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UK Government Plans £600m Debt Collection Framework

In this episode of Debt Matters, we break down a public-sector pipeline notice that debt collection and credit control professionals should have on their radar: Crown Commercial Service (CCS) has signalled a new “Managed Debt Collection Services” framework.

This is not the tender launch yet. A pipeline notice is an early market signal that a procurement is being planned, giving suppliers and stakeholders time to prepare. CCS estimates the framework value at £500,000,000 excluding VAT (or £600,000,000 including VAT). The indicative contract term is 9 December 2026 to 8 December 2030, with an estimated tender notice date of 10 June 2026.

What makes this notice especially interesting is the breadth of services CCS expects to include. It’s not just “place accounts with an agency.” The scope points to an end-to-end operating model that combines prevention, managed services, analytics, data, and customer support. CCS lists key core services such as:

• Debt prevention services • Managed debt collection services (including managing multiple collection agencies) • Debt collection agency services (including international collections) • Debt analytics (including open banking and complementary data and analytics) • Data aggregation and analysis services • Debt analytics solutions software and integration • Debt advice and guidance services

So what could that mean for the industry and for public-sector creditors?

1. Prevention moves up the agenda When “debt prevention” appears right at the top, it signals a stronger focus on stopping arrears from building in the first place. Expect more emphasis on early interventions, clearer communications, better payment journey design, and stronger affordability-aware approaches.
2. Managed services and orchestration become a differentiator The mention of “managing multiple collection agencies” suggests CCS is thinking about centralised oversight, consistent governance, and standardised performance management. In practice, that may raise the bar for reporting, auditability, complaint handling, and treatment strategy controls across the supply chain.
3. Data, open banking, and analytics are now core The explicit reference to open banking and “complementary data” shows where the market is heading: smarter segmentation, better decisioning, faster resolution, and more evidence-led treatment strategies. This also raises important questions around consent, transparency, data protection, model governance, and how outcomes are measured beyond simple collections volume.
4. International collections are on the table International capability can be complex (jurisdictions, tracing, local practices), so it’s notable to see it named in scope. That may matter for public bodies dealing with debtors who have moved abroad or where assets and income are cross-border.

CCS notes that the final scope and lot structure will be shaped through market and customer engagement. That means the biggest unknowns are still ahead: how lots will be structured (by service type, customer group, value bands, or tech vs operations), what KPIs will dominate (cash collected, time to resolve, cost-to-collect, vulnerability outcomes, complaint rates, prevention measures), and how strongly integrated technology and data requirements will be enforced.

Bottom line: this notice suggests public-sector debt management is being procured as an integrated system, not a single step at the back end of arrears. For suppliers, it’s a signal to prepare capability across operations, analytics, and integration.

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