South Oxfordshire District Council, Havant Borough Council, Vale of White Horse District Council, Mendip District Council and Hart District Council (‘the Councils’) entered into a contract (for an initial duration of approximately 9 years) with Capita for a range of corporate and transactional services (‘the Contract’). The opportunity was advertised under OJEU Notice 2015/S 057-100137 and the Contract entered into on 4 April 2016. Further details of the original Contract are set out in that OJEU Notice.

The Councils have entered into a contract variation agreement with Capita for the purposes of removing the requirement for Procurement and the majority of the Exchequer Services and, the reduction of the current IT service requirement from the scope of the original Contract. The previous variation also conferred on the Councils a contractual option to remove the Exchequer Services from the contract, subject to operational and commercial considerations.

This section provides detail of the reduction of the original contract.

The reduction in the I-Hub and Human Resources (Advisory) Services resulted in a reduction in Contract value of approximately GBP 700 242 per year for the remainder of the contract term.

The reduction in the licensing services resulted in a reduction in contract value of approximately GBP 377 000 per year for the remainder of the contract term.

The reduction in the human resources operational and payroll services resulted in a reduction of approximately GBP 1 012 086 per year for the remainder of the contract term.

The reduction in the finance services resulted in a reduction in contract value of approximately GBP 634 000 per year for the remainder of the contract term.

This notice is now concerned with the further reductions set out below:

The reduction in the Exchequer Services (via a contractual option, see II.2.14) would result in a reduction in contract value of approximately GBP 1 217 939 per year for the remainder of the contract term.

This notice is now concerned with the further reductions set out below:

The reduction in the Procurement function would result in the contract value being reduced by approximately GBP 380 329 per year for the remainder of the contract term.

The reduction in the IT service requirement would result in an immaterial reduction in contract value for the remainder of the contract term.

Continues in Annex D1.