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Mitie secures £130m five-year FM contract

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Mitie has secured a five-year facilities management (FM) contract with His Majesty’s Revenue and Customs (HMRC), worth £130 million.  

Credit: Mitie Group.

Mitie will deliver planned and reactive engineering, waste management, carbon reduction, landscaping, cleaning, and catering services across 28 HMRC sites up and down the East of the country.  

This includes its regional hubs in London Stratford, Edinburgh, Leeds, Nottingham, and Croydon, as well as other locations across the East of England and Scotland. 

HMRC’s FM services were previously delivered by five suppliers, with this being the first time it has allocated the contract to two suppliers covering the East and West regions respectively. 

The five-year contract, which includes asset maintenance and project works, comes with the option of extending for up to a further five years. 

It builds on Mitie’s existing relationship with HMRC, having delivered specialist security services across its entire estate since 2019. 

“Building on our existing partnership, we are proud to expand our services to help create more efficient, sustainable, and future-ready workplaces for HMRC’s teams across the UK,” said Jason Towse, managing director, business services, Mitie.  

“From engineering and cleaning to carbon reduction initiatives, we look forward to delivering expert solutions that ensure HMRC’s sites are operating at their best, allowing its people to focus on serving the British public.” 

Mitie recently delivered a strong financial performance as it implements its new three-year strategic plan. 

Its investment in technology, sales & marketing, and project capabilities aims to strengthen its market position and increase its pipeline. 

Revenue for the six months to 30 September 2024 rose 14 per cent to £2.4 billion (H1 FY24: £2.1 billion), generating a pre-tax profit of £94.5 million (H1 FY24: 84.3 million). 

The firm reported 8 per cent organic growth was driven by new contract wins, scope increases and pricing, and 6 per cent contribution from acquisitions. 

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