Compass Group retains contract with Leeds NHS trust

Compass Group has retained its deal to cater at Leeds NHS trust in a contract worth and estimated £10 to £15m over the full term, Caterersearch has learnt.

The seven-year contract, which starts on 1 October, will see Compass's Medirest arm providing on-site catering to staff and visitors as well as retail trade services at Leeds General Infirmary.

The hospital has 5,000 employees on site and 1,500 beds and is the location for trauma services for the city.

In March, Medirest lost a £100m total turnover deal to provide a range of services in west London at Hammersmith, Queen Charlotte & Chelsea and Charing Cross hospitals to ISS Mediclean.

In a trading statement today Compass said the positive momentum of the first nine-months had been maintained with turnover growth, excluding acquisitions, above 5% so far with a further improvement in operating margin.

While trading in North America and the rest of the world was strong with turnover up 7% and 9% respectively, the UK's performance remained broadly flat and the caterer reiterated its commitment to simplifying the business to reposition it for future growth.

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By Chris Druce

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