Capita has been awarded a contract extension to offer providers together with IT to Barnet Council, because the native authority strikes providers again in-house.
The deal to ship again workplace providers akin to HR and finance, in addition to ship IT, might be price as much as £57m.
In July, the London Borough Council introduced it was ending its outsourcing contract with Capita, initially signed in 2013, in 2026. This adopted members of the council’s coverage and sources committee voting in favour of ending the contract.
It was initially referred to as the One Barnet programme, and was seen as a flagship for councils for the longer term. Nevertheless, over time, there have been considerations over the standard of supply of the contract. Labour, which now controls the council, pledged in its manifesto to carry privatised providers again in-house.
A part of the plan to transition again to in-house providers included extending some contracts with Capita.
On the time the contract ending was introduced, Barry Rawlings, present chief of Barnet Council, stated HR and finance shall be prolonged for simply 12 months. “Nevertheless, IT, buyer providers and revenues and advantages are extra difficult to carry again immediately, and doing so would value council taxpayers £2.6m annually, which might end in redundancies and cuts to providers,” he added.
Capita will proceed to offer HR and accounts payable providers to the top of August 2024. It would additionally proceed to ship IT, buyer providers and income, and advantages providers for a further two and a half years. In the meantime, some providers not lined by these extensions shall be returned to be run by the council from September 2023.
Capita stated it would work with the council to modernise its IT infrastructure.
“The extension of our contract with Barnet Council displays the energy of our long-term relationship with the council,” stated Al Murray, CEO for Capita Public Service. ”It additionally highlights our give attention to creating higher outcomes by way of the supply of important providers for the area people.
“From subsequent September onward, we’ll help the council by investing in and enhancing its digital capabilities,” he added. “We will even be offering secure and steady supply of providers that residents and companies work together with every single day.”