A payment of £92.8 million, excluding VAT, has been made to BT as working capital to aid with infrastructure, planning and development work in advance of the deployment of systems and services. This is in line with Treasury rules, and in return for a reduction in payments to be earned for future successful delivery. In addition, a further £183,000, excluding VAT, has been paid relating to work previously undertaken by the company with national health service organisations in the south of England as a consequence of termination of the contract with Fujitsu.
Contract Change Notices (CCNs) reflecting the appointment of BT as the preferred supplier to the existing eight live Cerner sites in the South, plus a commitment to additional deployments to four further Cerner acute sites, and 25 RiO Mental Health and Community Health sites, have now been signed with the company. Disclosure of the value of the CCNs at this stage would potentially compromise the Department’s position in any future procurement for further services in the South, and in consequence prejudice the commercial interests of the Department, and of the taxpayer.