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Cloud Computing > Cloud Adoption > UK Government Launches £7.5 Billion in Cloud Services Tenders
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UK Government Launches £7.5 Billion in Cloud Services Tenders

Daniel Patrick
Daniel Patrick February 26, 2024
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UK Government Launches £7.5 Billion Cloud Services Tenders
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Contents
The G-Cloud 14 InitiativeTransition to Cloud ServicesPast Successes and Future GoalsImplications for the Public SectorConclusion

The UK government has announced the launch of two cloud services tenders, potentially worth up to £7.5 billion. This ambitious initiative, facilitated by the Crown Commercial Service of the Cabinet Office, marks a pivotal step towards modernizing and streamlining government services through advanced cloud solutions.

The G-Cloud 14 Initiative

The first of these tenders, the G-Cloud 14 Lots 1-3, is a comprehensive framework designed for cloud hosting services accessible to a broad array of local public sector entities. With an estimated value of up to £6.5 billion, this contract is poised to significantly impact how public services leverage cloud technology. The contract terms allow for a duration of up to 36 months, with an optional 12-month extension, offering considerable flexibility and scalability to participating bodies.

“Cloud hosting services sold via G-Cloud are cloud platform or infrastructure services for buyers to deploy, manage, and run software, and provision processing, storage, or networking resources.”

This initiative not only underscores the government’s commitment to digital transformation but also opens up new avenues for public sector bodies to enhance their operational efficiencies.

Transition to Cloud Services

In tandem with the G-Cloud 14, the UK government is seeking a technology firm to assist public bodies in their transition to cloud software or hosting services through a separate framework valued at up to £1 billion. This framework is inclusive of services such as planning, to facilitate customers’ migration to cloud software and/or hosting services, and setup and migration services, which involve consolidating and transferring a collection of workloads.

Past Successes and Future Goals

Reflecting on the ten-year anniversary of its G-Cloud framework deals in 2022, the Crown Commercial Services highlighted the aggregation of public sector cloud consumption as a key achievement. The initiative has reportedly delivered £1.5 billion in benefits for its customers, with total spending via the agreement reaching £11.5 billion.

Despite this success, the landscape of cloud services within the public sector has seen significant dominance by certain tech giants, with AWS notably securing 76 percent more direct public sector revenue from the UK government in the past financial year. “Framework agreements…offer price discounts and suggest indicative spending,” facilitating strategic procurement that has benefitted both the public sector and technology suppliers alike.

Implications for the Public Sector

The launch of these tenders signals a robust effort by the UK government to further integrate cloud technology into the public sector. By doing so, the government not only aims to enhance the efficiency and security of its services but also to ensure that public sector entities remain at the forefront of technological innovation.

Conclusion

The UK government’s £7.5 billion cloud services tenders represent a significant investment in the future of public sector technology. As these initiatives unfold, they promise to bring about a more interconnected, efficient, and innovative public sector. We encourage our readers to share their thoughts and opinions on this development. How do you see these tenders shaping the future of public sector technology in the UK?

Photo by Jamie Street on Unsplash

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