Provision of 'Securing our Technical Future' ("SOTF") project services

Official notice

Authority: H M REVENUE & CUSTOMS

ServicesAward procedure without prior publication of a call for competition

Sectors: IT Services & Software (72) Delivery: West Midlands (UKG)

Awarded value£50,000,000published contract · exc. VAT

Awarded 30 Sept 2022no call for competition

Awarded to Capgemini

What is being bought

Published requirement description

The Authority is responsible for the UK's tax administration and ensures that tax revenue is available to fund the UK's public services. The Authority wishes to procure a supplier of services for the provision of SOTF projects. The Supplier is a leading provider of consulting, technology, outsourcing and related services, already providing such SOTF services, and is suitably qualified and experienced to continue to provide SOTF project services.

CPV: Software programming and consultancy services

The lotProcurement structure

single lot · no lot value published

Lot #1The continued provision of consulting, technology, outsourcing and related services…Awarded

The continued provision of consulting, technology, outsourcing and related services for HMRC's SOTF programme.

Delivery: West Midlands

Extensions: Extension of initial term by 12 months by giving to the Supplier not less than 12 months' written notice before the end of the Initial Term.

Procedure terms & legal framework

From the official record

Procedure method: Award procedure without prior publication of a call for competition
Legal basis: CELEX · 32014L0024 Public Contracts Regulations 2015 (Directive 2014/24/EU)
Procurement category: Services
Notice status: Awarded without competition
Procurement threshold: Unspecified in notice
Regulatory regime: Standard
Commercial structure: Stand-alone contract (no framework)
Competition type: Direct award (no call for competition)
GPA / WTO covered: Unspecified in notice
Recurring procurement: Unspecified in notice
First published: 24 Oct 2022, 16:02 BST
Last source update: 24 Oct 2022, 16:02 BST
FTS notice number: 2022/S 000-029949
Classification (CPV): Software programming and consultancy services
Delivery area: West Midlands (UKG)
Official registry OCID: ocds-h6vhtk-037868 Find a Tender

Why no open competition: The procurement falls outside the scope of application of the directive
Published justification: HMRC is in the process of migrating and replacing certain existing applications from existing data centres. This contract procures project services required for the migration and replacement of those applications.
Regulation 32(2)(b)(ii) of the Public Contracts Regulations 2015 ("PCR") provides that a contracting authority may award a public contract without prior publication of a Contract Notice where the services can only be supplied by a particular economic operator because competition is absent for technical reasons.
A different contractor cannot provide these services because only the Contractor has the knowledge of, and source code and configurations for, the applications that are to be migrated in their current form. The Contractor also holds a significant amount of knowledge about how the entire HMRC digital estate operates and interoperates. This knowledge is required to properly conduct the migration approach considering its impact on different HMRC Services, several of which are classed as Critical National Infrastructure and/or fall within the remit of Secure Customer Records. In addition, a number of the services rely on technology that is decades old, and only the Contractor has the skills that can cover the breadth of this technology.
Even if it were technically possible to have a new contractor provide some of the services under this contract, the cost and time involved in learning the breadth of the HMRC digital estate required for all of the services would be wholly uneconomic and disproportionate. The migration is anticipated to occur within the next two years. Undertaking the required knowledge transfer would take approximately 12 months, meaning that the migration services started by other HMRC contractors would be delayed and incur significant wasted expenditure.

Commercial outcome & contract awards

Published awards, contracts and bid statistics, not a forecast

Awards 1

Awarded value £50,000,0001 contract exc. VAT

Bids received 1

Contracts signed 1latest 30 Sept 2022

Awarded to	Value	Date	Status
Capgemini	£50,000,000 †	—	Awarded

Contracts

Contract 029949-2022-1 · Capgemini
Signed
30 Sept 2022
Value
£50,000,000
Status
active

Bid statistics published by the authority

Bids	SME	VCSE	Valid bid range
1bids	—	—	—

Contracting authority & participating public bodies

H M Revenue & Customs

Contracting authorityNational or federal agency/officeEconomic affairs Customs House Annexe,20 Lower Thames Street, LONDON, London, EC3R6EEContact name, email, phone

Dispute resolution & review bodies

Cabinet OfficeReview body London

Bidders & participating suppliers

1 commercial party on the notice

Capgemini UK LtdAwarded supplierGB-COH: 943935 Woking, UK, GU21 6DBContact email, phone

Official documents & specifications

Official links; attachments are not copied

No document links were published on the notice.