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Logicalis backs Tories over £100m IT contract cap

Antony Savvas

IT services firm Logicalis has said it supports the Tories' call for a £100m cap on government IT contracts.

Logicalis is campaigning with local authority IT managers' association, Socitm to get more government cash to fund local ICT projects

The Tories said such a cap would help prevent IT "white elephants", with the much maligned £12bn NHS National Programme for IT threatening to become one.

"In response to the Conservatives' call for a £100m 'cap' on government ICT contracts, we commend the sentiments, but believe the continued focus on only long-term national projects to be fundamentally flawed," said Logicalis.

"While a cap on mega-budget ICT initiatives is a step in the right direction, we are calling for a shift in focus to locally-funded ICT initiatives, that will support real efficiencies and rapid return on investment," Logicalis continued.

They are calling on the government to allocate £1bn to back locally-managed IT projects that "promise a rapid return on investment".

Steve Palmer, senior vice-president of Socitm, said, "All of us, whether public or private sector based, are working to do more and more for less. In the local public sector that is particularly prevalent given the need to move as much resource as possible to the frontline, at a time when the pressures on demand-led services are growing to unprecedented levels."


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