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Capita has confirmed winning a £370 million, ten-year business process outsourcing contract to run HR and finance systems for four UK government departments (DWP, MoJ, Home Office, Defra), covering around 250,000 civil servants. The deal is less than 40% of the £958.7 million estimated procurement value. Rival bidder Sopra Steria has launched a legal challenge alleging Capita's bid was 'abnormally low,' based on staffing levels significantly below requirements, and that the DWP conducted post-award renegotiations excluding Sopra Steria. The PCS union has also criticized the award, citing Capita's ongoing problems with the Civil Service Pension Scheme.

Capita £370M Whitehall outsourcing deal challenged in court