Cordia holds on to multimillion-pound deal with Glasgow Caledonian University

Encore Hospitality Services has been reappointed as caterer at Glasgow Caledonian University (GCU) in a deal estimated to be worth £21m.

The four-year contract, with a three-year option, sees the external catering division of Cordia - the arms-length company set up by Glasgow City Council to run its frontline services - provide all catering and hospitality services at the university.

The 1,800 staff and 16,000 students from over 100 countries will have six outlets from which to choose.

Encore won the new contract following a competitive tender and as a result the employment of 73 staff has been protected. It had held the GCU contract for the past 10 years, eight of these while still part of Glasgow City Council's Direct & Care Services department.

David Melvin, who recently took over as Cordia's managing director from his previous post as operations director, said: "Make no mistake about it: this is a significant contract on a UK scale that was firmly on the radar of the biggest catering companies in the business.

"These companies brought their considerable resources to bear in a bid to take this work, and it is an outstanding achievement to have won it against such competition."

Therese Fraser, GCU's head of campus services, added: "Cordia have recognised the importance of our international offering while complementing the existing services. Their commitment to the university's environmental agenda is to be commended."

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By Janie Stamford

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