Frameworks vs DPS: Choosing the Right Option for Homecare

Break down the key differences and strategic approaches.

Welcome to another essential guide in the Bid to Win: Homecare Edition series, proudly brought to you by Big Sister — your trusted partner in navigating the complex world of public sector procurement in UK health and social care.

If you’re a homecare provider looking to grow through local authority or NHS contracts, you’ve likely come across the terms Framework Agreements and Dynamic Purchasing Systems (DPS). Understanding the differences between these two procurement routes — and how to approach them strategically — is key to bidding smarter and winning more.

Let’s break it down.

What Are Framework Agreements?

A Framework Agreement is a pre-set list of approved suppliers that a council or NHS body uses over a period of time (typically 2 to 4 years). Once you’re on the framework, you’re eligible to receive mini-competitions or direct awards for specific contracts.

Key Characteristics:

Fixed supplier list for the framework duration
Closed to new providers once awarded
Often includes ranked or tiered supplier positions
May involve direct awards or mini-competitions

Pros:

Predictability of being on a “preferred supplier” list
Higher likelihood of contract opportunities
Greater alignment with long-term commissioning plans

Cons:

Highly competitive upfront tender process
If you miss the window, you may have to wait years
Performance expectations are high and closely monitored

What Is a Dynamic Purchasing System (DPS)?

A DPS is a more flexible, open-ended system where care providers can apply to join at any time. It is fully electronic and used for commonly procured services like domiciliary care.

Key Characteristics:

Nearly always open to new applicants
Most qualifying providers are accepted (assuming they meet standards and quality assurance needs)
Used to issue ongoing call-offs or mini-competitions
Often segmented by geography or specialism

Pros:

Easier entry and more inclusive
Opportunity to join when you’re ready
Good for newer or smaller providers

Cons:

Large number of approved providers means stiffer competition
Not guaranteed any work — all opportunities are competed
Requires ongoing monitoring and responsiveness

Strategic Considerations for Homecare Providers

Now that you understand the basics, how do you decide which is right for your business — or how to approach both effectively?

Assess Your Capacity and Readiness

Frameworks require a high-quality, comprehensive bid upfront. Are your policies, procedures, case studies, and KPIs strong?
DPS systems are more accessible but need ongoing attention to grab opportunities. Do you have the admin capacity to monitor portals and submit call-off bids regularly?

Define Your Growth Goals

Want to secure long-term block contracts or higher-volume work? A framework might offer more stability.
Want to test new geographies or gradually scale up? DPS allows you to build incrementally.

Align With Local Commissioning Strategies

Read published commissioning intentions, market position statements, and previous tender outcomes.
Some regions favour frameworks for large-scale commissioning; others rely more on DPS for flexibility.

Consider Hybrid Participation

Many successful homecare companies do both.

Join frameworks in core regions where you already have infrastructure
Use DPS to test expansion in adjacent boroughs

This allows you to balance stability and growth, while diversifying your income streams.

Real-Life Example: Dual Track Success

A London-based homecare provider we supported in early 2025 adopted a dual-track strategy:

Frameworks: They secured positions on two major borough frameworks, enabling direct awards for complex packages.
DPS: Simultaneously, they joined four DPS systems across Greater London, winning multiple call-offs and growing in areas previously out of reach.

Outcome? Their contract portfolio doubled in 18 months, and they were able to reinvest in quality improvements and digital tools.

Common Mistakes to Avoid

Waiting too long to prepare: Framework deadlines are infrequent. Don’t miss your window.
Neglecting your DPS profile: Even though entry is easier, success depends on how well you respond to call-offs.
Using generic responses: Each call-off, even under DPS, requires tailored, high-quality submissions.