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 …
Another stunning piece of contract work
CSC don't deliver, but they still have an ability to hold the Department of Health to ransom....
Behind the scenes
"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,"
Your choice, give us 1.8bn back. or give us 1.8bn back.
We'll sue the ass of you, you limey bastards.
OK. BTW, don't bother tendering for any other work, even for a ink cartridge. You won't get it.
Here, have 1.8bn.
Re: Behind the scenes
Haha, yes, and
"Knock yourselves out suing us, kimosabe. We have plenty of lawyers and time. We will refuse any payment until this comes to trial... in 2018 and counter-sue you for $18 gazillion in breach of contract.... which will cost you $50 million in legal fees and come to trial in 2018."
A huge breakthrough...
... trying to claw yourself out of the mess you signed yourself into in the first place, shirley.
Small favours to your tax money at work, and all that.
The £1.8m never existed except in DOH's budget.
It was never paid to CSC therefore it can't be handed back.
The contract has been renegotiated and is now worth £1.8m less than before.
CSC only get paid on delivery.
million != billion
new acronym for Dept. of Health
I think they need to be referred to in all future El Reg articles as DoH! They certainly appear to demonstrate the same IQ as the yellow resident of Springfield that is famous for that word.
Re: new acronym for Dept. of Health
"the yellow resident of Springfield that is famous for that word."
why use two words when you can use eleven...
Re: new acronym for Dept. of Health
More like an old one. They changed it FROM DoH to DH when they realised just that association some years ago!
I think I've probably still got letters with DoH as the acronym.
We should take a holistic view of CSC
It was revealed/alleged in the Sunday Times yesterday that British Aerospace's computers had been hacked by the Chinese, who stole secrets to do with the Joint Strike Fighter over a period of 18 months. BAE outsource their IT to ... CSC .
CSC currently face a class action brought against them by their own shareholders .
CSC were docked $250 million by the US Armed Services Board .
In addition to the Department of Health, CSC are also retained by:
The UK Border Agency, who use CSC to collect the biometrics of UK visa applicants overseas. When we decide that we can no longer afford to pay for this schoolboy stamp collecting habit, CSC may expect the golden goose to stop laying .
The Identity & Passport Service. When the public finally tire of paying three times too much for their passports, CSC may legitimately expect once again that the golden goose will stop laying .
@We should take a holistic view of CSC
No we should just stop using this company all together, and the other usual supects who troll the $billion market for government contracts.
They all collectively fail to deliver each and every time.
The gov should begin to break down these massive white elephant projects into smaller projects that would allow tier two even tier three companies (heck why not even some UK companies) to tender and win the business. I won't promise they will deliver any better, but at least statistically we might find some leaner and more efficient companies do a little better than these money sucking behemoths.
"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."
Who negotiated a contract so bad, that if the supplier fails to deliver they can sue you for terminating it?
What has been retained?
In the LSP contracts, general practice and primary care IT systems were also sold to the LSPs.
What remains of the deliverables in the CSC LSP contract - and is it the same for all three areas - the 2 ex-Accenture (North East & East Midlands and East of England) and the original CSC one (North-Weat and West Midlands)?
We do need to know just what the renegotiated CSC contract covers - and where the NHS penalties for failing to deliver the centrally imposed required number of - sacrificial? - sites will fall when all Acute Trusts become Foundation Trusts (so not bound by the LSP contracts), and SHAs and PCTs are replaced by the NHS CB and CCGs.