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The NHS has settled a £4.4bn procurement challenge out of court, HSJ has revealed.

Logistics company Wincanton has agreed to a confidential settlement ending the legal claim it brought against NHS Supply Chain after the agency decided not to include the company on a shortlist of two firms competing to run its logistics and warehouse services.

NHSSC had already admitted the decision to not include Wincanton on the shortlist was unlawful and had offered the firm the opportunity to rejoin the procurement. However, Wincanton rejected this offer and said that it would continue with its claim for damages.

The Wincanton claim was one of four brought against NHSSC over the procurement of this contract. It is the first to be concluded. A second company, incumbent supplier Unipart, also brought a claim when it too was excluded from the shortlist.

Last year, NHSSC announced its intention to award the contract to GXO. This prompted a third legal claim from DHL, the other unsuccessful bidder on the shortlist, and a second claim by Unipart.

Date: 7 August

Posted in News on Aug 07, 2025

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