Covid-19 Coronavirus

New arrangements for hospital’s retail outlets will see better return for taxpayer

Tuesday, 16 August 2016

The retail space in the main foyer of Noble’s Hospital is to be operated by the Department of Health and Social Care from Monday 7 November 2016.

Expressions of interest were invited from organisations to operate the two retail units – currently a newsagents and gift shop – however none of the applications met the Department’s minimum reserve rental price.

As a result, the Department of Health and Social Care has determined that it is able to achieve a greater return by operating the retail space itself, delivering better value for the taxpayer.

Minister for Health and Social Care, Howard Quayle, said:

'Clearly, the Department is not in the business of retail and our preference would be for a private business to operate these units. As anyone who has visited Noble’s Hospital will be aware, the shop is a vital facility valued by patients, visitors and staff alike. It has high footfall and with that the ability to generate a significant income. This makes running the retail units a very lucrative opportunity and so we must ensure that the return the Department receives from renting out this space represents good value for the taxpayer.

'The bids received through the tender process were, unfortunately, found wanting. The failure to achieve the reserve rental price, which the Department felt was fair given the income potential, means that the Department will run the facilities itself to secure the service and ensure value for money.'

The Department envisages that it will need to recruit a small number of additional staff to run the outlets. Applications from any of the existing shop employees, who are unable to secure an alternative role with the current operator, would be welcomed.

The current operator of the two units is Wessex Retail Ltd.

Issued By

Back to top