Feeds

NHS claws back £1.8bn from IT project fiasco

CSC in cash-back deal with Department of Health

Gartner critical capabilities for enterprise endpoint backup

The government has reached an agreement for a reduction in its contract with CSC, the largest supplier to the now-defunct National Programme for IT (NPfIT). The total saving for the Department of Health (DH) from NPfIT will now be approximately £1.8bn.

Health secretary Andrew Lansley told an E-Health Insider event in London today that the money it has secured from US-based firm CSC would be released back to the NHS. An announcement on how the money will be distributed is expected in the coming months.

Following years of waste and delay in introducing electronic care records to hospitals, the agreement signals a huge breakthrough, according to Lansley.

CSC was contracted to deliver Lorenzo electronic patient records to trusts in the north, Midlands and east of England but the project has suffered from severe delays. The DH has been locked in renegotiations with the supplier for more than a year to revise the scope of the deal and claw back some the money it has spent with the company.

In May 2011 the department's chief information officer at the time, Christine Connelly, warned that it would be cheaper for the DH to keep its contract, rather than extricating itself from the deal, as CSC could seek substantial damages.

At the end of last year CSC made it clear in a filing to the Securities and Exchange Commission that it would be prepared to launch legal action against the government if it tried to terminate the contract, but the company appeared to soften its stance at the end of last year by confirming a $1.5bn write-off of the NPfIT deal.

This article was originally published at Guardian Government Computing.

Guardian Government Computing is a business division of Guardian Professional, and covers the latest news and analysis of public sector technology. For updates on public sector IT, join the Government Computing Network here.

Gartner critical capabilities for enterprise endpoint backup

More from The Register

next story
'Stop dissing Google or quit': OK, I quit, says Code Club co-founder
And now a message from our sponsors: 'STFU or else'
Ex US cybersecurity czar guilty in child sex abuse website case
Health and Human Services IT security chief headed online to share vile images
Don't even THINK about copyright violation, says Indian state
Pre-emptive arrest for pirates in Karnataka
The police are WRONG: Watching YouTube videos is NOT illegal
And our man Corfield is pretty bloody cross about it
Felony charges? Harsh! Alleged Anon hackers plead guilty to misdemeanours
US judge questions harsh sentence sought by prosecutors
Oz biz regulator discovers shared servers in EPIC FACEPALM
'Not aware' that one IP can hold more than one Website
Apple tried to get a ban on Galaxy, judge said: NO, NO, NO
Judge Koh refuses Samsung ban for the third time
prev story

Whitepapers

Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up distributed data
Eliminating the redundant use of bandwidth and storage capacity and application consolidation in the modern data center.
The essential guide to IT transformation
ServiceNow discusses three IT transformations that can help CIOs automate IT services to transform IT and the enterprise
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.