The central health service body has retained IT reseller Softcat, with which it has worked since 2019, to provide ongoing hosting services to ensure that critical national platforms remain supported
NHS England has spent about £20m on a short-term contract for cloud hosting provision to ensure continuity for core services while a procurement process for a new agreement is conducted.
The central health-service organisation has retained IT reseller Softcat for an eight-month deal for “cloud consolidation services”. The engagement, which was awarded on 28 May, came into effect on 1 June and runs until 31 January 2025, according to a newly published contract award notice.
Softcat has provided centralised “public cloud cost management services” for the NHS since June 2019. That deal was signed for an initial two-year term, at a value of £20m. Extensions taking the agreement up until May 2023 took spending via that contract to £49.9m, according to procurement records.
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A spending estimate for the fifth year of the contract is not available on government’s online contract database, but the latest eight-month follow-on agreement is valued at £19.9m – suggesting an increase in the health service’s usage of cloud services compared with previous years. Total spending on cloud hosting since the initial deal was signed is likely to be in excess of £80m.
The award notice adds that the latest contract is intended as a stopgap measure to ensure continuity for core services while the NHS presses on with a procedure to award a replacement deal.
“An interim eight-month contract from end-May 2024 to end-January 2025 is proposed, for existing cloud-hosting services – with [a] right to cancel – to provide business-critical services continuity during the period of the cloud re-procurement process,” the notice adds. “Softcat operates the managed-service by which 75% of the cloud platforms services depended upon by NHS England systems, is provided. The managed-service also gives access to cost optimisation, usage, reporting portals by which NHSE optimises its use of the cloud services. This interim contract is to avoid loss of continuity of the cloud hosting services, disruption to which would halt operationally critical NHSE systems.”
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