Original URL: http://www.theregister.co.uk/2011/10/11/nhs_it_budgets_fall/

NHS IT spending: The winners and losers

Integrators lose out as CfH budgets dive 35 per cent

By Paul Kunert

Posted in Data Centre, 11th October 2011 12:06 GMT

The pot of dosh dished out by NHS Connecting for Health to IT suppliers evaporated in fiscal 2011. Integration giants were the biggest losers as resellers gained ground.

A Freedom of Information request by The Guardian revealed that spending by CfH – the delivery arm of the DfH's Informatics Directory – fell around 35 per cent to £683.4m due to the NPfIT fiasco.

The largest IT supplier to Connecting for Health, BT, maintained its standing at the sector's summit despite only taking £331.5m from CfH, down 29 per cent on the previous year.

Acquisitive Surrey-based reseller Bytes Technology shunted CSC into third spot, with sales to the health sector up 16 per cent to £67m, thanks in no small part to two NHS true-ups from an Enterprise Wide Agreement with Microsoft.

The extent of the slide in sales at CSC was laid bare, down to just £37.7m compared to the £213.2m the giant banked a year earlier. The integrator handed back £170m to CfH due to lack of progress made on the NPfIT.

Integrator Atos – the fourth-largest recipient of CfH's budget – also fell, with the amount of spend secured falling 8 per cent to £33.7m.

However, London-based Computacenter snuck into the top five, albeit on the back of a modest revenues rise of 3 per cent to £18.1m.

Other notable movers in the channel included Microsoft LAR Trustmarque, which banked £19.5m in sales, down 23 per cent as sales by specialist public sector reseller Probrand fell 38 per cent to £3.9m. ®