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Scottish Borders extends CGI outsourcing contract until 2040

CGI will continue to provide the Scottish council’s end-to-end managed IT services until 2040, making it one of the longest extensions in the company’s history

Scottish Borders Council has extended its outsourcing deal with supplier CGI for end-to-end managed IT services until 2040, aiming to create a “smart, connected rural region”, digitally connecting all local communities.

CGI will also open an office in Tweedbank in 2021, intending it to become a centre of excellence and an international reference site in connected communities. The centre will also create about 200 jobs and apprenticeships.

The council originally signed a 13-year, £92.5m contract with CGI in 2016 which was due to expire in 2029. The contract was seen as a catalyst for the council to lead a digital channel shift and boost the local economy by £100m.  

However, Scottish Borders has now decided to extend the contract until 2040, making it one of the longest extensions in CGI’s history.

Shona Haslam, leader of Scottish Borders Council, said the authority was “delighted” to extend the contract.

“This extension shows the trust we have in CGI as a valuable strategic partner, sharing our long-term commitment to providing cutting-edge digital solutions to improve our public services, benefiting the council, our community planning partners and our citizens,” she said.  

“Together, we aim to make the Borders the most technologically advanced rural area in the UK. Beginning with our Fit for 2024 transformation programme, we will ensure the Borders is in the best shape to meet future challenges, attract new business to the region, take advantage of new opportunities and deliver the best possible outcomes for our communities.”

The Scottish Borders’ Fit for 2024 programme aims to drive innovation across several areas, including council properties, because the size and running costs of the current estate is not sustainable, the strategy said. It also aims to underpin new ways of working, improve customer experience and support people in the community.

The council will constantly undertake internal reviews to ensure every council service can meet future demands.

Read more about local government and outsourcing

  • Edinburgh council extends an outsourcing agreement with CGI as it steps up its smart city programme.
  • Local authorities invest in networking and contact centre technology through IT outsourcing contracts.
  • Barnet Council is planning to bring parts of its Capita outsourcing deal back in house, and expects the supplier to pay the council £4.12m due to delivery issues with some areas of the contract.

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