Southampton signs ten-year IT deal with Capita

UPDATED: Southampton City Council and IT services provider Capita have reached a ten-year, 290 million partnership to modernise services and increase investment.

Capita will invest 25 million to Southampton in the first three years to update systems and upgrade Gateway, a contact centre for resident enquiries, which it will takeover. The two groups confirmed to IT PRO the cost of the contract, well above what was initially expected.

The IT firm will also handle backend functions such as procurement, human resources, and tax and claims processing. Initial work will begin this October, with eventual plans to relocate to a central contact centre.

"By working with Capita the city council will benefit from millions of pounds of investment into key customer focused and behind the scenes services," said councillor Jeremy Moulton, cabinet member for resources, in a statement. "We will also save the taxpayer millions of pounds over the term of the contract, money which can be put back into front line services."