Procurement

Future Debt Solution

  • Department for Work & Pensions

Procurement identifier (OCID): ocds-h6vhtk-051b05

Description

The Department for Work and Pensions (DWP) ("the Authority") has an obligation to protect public funds and to ensure wherever possible, overpayment and penalty debt is recovered subject to legislative limitations and safeguards. It is Government policy to recover all debt where it is reasonable and cost effective to do so without causing undue financial hardship to debtors.

The DWP is undertaking a competitive flexible procedure to appoint a supplier to provide a commercial off the shelf (COTS) software as a service (SaaS) debt management system to meet DWP requirements and manage the recovery of debt and other monies owed to the Government, allowing the DWP to recover over £2billion of debt annually. The contract will include the design, configuration, testing, support to migration from the existing platform and post go live support.

The duration of the contract will be up to 8 years (Initial Term) with the option to extend the Initial Term by one or more extension periods provided that the aggregate of any such extensions is no greater than 36 months.

The estimated value of the contract over the Initial Term of the contract (8 years) is up to £47,000,000.00 (excluding VAT). This figure has been calculated from past and forecasted spend and shall not be taken by Suppliers as a commitment or a forecast of likely revenue.

The estimated total contract value (inclusive of any options) is up to £79,800,000.00 million (excluding VAT). This value has been calculated based on indicative volumes provided within the specification and any future initiatives and optional services. The total published contract value as published in this Tender Notice (UK4) is an indication to the market of the maximum amount which could be spent through this contract and shall not be taken by Suppliers as a commitment or a forecast of likely revenue.

The supplier will support the implementation of the SaaS system and provide support for any future upgrades and modifications in-life.

The scope of the SaaS includes:

• Software as a Service (SaaS) debt management solution to meet DWP functional and non-functional requirements

• User friendly modern debt collection and management capabilities

• Flexible and business user configurable

• Hosted in the UK with 99.9% availability

• Scalable to meet projected growth in accounts and users

• Innovative future roadmap

• Implementation of a SaaS debt management solution

• Design and configuration

• Integration to DWP architecture

• Migration of data from current solution

• Testing and assurance

• Training and knowledge transfer

• Supplier project management

• BAU support for a SaaS debt management solution

• Service desk

• System maintenance

• Performance monitoring

• Change management support

The geographical scope of the Future Debt Solution will be for Great Britain and Northern Ireland.

Notices

UK4: Tender notice

Notice identifier
2026/S 000-000698
Published
6 January 2026, 2:11pm

UK3: Planned procurement notice

Notice identifier
2025/S 000-080710
Published
8 December 2025, 3:27pm
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UK2: Preliminary market engagement notice

Notice identifier
2025/S 000-029508
Published
3 June 2025, 1:45pm
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UK2: Preliminary market engagement notice

Notice identifier
2025/S 000-023986
Published
21 May 2025, 2:26pm