Thames Water has signed a £22m seven-year IT outsourcing contract with LogicaCMG to run its billing and income services operation for its Welsh Water business.
LogicaCMG will deliver IT services to Welsh Water from its new outsourcing centre in Waterton near Bridgend in south Wales.
The Welsh Water contract covers the delivery of applications management, development and support, mainframe and server hosting, and data and voice network management services, including support for the call centre infrastructure.
As part of the deal, LogicaCMG will implement cost reduction strategies across the business to help reduce the total cost of ownership to Thames Water.
The first priority will be server consolidation and renewal throughout 2005, with the number of servers expected to halve.
Julia Cherrett, Thames Water customer operations director, said, “We have built an excellent working relationship with the LogicaCMG team, and together we will deliver Welsh Water’s needs.”
Welsh Water supplies water and sewerage services to 1.2 million households in Wales and some adjoining parts of England.
The win supports LogicaCMG’s ongoing investment strategy in Wales. Thames Water will join other customers already being serviced from the outsourcer’s new Waterton offices, including Britannia Airways, telecoms regulator Ofcom and the British Council.