Contract

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

  • H M Revenue & Customs

F03: Contract award notice

Notice identifier: 2022/S 000-029949

Procurement identifier (OCID): ocds-h6vhtk-037868

Published 24 October 2022, 4:02pm



Section one: Contracting authority

one.1) Name and addresses

H M Revenue & Customs

Customs House Annexe,20 Lower Thames Street

LONDON

EC3R6EE

Contact

Daniel Gauntlett

Email

danny.gauntlett@hmrc.gov.uk

Telephone

+44 3000573933

Country

United Kingdom

Region code

UKI31 - Camden and City of London

Justification for not providing organisation identifier

Not on any register

Internet address(es)

Main address

https://www.gov.uk/government/organisations/hm-revenue-customs

one.4) Type of the contracting authority

National or federal Agency/Office

one.5) Main activity

Economic and financial affairs


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

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

two.1.2) Main CPV code

  • 72200000 - Software programming and consultancy services

two.1.3) Type of contract

Services

two.1.4) Short 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.

two.1.6) Information about lots

This contract is divided into lots: No

two.1.7) Total value of the procurement (excluding VAT)

Value excluding VAT: £50,000,000

two.2) Description

two.2.3) Place of performance

NUTS codes
  • UKG - West Midlands (England)

two.2.4) Description of the procurement

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

two.2.5) Award criteria

Price

two.2.11) Information about options

Options: Yes

Description of options

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.


Section four. Procedure

four.1) Description

four.1.1) Type of procedure

Award of a contract without prior publication of a call for competition in the cases listed below

  • The procurement falls outside the scope of application of the regulations

Explanation:

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.

four.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: No


Section five. Award of contract

A contract/lot is awarded: Yes

five.2) Award of contract

five.2.1) Date of conclusion of the contract

30 September 2022

five.2.2) Information about tenders

Number of tenders received: 1

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor

Capgemini UK Ltd

Woking

GU21 6DB

Email

danny.gauntlett@hmrc.gov.uk

Telephone

+44 7920781921

Country

United Kingdom

NUTS code
  • UK - United Kingdom
Companies House

943935

The contractor is an SME

No

five.2.4) Information on value of contract/lot (excluding VAT)

Initial estimated total value of the contract/lot: £50,000,000

Total value of the contract/lot: £50,000,000


Section six. Complementary information

six.4) Procedures for review

six.4.1) Review body

Cabinet Office

London

Country

United Kingdom