Government Security Contracts for Security Companies

Public sector security is a large and consistent market. Councils, NHS trusts, universities and government buildings all need manned guarding, CCTV monitoring and access control services.

What does the work involve?

Government security contracts cover manned guarding, CCTV monitoring and installation, access control, key holding and alarm response, and body worn camera services. Work is available through open tenders and through dedicated security frameworks run by CCS and ESPO.

Can a small business win security contracts?

Security divides into two quite different markets, and it is worth being clear which one you are bidding into. Manned guarding is people-intensive, heavily affected by TUPE and wage rates, and priced tightly. Electronic security — CCTV, access control, intruder alarms — is project-based, more technical and generally carries better margins.

For manned guarding, the economics are dominated by staff costs. An increasing number of public buyers specify the Real Living Wage as a contract condition, and some require enhanced rates for night and weekend cover. Because almost all of your cost is wages, small differences in the assumptions you make about rostering, absence cover and holiday accrual determine whether the contract is profitable.

In electronic security, certification is the main gatekeeper. NSI Gold or SSAIB approval is treated by buyers as the baseline quality signal, and many tenders make one of them a mandatory requirement rather than a preference. Achieving certification takes months, so it needs to be started well before you see a contract you want.

University and NHS contracts are often the most accessible entry points. Both procure independently in large numbers, both have continuous security requirements, and both frequently let contracts at values below the level that attracts the national providers.

Who buys these services?

Accreditations that help you win

Typical contract value

£25,000 to £1M+

How to get started in security contracts

  1. Confirm all operatives hold valid SIA licences A legal requirement, not merely a contract condition. Licences must be current and cover the correct activity for the role.
  2. Work towards NSI Gold or SSAIB Frequently mandatory for electronic security work and a strong quality signal for guarding. Start early — certification takes months, not weeks.
  3. Price TUPE realistically Guarding contracts almost always transfer incumbent staff. Get the employee liability information and price on those actual wages, not your standard rates.
  4. Check the Real Living Wage position before quoting Many public buyers now mandate it. Since wages are most of your cost, discovering this after you have priced is a serious problem.
  5. Target universities and NHS trusts first They procure independently and in volume, often at values below what attracts the national security firms.

Tips for winning security contracts

Frequently asked questions

Do all security staff need an SIA licence for public sector contracts?

Yes. SIA licensing is a legal requirement for manned guarding, door supervision and CCTV operation in the UK, not simply a contract condition. Licences must be current and cover the correct activity for the role being performed.

What is NSI Gold and do I need it?

NSI Gold is a certification covering both quality management and security-specific standards. Along with SSAIB it is the accreditation public buyers most commonly recognise, and for electronic security contracts it is frequently mandatory rather than desirable. Certification typically takes several months.

How does TUPE affect security contracts?

Where there is an incumbent provider, their security officers normally transfer to you on their existing terms including pay, service length and holiday entitlement. You must obtain the employee liability information and price the contract using those inherited costs rather than your own standard rates.

Do public sector security contracts require the Real Living Wage?

Many do. A growing number of councils, universities and NHS trusts specify the Real Living Wage as a contract condition, sometimes with enhancements for unsocial hours. Because wages dominate the cost base of a guarding contract, always confirm the position before pricing.

Is CCTV and access control work easier to win than manned guarding?

It is generally less price-driven and carries better margins, because it is evaluated more on technical capability and certification than on hourly rates. The barrier is certification — NSI or SSAIB approval is usually required — rather than scale.

What size security contracts should a small firm target?

Single-site guarding contracts and electronic security installation projects between roughly £25,000 and £250,000 are the realistic entry point. University and NHS sites are good hunting grounds because they procure independently and often below the threshold that attracts national providers.