The roads agency, which operates as a company owned by the Department for Transport, has awarded two contracts of up to eight years in length for ERP and asset-management tools
National Highways has spent almost £40m on two long-term deals with Oracle.
Both of the engagements came into effect on 13 November and, according to newly published commercial documents, could run until 2032.
The larger of the two contracts covers the provision of the “proprietary enterprise resource planning software” of Oracle. This deal is valued at almost £28.2m, according to the contract notice.
Alongside this engagement, National Highways has also signed on for an eight-year term to access the tech giant’s “work and asset cloud services module… [which] connects to Oracle’s [ERP] software”.
This deal is expected to be worth more than £10.7m.
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Known as Highways England until 2021, National Highways manages and maintains the national network of motorways and major A roads. The organisation operates as a government-owned company, and is an arm’s-length body under the oversight of the Department for Transport.
Oracle’s twin contracts with the government roads body caps a busy year in Whitehall for the software vendor. Most significantly, the firm – alongside IBM – was picked to fulfil a 10-year contract as the core shared-services software partner for four of government’s largest departments: the Home Office; Ministry of Justice; Department for Environment, Food and Rural Affairs; and lead buyer the Department for Work and Pensions.
IBM and Oracle will receive a cumulative total of up to £850m via the engagement.
Several months before the shared-services award, the MoJ and the Ministry of Defence signed deals for Oracle software and services worth a collective £100m. While, earlier in the year, the DWP consolidated eight support engagements with the vendor into a single £50m agreement.
