Tombaky - Fotolia

UK government signs new MoU with Oracle

Memorandum of understanding builds on 2012 deal which promised to save the government £75m

The UK government has signed a new three-year deal with Oracle with the aim of saving on licensing costs.

The memorandum of understanding (MoU) builds on the previous deal the government made with Oracle in 2012, which promised to save £75m across central government, the emergency services and the NHS by 2015.

The new MoU extends the agreement to include additional public sector bodies, as well as more products and services.

Sally Collier, chief executive of the Crown Commercial Service (CCS), said the deal will allow for more effective procurement or Oracle’s services and products.

“It lays the foundation for a more collaborative relationship between government and Oracle,” she said.

No further details on the MoU were released by the government.

Recent reports suggested that the Cabinet Office had asked government departments and agencies to looks for ways to reduce its reliance on Oracle. However, today’s announcement shows the government still needs to use Oracle’s services.

Oracle’s senior vice-president and UK country leader, Dermot O’Kelly, said the new deal demonstrated Oracle's commitment to the government’s agenda of saving money and delivering “leading-edge information technology to help transform public services.”

The CCS has also signed a contract with PageOne for its paging and mobile communications services as part of the Network Services Framework, which was launched in July.

The framework will last four years, with a forecast spend of at least £318m. It aims to open the market up to new technologies and suppliers, with a focus on offering more opportunities for small and medium-sized enterprises.

PageOne will supply public-sector organisations with one-way and two-way paging and mobile messaging services on a direct-award call-off basis.

Read more on IT for government and public sector