out a covered procurement, a contracting authority must have regard to the importance of—
(a) delivering value for money;
(b) maximising public benefit;
(c) sharing information for the purpose of allowing suppliers and others to understand the authority's procurement policies and decisions;
(d) acting, and being seen to act, with integrity.
(2) In carrying out a covered procurement, a contracting authority must treat suppliers the same unless a difference between the suppliers justifies different treatment."
"(1) A contracting authority may award a public contract to the supplier that submits the most advantageous tender in a competitive tendering procedure.
(2) The 'most advantageous tender' is the tender that the contracting authority considers—
(a) satisfies the contracting authority's requirements, and
(b) best satisfies the award criteria when assessed by reference to—
(i) the assessment methodology under section 23(3)(a), and
(ii) if there is more than one criterion, the relative importance of the criteria under section 23(3)(b).
(3) In assessing tenders for the purposes of this section a contracting authority—
(a) must disregard any tender from a supplier that does not satisfy the conditions of participation;
(b) may disregard any tender from a supplier that—
(i) is not a United Kingdom supplier or treaty state supplier, or
(ii) intends to sub-contract the performance of all or part of the contract to a supplier that is not a United Kingdom supplier or treaty state supplier;
(c) may disregard any tender that offers a price that the contracting authority considers to be abnormally low for performance of the contract;
(d) may disregard any tender which breaches a procedural requirement set out in the tender notice or associated tender documents."
"(1) A contracting authority must publish a tender notice for the purpose of—
(a) inviting suppliers to submit a tender as part of an open procedure, or …
(2) A 'tender notice' means a notice setting out—
(a) that a contracting authority intends to award a public contract under section 19, and
(b) any other information specified in regulations under section 95.
(3) A contracting authority must provide any associated tender documents in accordance with the tender notice.
(4) 'Associated tender document' means, in relation to a tender notice, a document setting out information specified in regulations under section 95 that supplements that set out in the tender notice.
(5) A contracting authority may not invite suppliers to submit a tender as part of a competitive tendering procedure unless it is satisfied that the tender notice or associated tender documents contain—
(a) information sufficient to allow suppliers to prepare such a tender, and
(b) in particular, details of the goods, services or works required by the contracting authority.
(6) In detailing its requirements, a contracting authority must be satisfied that they—
(a) are sufficiently clear and specific, and
(b) do not break the rules on technical specifications in section 56.
…"
"(1) A contracting authority may set conditions of participation in relation to the award of a public contract under section 19 only if it is satisfied that the conditions are a proportionate means of ensuring that suppliers have—
(a) the legal and financial capacity to perform the contract, or
(b) the technical ability to perform the contract.
(2) A 'condition of participation' is a condition that a supplier must satisfy if the supplier is to be awarded the public contract."
"(1) In this Act, 'award criteria' means criteria set in accordance with this section against which tenders may be assessed for the purpose of awarding a public contract under section 19 (award following competitive tendering procedure).
(2) In setting award criteria, a contracting authority must be satisfied that they—
(a) relate to the subject-matter of the contract,
(b) are sufficiently clear, measurable and specific,
(c) do not break the rules on technical specifications in section 56, and
(d) are a proportionate means of assessing tenders, having regard to the nature, complexity and cost of the contract.
(3) In setting award criteria, a contracting authority must—
(a) describe how tenders are to be assessed by reference to them and, in particular, specify whether failure to meet one or more criteria would disqualify a tender (the "assessment methodology"), and
(b) if there is more than one criterion, indicate their relative importance by—
(i) weighting each as representing a percentage of total importance,
(ii) ranking them in order of importance, or
(iii) describing it in another way."
"(1) Before entering into a public contract, a contracting authority must publish a contract award notice.
(2) A 'contract award notice' means a notice setting out—
(a) that the contracting authority intends to enter into a contract, and
(b) any other information specified in regulations under section 95.
(3) Before publishing a contract award notice in respect of a contract awarded under section 19 (award following competitive tendering procedure), a contracting authority must provide an assessment summary to each supplier that submitted an assessed tender.
(4) An 'assessment summary' means, in relation to an assessed tender, information about the contracting authority's assessment of—
(a) the tender, and
(b) if different, the most advantageous tender submitted in respect of the contract.
(5) In this section, an 'assessed tender' is a tender which—
(a) was submitted in respect of the contract and assessed for the purposes of determining the most advantageous tender under section 19(1), and
(b) was not disregarded in the assessment of tenders."
"(1) A contracting authority may not enter into a public contract before—
(a) the end of the mandatory standstill period, or
(b) if later, the end of another standstill period provided for in the contract award notice.
(2) The 'mandatory standstill period' is the period of eight working days beginning with the day on which a contract award notice is published in respect of the contract."
"(1) A contracting authority's duty to comply with Parts 1 to 5, 7 and 8 is enforceable in civil proceedings under this Part.
(2) For the purposes of this Part, the duty is owed to any supplier that is—
(a) a United Kingdom supplier, …
(3) Proceedings under this Part may be brought in the court by a supplier that—
(a) is a United Kingdom or treaty state supplier, and
(b) has suffered, or is at risk of suffering, loss or damage in consequence of a breach of the duty.
…
(9) In this Part—
…
'the court' means—
(a) in England and Wales, the High Court, …"
"(1) A contracting authority may not enter into a public contract … if during any applicable standstill period—
(a) proceedings under this Part are commenced in relation to the contract, and
(b) the contracting authority is notified of that fact.
(2) The court may lift or modify the restriction in subsection (1) by order under section 102.
(3) The restriction in subsection (1) does not apply if—
(a) the proceedings at first instance have been determined, discontinued or otherwise disposed of, and
(b) the court has not made an order to extend the restriction."
"(1) In proceedings under this Part, the court may make one or more of the following orders—
(a) an order lifting or modifying the restriction in section 101(1);
(b) an order extending the restriction or imposing a similar restriction;
(c) an order suspending the effect of any decision made or action taken by the contracting authority in carrying out the procurement;
(d) an order suspending the procurement or any part of it;
(e) an order suspending the entry into or performance of a contract;
(f) an order suspending the making of a modification of a contract or performance of a contract as modified.
(2) In considering whether to make an order under subsection (1), the court must have regard to—
(a) the public interest in, among other things—
(i) upholding the principle that public contracts should be awarded, and contracts should be modified, in accordance with the law;
(ii) avoiding delay in the supply of the goods, services or works provided for in the contract or modification (for example, in respect of defence or security interests or the continuing provision of public services);
(b) the interests of suppliers, including whether damages are an adequate remedy for the claimant;
(c) any other matters that the court considers appropriate.
(3) An order under subsection (1) may not permit a contract to be entered into or modified before the end of any applicable standstill period (see sections 51 and 76).
(4) An order under subsection (1) may provide for undertakings or conditions."
"(1) This section applies if the court is satisfied that a decision made, or action taken, by a contracting authority breached the duty referred to in section 100(1) and—
(a) the contract in relation to which the breach occurred has not been entered into, or
(b) where the breach occurred in relation to a modification of a contract, the modification has not yet been made.
(2) The court may make one or more of the following orders—
(a) an order setting aside the decision or action;
(b) an order requiring the contracting authority to take any action;
(c) an order for the award of damages;
(d) any other order that the court considers appropriate."
"(1) This section applies if the court is satisfied that a decision made, or action taken, by a contracting authority breached the duty referred to in section 100(1) and—
(a) the contract in relation to which the breach occurred has already been entered into, or
(b) where the breach occurred in relation to a modification of a contract, the modification has already been made.
(2) The court—
(a) must, if a set aside condition in section 105 is met, make an order setting aside the contract or modification, and
(b) may, in any case, make an order for the award of damages.
(3) The duty in subsection (2)(a) does not apply if the court is satisfied that there is an overriding public interest in not setting aside the contract or modification (for example, in respect of defence or security interests or the continuing provision of public services).
(4) In which case, the court may make an order reducing—
(a) the term of the contract;
(b) the goods, services or works to be supplied under the contract."
limits
for commencing proceedings under Part 9. So far as relevant it provides:
"(1) A supplier must commence any specified set-aside proceedings before the earlier of—
(a) the end of the period of 30 days beginning with the day on which the supplier first knew, or ought to have known, about the circumstances giving rise to the claim;
(b) the end of the period of six months beginning with the day the contract was entered into or modified.
(2) A supplier must commence any other proceedings under this Part before the end of the period of 30 days beginning with the day on which the supplier first knew, or ought to have known, about the circumstances giving rise to the claim.
(3) The court may make an order extending a timelimit
referred to in subsection (1)(a) or (2) if it considers there to be a good reason for doing so.
(4) An order under subsection (3) may not permit proceedings to be commenced after—
…
(b) in any case, the end of the period of 3 months beginning with the day on which the supplier first knew, or ought to have known, about the circumstances giving rise to the claim."
Applications to lift the automatic suspension
"95. Contract-making suspended by challenge to award decision
(1) Where—
(a) a claim form has been issued in respect of a contracting authority's decision to award the contract,
(b) the contracting authority has become aware that the claim form has been issued and that it relates to that decision, and
(c) the contract has not been entered into,
the contracting authority is required to refrain from entering into the contract.
(2) The requirement continues until any of the following occurs—
(a) the Court brings the requirement to an end by interim order under regulation 96(1)(a);
(b) the proceedings at first instance are determined, discontinued or otherwise disposed of and no order has been made continuing the requirement (for example in connection with an appeal or the possibility of an appeal)."
"96. Interim orders
(1) In proceedings, the Court may, where relevant, make an interim order—
(a) bringing to an end the requirement imposed by regulation 95(1); …
(2) When deciding whether to make an order under paragraph (1)(a)—
(a) the Court must consider whether, if regulation 95(1) were not applicable, it would be appropriate to make an interim order requiring the contracting authority to refrain from entering into the contract; and
(b) only if the Court considers that it would not be appropriate to make such an interim order may it make an order under paragraph (1)(a).
(3) If the Court considers that it would not be appropriate to make an interim order of the kind mentioned in paragraph (2) (a) in the absence of undertakings or conditions, it may require or impose such undertakings or conditions in relation to the requirement in regulation 95(1)."
Limited
v The Gambling Commission [2022] EWHC 1644 (TCC), O'Farrell J stated that test as follows:
"48. The relevant questions for the court, when determining an application to lift the automatic suspension in a procurement challenge case, are as follows:
i) Is there a serious issue to be tried?
ii) If so, would damages be an adequate remedy for the claimant(s) if the suspension were lifted and they succeeded at trial; is it just in all the circumstances that the claimant(s) should be confined to a remedy of damages?
iii) If not, would damages be an adequate remedy for the defendant if the suspension remained in place and it succeeded at trial?
iv) Where there is doubt as to the adequacy of damages for either of the parties, which course of action is likely to carry the least risk of injustice if it transpires that it was wrong; that is, where does the balance of convenience lie?"
Under that test, a finding that damages would be an adequate remedy for the claimant (the second stage of the test) would mean that an injunction restraining the contracting authority from entering into the contract would be inappropriate and, therefore, that the suspension should be lifted. Regarding the balance of convenience (the fourth stage of the test), in the Camelot case O'Farrell J said this:
"126. There is no dispute as to the applicable principles. The balance of convenience test requires the court to consider all the circumstances of the case to determine which course of action is likely to carry the least risk of injustice to either party if it is subsequently established to be wrong. When determining where the balance of convenience lies:
i) the court should consider how long the suspension might have to be kept in force if an expedited trial could be ordered: DWF LLP v Secretary of State for Business Innovation and Skills [2014] EWCA Civ 900 per Sir Robin Jacob at [50];
ii) the court may have regard to the public interest: Alstom Transport v Eurostar International Ltd [2010] EWHC 2747 (Ch) at [80];
iii) the court should consider the interests of the successful bidder, alongside the interests of the other parties: OpenView Security SolutionsLimited
v The London Borough of Merton Council [2015] EWHC 2694 (TCC) at [14];
iv) if the factors relevant to the balance of convenience do not point in favour of one side or the other, then the prudent course will usually be to preserve the status quo (or, perhaps more accurately, the status quo ante), that is to say to lift the suspension and allow the contract to be entered into: Circle Nottingham Ltd v NHS Rushcliffe Clinical Commissioning Group [2019] EWHC 1315 (TCC) at [16]."
"29. The courts in conducting statutory interpretation are 'seeking the meaning of the words which Parliament used': Black-Clawson International Ltd v Papierwerke Waldhof-Aschaffenburg AG [1975] AC 591, 613 per Lord Reid. More recently, Lord Nicholls of Birkenhead stated: 'Statutory interpretation is an exercise which requires the court to identify the meaning borne by the words in question in the particular context.' (R v Secretary of State for the Environment, Transport and the Regions, Ex p Spath Holme Ltd [2001] 2 AC 349, 396.) Words and passages in a statute derive their meaning from their context. A phrase or passage must be read in the context of the section as a whole and in the wider context of a relevant group of sections. Other provisions in a statute and the statute as a whole may provide the relevant context. They are the words which Parliament has chosen to enact as an expression of the purpose of the legislation and are therefore the primary source by which meaning is ascertained. There is an important constitutional reason for having regard primarily to the statutory context as Lord Nicholls explained in Spath Holme, p 397: 'Citizens, with the assistance of their advisers, are intended to be able to understand parliamentary enactments, so that they can regulate their conduct accordingly. They should be able to rely upon what they read in an Act of Parliament.
30. External aids to interpretation therefore must play a secondary role. Explanatory Notes, prepared under the authority of Parliament, may cast light on the meaning of particular statutory provisions. Other sources, such as Law Commission reports, reports of Royal Commissions and advisory committees, and Government White Papers may disclose the background to a statute and assist the court to identify not only the mischief which it addresses but also the purpose of the legislation, thereby assisting a purposive interpretation of a particular statutory provision. The context disclosed by such materials is relevant to assist the court to ascertain the meaning of the statute, whether or not there is ambiguity and uncertainty, and indeed may reveal ambiguity or uncertainty: Bennion, Bailey and Norbury on Statutory Interpretation, 8th ed (2020), para 11.2. But none of these external aids displace the meanings conveyed by the words of a statute that, after consideration of that context, are clear and unambiguous and which do not produce absurdity. …
31. Statutory interpretation involves an objective assessment of the meaning which a reasonable legislature as a body would be seeking to convey in using the statutory words which are being considered. Lord Nicholls, again in Spath Holme [2001] 2 AC 349, 396, in an important passage stated:
'The task of the court is often said to be to ascertain the intention of Parliament expressed in the language under consideration. This is correct and may be helpful, so long as it is remembered that the "intention of Parliament" is an objective concept, not subjective. The phrase is a shorthand reference to the intention which the court reasonably imputes to Parliament in respect of the language used. It is not the subjective intention of the minister or other persons who promoted the legislation. Nor is it the subjective intention of the draftsman, or of individual members or even of a majority of individual members of either House . . . Thus, when courts say that such-and-such a meaning "cannot be what Parliament intended", they are saying only that the words under consideration cannot reasonably be taken as used by Parliament with that meaning.'"
- The first example (upholding the principle of lawful awards) has to be understood in a way that explains its practical utility to the exercise being undertaken by the court. It does not, I think, invite a consideration of the merits: the court's former approach was not to engage in anything like a mini-trial, which would be impractical in most cases; and section 102(2)(a) says nothing at all about merits. Before me, counsel were agreed that the new test does not invite the court to form a view on merits, at least in any but a clear case. I agree. But then, is the example in section 102(2)(a)(i) just a rather vacuous statement of a principle that has no practical bearing on the decision to be made? In my view, no. For the applicants, Mr Knibbe submitted that the public interest in upholding the principle that contracts should be awarded lawfully was adequately respected by the lifting of a suspension, because the availability of the post-contract remedy of damages would recognise any unlawfulness in the contract award, impose a sanction for that unlawfulness and represent a disincentive against future breaches of the obligations under the 2023 Act. I do not accept that submission. If it were correct, the principle that public contracts should be awarded lawfully would really have little or nothing to bring to the determination of whether to grant an interim remedy under section 102(1). The existence of the substantive claim and the availability of final remedies would render the principle neutral at the stage of interim remedies. The principle would hardly have been worth mentioning at all, let alone in first place. In my view the principle is directed to the importance of awarding contracts lawfully, not to responses to unlawful awards. I read it as recognising a public interest that, where the lawfulness of an award of a contract is disputed, the contract should not be awarded until that dispute has been determined.
- The second example of public interest (delay in supply) focuses precisely on delay in achieving the supply of goods and services, not on the desirability of alternative sources of supply. The significance of this appears from the parenthesis, albeit that it too only provides examples of what is encompassed in section 102(2)(a)(ii): delay in the supply of goods or services in the context of defence or security is of obvious importance; but the second example, "the continuing provision of public services", expressly concerns the possibility that public services will not be provided. I note that the same two examples are given in section 104(3) (exception to the obligation to set aside a contract or modification), where they are instances of "an overriding public interest in not setting aside the contract or modification"; this indicates that they are both intended to represent serious and maybe exceptional cases. Thus, although they are not exhaustive, the particular instances of public interest identified in the parenthesis in section 102(2)(a)(ii) are of serious matters, such as interference with defence or security or the interruption of public services, rather than merely a public interest in contracting authorities acting in accordance with their own judgement as to where their and the public's advantage lies. I take the point, made by Mr Knibbe, that section 102(2)(a)(ii) refers generally to the delay in the supply of the services etc. "provided for in the contract or modification", and I acknowledge that—as is recognised later in this judgment—the court must consider in the balance the public interest in the provision of any additional or modified services not previously provided. The examples in the parenthesis are not exclusive, as the wider examples in sub-paragraphs (i) and (ii) are themselves not exclusive of the public interest. But they do seem to me to provide some real guidance beyond merely pointing to a public interest in the contract being awarded in accordance with the procurement decision. In any given case, the court must assess the weight of the public interest in the prompt delivery of additional or improved services. Especially when read in the context of section 102(2)(a)(i), section 102(2)(a)(ii) directs the primary focus to the substantial deprivation of services.
"205. The current test used by the court to determine whether a suspension should be lifted is based on the test for the granting of an interim injunction, which relies on the principles established by the 1975 American Cyanamid case (on alleged patent infringement) and is not specific to public procurement challenges. Official statistics are unavailable but it is believed that in 2017 as an example, around two thirds of hearings to lift the automatic suspension in procurement cases were found in favour of the contracting authority. This potentially reflects the difficulty for a claimant to show that damages are an inadequate substitute for a profit-making contract, especially when set against the delay to contract award exacerbated by the length of proceedings.
206. We propose amending the test to be applied by the Courts when determining whether to lift the automatic suspension so that it is no longer based on the test applied when granting an injunction, but is a more appropriate, procurement-specific test. We would aim for this test to balance public interest, urgency, the upholding of the regulations and the impact on the winning bidder against the right for the claimant to be able to participate in the contract and the alternative available remedies. The introduction of a fast track procedure where required should reduce the need to rely on this test as the reduction in Court timescales will allow more contracts to remain suspended while the case is heard."
It is to be noted that the Green Paper contained relevant proposals for legislating for the primacy of pre-contractual remedies and for a cap on damages, neither of which found their way into the 2023 Act. Nevertheless, the proposal for a new procurement-specific test was maintained in accordance with the Green Paper.
"Summary of responses
250. A majority (60%) of 315 respondents agreed that development of a procurement-specific test would be a positive move to ensure greater balance between supplier and contracting authorities' interests given the current test is often thought to be skewed in favour of contracting authorities. However, support for this was contingent on the detail of the proposed replacement test for American Cyanamid and was given in the Green Paper context of a stated primacy of pre-contractual remedies and implementation of a damages cap. Respondents were keen to ensure that the impact of suspension on public service delivery would continue to be taken into account in any move away from the 'adequacy of damages' test (which is the aspect of the American Cyanamid assessment that makes it very difficult for suppliers to succeed in maintaining suspensions).
Government Response
251. The Government intends to introduce a new test into legislation as described in the Green Paper.
252. We believe that it would be helpful to all parties to clarify the test for use in a procurement-specific context. We are still working through the potential options but envisage that the new test will be a simple, single limb test which provides for suspensions to be lifted where there are overriding consequences for the various interests concerned. This will include the impact on public service delivery."
"Section 102: Interim remedies
62. Subsection (1) allows the court to make interim orders in relation to any claims and details the types of order that can be made. These include lifting (or modifying) the automatic suspension that prevents a contracting authority from entering into or modifying a contract, but also suspending a contracting authority's decision or action (so that it must proceed as though it had not taken place), suspending progress of a procurement, or, after a contract has been entered into, suspending performance of the contract (or part thereof).
630. Subsection (2) sets out a test that the court must apply when determining whether to make an interim order under subsection (1). This will replace application of the common law test in the 1975 American Cyanamid case and will notably apply to any decision to lift the automatic suspension. The court must consider:
a. the public interest - including both the public interest in ensuring the contract is awarded (or modified) in accordance with the law and avoiding adverse consequences caused by delay in performing the contract in question (e.g. to defence or security interests);
b. the interests of suppliers - which will include the winning bidder and claimant and specifically require consideration of whether damages are an adequate remedy for the claimant;
c. any other issues the court may wish to consider."
"7. The Act introduces a new, procurement-specific test to be applied by the Court when determining whether to make an order for an interim remedy. This test will be used by the Court, for example, when determining whether to lift an automatic suspension on application by the contracting authority …
19. Usually, a supplier's reason for bringing a claim is to challenge the decision to award a contract to another supplier or to challenge the lawfulness of a modification and to secure the contract (or new contract implementing the modification) for itself. Suspending the ability of the contracting authority to enter into the contract or make the modification allows that possibility. Resolving any dispute prior to entering into a new contract or making a modification is generally in the interests of the contracting authority as well, to ensure successful delivery of the goods, services or works and avoid the disruption and cost associated with post-contractual remedies. The automatic suspension, therefore, serves an important purpose, because once a contract is entered into, only post-contractual remedies are available (and the contracting authority may end up paying twice, i.e. paying the supplier under the contract awarded and paying compensation for loss or damage if a supplier successfully challenges an award or modification).
20. However, in some circumstances, delaying entry into the contract or making the modification is problematic, for example, if the contract is to deliver certain defence or health-related services where delay would have unacceptable operational impacts. To allow for such situations, a contracting authority can ask the Court to lift or modify the automatic suspension i.e. bring the suspension to an end or modify it (for example, provide for a shorter standstill period) and allow the contract to be entered into or the modification to be made immediately (or within a shorter period than would otherwise be the case). The Court will apply the test in section 102(2) to consider whether the suspension should be lifted or modified.
…
25. Before making such an order [viz. an order under section 102(1)], the test in section 102(2) requires the Court to consider the merits of the case to ensure that the interests of suppliers, including the claimant, and the supplier to whom the contracting authority has decided to award the contract, are considered alongside the public interest. The Court may also consider any other matter it considers appropriate.
26. Public interest considerations include upholding the principle that the law should be complied with, as well as the implications of delaying the procurement or modification and therefore the goods, services or works the contract or modification is intended to deliver."
This guidance has no statutory authority and cannot be taken to demonstrate the intention of Parliament. However, it is capable of being of some persuasive authority: see Wright v Chief Constable of Cumbria [2006] EWHC 3574 (Admin), [2007] 1 WLR 1407, at [12]-[20].
1) The test requires the court to balance the public interest and the interests of suppliers, including the claimant, along with any other matters the court thinks appropriate.
2) The weight to be afforded to the several factors is a matter for the court in each particular case.
3) However: (i) the adequacy of damages for the claimant, though still a relevant matter, no longer has the significance it had under the American Cyanamid test; (ii) the new test recognises the public interest that, where the lawfulness of a proposed contract award is in dispute, the contract should not be awarded until the dispute has been resolved; (iii) the public interest in lifting the suspension will generally concern the interest in the continuing provision of goods and services rather than merely the contracting authority's judgement as to its preferred provider of the goods and services or the detailed terms on which they will be provided.
4) Accordingly, although there is no statutory presumption and in each case the decision where the balance lies must be decided on the facts, the lifting of the suspension will generally require, on the particular facts of the case, the presence of either a very persuasive countervailing public interest or some overriding matter of private interest.
5) In deciding where the balance lies in a particular case, the court will also be mindful of its power to provide for undertakings or conditions in any order that it makes.
Summary of the Facts
limited
spaces.
"Pass – Bidder has adequate staff to deliver the requirement, they demonstrate sufficient evidence of experience of delivering a requirement of a similar nature to the brief. The bidder has not had a contract cancelled or not renewed for failure to meet requirements. Bidder has provided sufficient information regarding their supply chain.
Fail – Bidder does not have adequate staff to deliver the requirement, they do not demonstrate sufficient evidence of experience of delivering a requirement of a similar nature to the brief. The bidder has had a contract cancelled or not renewed for failure to meet requirements. Bidder has not provided sufficient information regarding their supply chain."
"34. After the technical evaluation was completed, I conducted the commercial evaluation. This stage was based on the percentage income share offered by each bidder. The bidder offering the highest percentage received the full score of 40%, and I awarded other bidders a pro-rata score relative to the highest percentage submitted in line with the commercial scoring methodology.
35. When the final scores were calculated, it was clear that National Parking Control GroupLimited
achieved the highest overall score. They received 40% for the commercial stage and 44% for the technical stage, giving them a total score of 84%."
The Claim
i) The tender notice stated the wrong contracting authority: it identified the contracting authority as Velindre; however, Cardiff & Vale was to be the recipient of the services and so was the contracting authority: section 3(2) of the 2023 Act.
ii) The tender notice wrongly stated the estimated total value of the contract as £100,000 excluding VAT. That figure was actually below the threshold amount to qualify as a public contract under section 3 and Schedule 1 to the 2023 Act. In fact (as the applicants acknowledge) that figure represented the expected income to Cardiff & Vale from the contract, whereas what ought to have been stated was the expected income to the winning bidder. The latter figure would, on the applicants' own evidence, have been at least £10m and maybe in excess of £20m.
iii) The tender notice wrongly failed to state that that the new contract was a "special regime contract", namely a concession contract within the terms of section 8 of the 2023 Act, which provides:
"(1) In this Act, 'concession contract' means a contract for the supply, for pecuniary interest, of works or services to a contracting authority where—
(a) at least part of the consideration for that supply is a right for the supplier to exploit the works or services, and
(b) under the contract the supplier is exposed to a real operating risk.
(2) An 'operating risk' is a risk that the supplier will not be able to recover its costs in connection with the supply and operation of the works or services, where the factors giving rise to that risk—
(a) are reasonably foreseeable at the time of award, and
(b) arise from matters outside the control of the contracting authority and the supplier."
iv) Both the First CAN and the Second CAN also unlawfully stated the wrong contracting authority (Velindre, instead of Cardiff & Vale) and the wrong value of the new contract (in each case £140,000 plus VAT) and failed to state that the new contract was a concession contract.
v) The tender notice identified the following "Technical ability conditions of participation":
"Track Record: Provide case studies or references from comparable contracts within the last 3-5 years.
…
Capacity: Sufficient resources (equipment, technology, staff) to deliver the contract effectively."
These were not included in the Invitation to Tender. Therefore the associated tender documents were not "in accordance with the tender notice" as required by section 21(3) of the 2023 Act. Further, the applicants failed to apply the mandatory condition of participation specified in the tender notice when evaluating the bids.
vi) Properly construed, the invitation to tender and the applicants' internal guidance provided for a two-stage evaluation process for technical bids, by which individual evaluators would first assess each bid separately and make suitable records, without comparing the bids, before then agreeing consensus scores at a moderation meeting. However, the evaluation methodology ultimately employed appears to have been conceived of only after the procurement was already underway, and perhaps after evaluators had already received and read suppliers' bids. There was no independent individual evaluation stage; rather, at the meeting on 1 October 2025 the evaluators (guided by Mr Dadda as moderator) collectively discussed the bids and produced notes that were largely identical.
vii) The applicants treated bidders differently without lawful justification, including by assessing bids with reference to unclear and/or undisclosed criteria. In particular, the invitation to tender contained a mandatory service requirement requiring renewal of road services with a frequency greater than the length of the new contract, resulting (as the applicants acknowledge) in uncertainty as to the extent of renewal which would be required during the contract term. There was further uncertainty in the invitation to tender as to the period during which PCNs were permitted to be issued (whether during certain weekday windows or during every hour of the year); this bore directly on the revenue share that a bidder was able to offer to Cardiff & Vale. Despite those uncertainties, the applicants did not seek to ascertain the relevant assumptions on which bids were made, with the result that they cannot be sure of having compared bids on a like-for-like basis.
viii) The applicants' record-keeping was deficient and unlawful.
ix) The applicants' scoring of the respondent's bid and NPCG's bid was unlawful. The evaluators' notes from the meeting on 1 October 2025, quite apart from being largely verbatim, do not provide a proper basis for the content of the assessment summaries or the scores they set out. Whether by misapplying the scoring criteria in the invitation to tender, applying undisclosed scoring criteria, or treating bidders differently without justification, a significant increase in the respondent's score is warranted, with a reduction to the score of NPCG.
"74. By reason of the breaches of the Defendants' obligations (whether individually or together) the Defendants have caused the Claimant to suffer, or risk suffering, loss or damage. The Defendants were (and are) not permitted to award of the Contract to NPCG under the PA 2023, including by reason of ss.11(1) and/or 50(1) PA 2023 and/or the award of the Contract to NPCG being an unlawful direct award.
75. Without prejudice to the generality of the foregoing, if the Defendants had complied with their legal duties, the Claimant would have been (and/or would be) awarded the Contract; alternatively, it is possible that this would have been the case."
"a. An order setting aside the award of the Contract;
b. A declaration that the Defendants acted unlawfully;
c. A declaration that, if the Defendants had acted lawfully, the Claimant would have been identified as the successful tenderer for the Contract;
d. An order that the Claimant should be awarded the Contract;
e. An order that the evaluation and/or the Procurement should be re-run;
f. Such further relief as may be just and appropriate;
g. Costs."
There is no claim for damages.
limitation
period in section 106 of the 2023 Act, with the possible exceptions of claims arising from alleged breaches of
a) the duty to treat suppliers the same, absent a difference between suppliers justifying differential treatment and
b) the duty to provide a compliant assessment summary to each supplier that submitted an assessed tender.
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point, the applicants dispute the substance of the claim. The Defence runs to 34 pages and, again, I shall not attempt a proper summary. The applicants deny that the tender notice named an incorrect contracting authority and say that, even if it did, the mistake can have caused no possible loss or prejudice to the respondent. They acknowledge that the total value of the contract was misstated. They deny that the contract was a concession contract, on the grounds that the provider was subject to no real operating risk within the meaning of section 8(1) of the 2023 Act. They deny that the applicable Conditions of Participation were ignored, because the tender documents, read as a whole, did not require them all to be satisfied. They deny that there was any unlawfulness in either the evaluation process or the evaluation methodology. They deny that there was lack of clarity regarding, or unequal treatment of bidders in respect of, either the permissible periods for issue of PCNs or, if the tender documentation were read reasonably, the requirement for road maintenance.
The Applications
(a) The public interest
"35. There is a public interest in the award of public contracts being made in a lawful and transparent manner but there is also a public interest in public authorities being able to obtain the benefits which they believe flow from the contract in question (see Draeger at [49]). There will often be differing views as to the extent to which new arrangements are in fact different from those already existing and as to the extent of any benefit flowing from the changes. A mere assertion of benefit by a public body cannot close down consideration of the point but the court must proceed on the basis that the public bodies are better placed than the court to determine whether changes will be beneficial (see Medequip at [109]–[110])."
limited
significance. I accept that the new contract would give Cardiff & Vale a greater level of control in respect of permits and the cancellations of PCNs, though in fact it does have a real level of control even under the existing contract. I accept that revenue-sharing is a material benefit of the new contract. The second reason why the benefits achievable by the lifting of the suspension would be very modest is that the benefits of the new contract can largely be achieved while the suspension remains in place. The respondent has offered to match NPCG's revenue-share while the suspension lasts. It has also offered to provide access to the on-line portal during the period of the suspension. The applicants' position is that these offers have not been accepted because they want to achieve all of the benefits of the new contract and because they do not know how the respondent's portal would operate. They are entitled to take that line, and their assessment of the benefits of the new contract are to be afforded respect. But I am bound to say that I do not find the applicants' case in this respect to be very persuasive, and I agree with Mr Kosmin's submission that the applicants' case on this matter is exaggerated.
Limited
v The Gambling Commission [2026] EWHC 891 (TCC), at [936]-[937].)
(b) The interests of suppliers
"15. Damages, however, are not always what an aggrieved bidder wishes to obtain. This is for at least two reasons. Firstly, it might be difficult for such a bidder to obtain an award for damages, given the requirement for there to have been a sufficiently serious breach by the contracting authority. A sufficiently serious breach is sometimes referred to as the second Francovich condition …
16. The second reason is that an economic operator may indeed want, for a wide variety of commercial considerations, to be the winning bidder, rather than have damages. Some commercial organisations may prefer to conduct the economic operations that are the subject of the procurement rather than be excluded, or lose, with a competitor enjoying the profits of the operation in question. This may be more so in the case of an existing incumbent provider where services are put out to tender, but such considerations may apply in many cases."
limited
extent only. It is correct to say that the respondent may legitimately prefer performance to compensation. This is a matter to be taken into account. However, ultimately the respondent's interests are commercial, which is to say financial. The argument that damages cannot be an adequate remedy because they are not claimed savours of pulling oneself up by one's own bootstraps. The respondent wants the suspension to remain in place. Damages will only become an issue if the suspension is lifted. So far as I can see, there is unlikely to be a good reason why an amendment to include a claim for damages should be refused if it is sought. Damages are a remedy, not a cause of action and (though I did not receive argument on the point) I should think it unlikely that the principles concerning amendments outside the
limitation
period would be relevant; anyway, the remedy would be claimed in respect of the same facts as are already in play. I see no sense in favouring, for the purposes of section 102(2), a claimant that does not include the damages claim at the outset. What matters is the court's assessment of the claimant's genuine interests, not the fortuity or tactics of a pleading.
"The standard question in relation to the grant of an injunction, 'Are damages an adequate remedy?', might perhaps, in the light of the authorities of recent years, be rewritten: 'Is it just, in all the circumstances, that a plaintiff should be confined to his remedy in damages?'"
And in Cavendish Square Holdings EV v Makdessi [2015] UKSC 67, [2016] AC 1172, Lord Neuberger and Lord Sumption, with whose judgment Lord Carnwath agreed, said at [30]:
"[T]he attitude of the courts, reflecting that of the Court of Chancery, is that specific performance of contractual obligations should ordinarily be refused where damages would be an adequate remedy. This is because the minimum condition for an order of specific performance is that the innocent party should have a legitimate interest extending beyond pecuniary compensation for the breach. The paradigm case is the purchase of land or certain chattels such as ships, which the law recognises as unique. Because of their uniqueness the purchaser's interest extends beyond the mere award of damages as a substitute for performance. As Lord Hoffmann put it in addressing a very similar issue 'the purpose of the law of contract is not to punish wrongdoing but to satisfy the expectations of the party entitled to performance': Co-operative Insurance Society Ltd v Argyll Stores (Holdings) Ltd [1998] AC 1, 15."
"28. The courts have considered sundry circumstances in which it has been said that damages would not be an adequate remedy for a claimant and where it has been said that it would not be just to confine the claimant to a damages remedy. That issue is to be addressed by reference to the circumstances of the particular case and there is no general rule that damages either always will be or will never be an adequate remedy in a particular category of case.
29. There will be cases where the difficulties in the calculation of the damages are such that the court cannot be confident that it will be able to quantify the claimant's loss properly and fairly. In such cases the prospect that the court will not be able properly to reflect the claimant's loss in a damages award can mean that it is unjust to confine the claimant to its damages remedy. This can be the position where the court would have to take account not only of the lost chance of a tenderer being successful in a fair tender process but also the lost chance of it then being called upon to perform services under a framework contract (see Lettings International Ltd v London Borough of Newham [2007] EWCA Civ 1522 at [33] – [35]). It can also be the position where the allegation is that the tenders were evaluated by reference to undisclosed criteria (see Morrison Facilities Services Ltd v Norwich City Council [2010] EWHC 487 (Ch), at [31] – [34) and NATS (Services) Ltd v Gatwick Airport Ltd [2014] EWHC 3133 (TCC), [2015] PTSR 566 at [80] – [83]). Another example is that of a case where it is said that a tenderer was materially misled and where it would be necessary to analyse whether different responses in communications would have made a difference to the bid (see Covanta Energy Ltd v Merseyside Waste Disposal Authority (No 2) [2013] EWHC 2922 (TCC) at [53]).
30. Care is needed before the court can conclude that difficulties in the evaluation exercise mean that damages will not be an adequate remedy (see Openview Security Solutions Ltd v London Borough of Merton [2015] EWHC 2694 (TCC) at [28] – [32] and Medequip Assertive Technology Ltd v Royal Borough of Kensington and Chelsea [2022] EWHC 3293 (TCC) at [41] – [43]). It is to be remembered that the courts are well-used to determining damages by assessing the value of a lost chance and to doing so on the basis of incomplete information. It is relevant to note the high level of difficulty which has to be shown before the court will accept that damages will not be an adequate remedy. In Morrison Facilities and Covanta the court was concerned with circumstances in which the fair and proper assessment of the damages would have been 'virtually impossible'. In Lettings International the court accepted that the proper quantification of the damages would be 'very problematical'. In NATS Services Ltd there would have been 'great difficulty in estimating the damages'."
(On the facts before him, Eyre J found that potential difficulties in the calculation of damages meant that he could not be satisfied that damages would be an adequate remedy in that case.) Mr Kosmin submitted that in the present case the difficulties of calculation of damages were acute. He pointed to the detailed allegations made in the particulars of claim and the problems to which they would give rise if damages were to be awarded. Among these were the following: that the specification was unclear and meant that bidders did not necessarily share common assumptions; that the conditions of participation had not been properly applied; that the successful bidder had priced the contract too low and had not demonstrated its ability to perform the contract; that, accordingly, the winning bid might have been disregarded if the applicants had applied proper criteria and evaluation; that other suppliers might have bid if the tender notice and associated documents had not contained material errors, in particular regarding the contract value; that there was only minimal record-keeping on the part of the applicants; that one claimed benefit of the new contract was the increased ability of Cardiff & Vale to cancel PCNs, rendering revenue more uncertain; and that this anyway was a concession contract of uncertain income.
Limited
v Velindre University NHS Trust [2026] EWHC 8 (TCC), Jefford J said at [50]-[51]:
"50. MAK's argument [that damages will not be an adequate remedy] is principally that it will suffer reputational damage which cannot be adequately remedied in damages. It is well-established that the claimant must provide cogent or compelling evidence that it will suffer significant financial losses that are not recoverable or not adequately compensated in damages – see Bombardier Transportation UK Ltd v London Underground Ltd [2018] EWHC 2926 (TCC) at [58], Openview Security Solutions Ltd v London Borough of Merton [2015] EWHC 2694 (TCC) at [39]; and Camelot at [98].
51. The principles were further summarised by this court in One Medicare v NHS Northamptonshire ICB [2025] EWHC 63 (TCC) at [45]-[48]:
(i) The threshold for establishing that a company will suffer reputational damage as a result of no more than an unsuccessful bid is a high one.
(ii) For a commercial body, loss of reputation as such is unlikely to mean that damages are not an adequate remedy unless the court can conclude that it will lead to financial loss that is irrecoverable. That is because the relevance of reputation to a commercial body is in its contribution to the success of the business.
(iii) The fact that a bidder, even if an incumbent provider, is not successful does not in and of itself tarnish that company's reputation. If, in due course, the court concludes that the company ought to have been awarded the contract, that judgment establishes the rightness of its position.
(iv) It is only in respect of contracts of particular prestige that such an irremediable loss may be regarded by the court as likely to be suffered."
(c) Any other relevant matters
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arguments. However, I cannot now determine whether it is determinative of any part of the claim. And I am not in a position to say whether the claim as a whole has substantive merit.
Limited
documentation in respect of the existing contract will be relevant, at least unless a claim for damages is introduced. The applicants have said that they might seek an order for the trial of preliminary
limitation
issues. Any such application will have to be considered on its own merits. It is possible that a preliminary determination of
limitation
issues will
limit
the scope of relevant disclosure, but it is not clear to me that it ought to delay the main part of the disclosure exercise, if that is dealt with pragmatically. The same goes, I think, for any possible application for summary judgment on parts of the claim on
limitation
grounds. My present view is that the respondent's suggestion that a judgment could be obtained by the end of October is optimistic but that the end of the year ought to be achievable. Mr Knibbe points to the possibility of an appeal against the judgment. Of course, that possibility is ever present. But I do not think it can weigh very heavily; otherwise the suspension would become something of a dead letter, as such points can always be raised. The important consideration, in my view, is that this is not a case in which vital interests (such as defence or security) are engaged or in which the continued supply of public services is under threat.
Limited directly sustain as a consequence of the maintenance of the suspension and which the court considers that the claimant ought to pay."
Conclusion as to the applications