Outsourcing tops government's £7.57bn IT bill

The government spent £7.57bn on IT, networking and related costs last year, excluding staff costs, according to figures released by the Office of Government Commerce

The government spent £7.57bn on IT, networking and related costs last year, excluding staff costs, according to figures released by the Office of Government Commerce (OGC).

The biggest single spend, £2.33bn, was on outsourced and managed services. The next biggest bill was for telecommunications (£1.41bn), followed by networking (£1.3bn), software (£903m), systems delivery (£570m), hardware (£440m), maintenance and support (£334m), and uncategorised items (£314m).

Out of 127 government departments, the biggest spenders were local authorities (£1.51bn), the Ministry of Defence (£1.51bn), the Department for Work & Pensions (£947m), Revenue & Customs (£809m), and the Home Office (£617m).

Other heavy-spending departments were Justice, Transport, Health, and the Foreign & Commonwealth Office.

 

UK government IT spending 2009

Organisational Family Organisation Hardware Maintenance & Support Managed / Outsourced Services Networking Software Systems Delivery Telecoms Uncategorised Grand Total
Grand Total   440.39 333.78 2,335.92 1,253.24 902.89 570.46 1,414.24 314 7,564.92
English Local Authorities English Local Authorities 167.19 - 61.32 76.66 540.9 0.31 662.98 - 1,509.36
Ministry of Defence Ministry of Defence 140.96 52.27 41.7 902.94 123.71 - 89.18 156.7 1,507.46
Department for Work and Pensions Department for Work and Pensions - 99.2 196.51 207.56 - 343.99 73.19 26.32 946.77
HM Revenue and Customs HM Revenue and Customs 7.8 24.39 690.38 8.78 44.09 - 29.92 - 805.38
Home Office Home Office 11.2 38.16 238.84 1.93 9.6 37.42 280.22 - 617.37
Ministry of Justice Ministry of Justice 7.85 0.45 356.76 1.17 3.16 22.12 37.84 - 429.33
Department for Transport Department for Transport 45.09 0.46 222.95 - 10.85 0.06 97.09 20.93 397.43
Department of Health Department of Health 3.67 1.24 237.75 39.05 16.6 0.4 2.62 4.18 305.52
Foreign & Commonwealth Office Foreign & Commonwealth Office 3.78 4.4 45.28 0.5 3.48 9.53 40.72 - 107.7
  Defra - Core 0.54 3.31 41.52 54.79 - 3.34 - 103.5

 

Graph: Government IT spend 2009

 

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