Wandsworth and Richmond prefer Capita for finance managed service
Contract, whose value has not been disclosed, will run for six years with an optional four-year extension
The London boroughs of Wandsworth and Richmond upon Thames have named Capita as their preferred bidder to provide a joint finance managed service.
Capita will handle accounts payable and accounts receivable processes and implement its finance system, Integra, on behalf of the two councils.
The contract, which will run for six years with an optional four year extension, will generate "considerable cost savings" for the councils and improve back office management, providing a more consistent service for employees. The contract value, however, has not been disclosed, nor has a figure for the savings to be generated.
The contract award also establishes a pan-London framework that will allow other London boroughs to procure finance and print services, and finance systems, from Capita. The framework will enable other councils to use the Wandsworth and Richmond managed service solution, or a version tailored to their own specific needs.
Chris Buss, director of finance at Wandsworth, said: "Capita has the experience, resource and expertise we were looking for and this new contact will deliver real value for money for local taxpayers. This is a good early win for our joint working arrangement with Richmond Council and will deliver a saving for both councils which helps us to protect front line services."
Cllr Geoffrey Samuel, Richmond Council's cabinet member for finance, said: "I am delighted to welcome yet another example of the determination of this Council to save money through back office efficiencies. In controlling our finances we have two key policies: to share with other councils and to secure for our residents the service provider who best offers a combination of quality and price. This is what we have achieved. I am convinced that as well as saving money and protecting some services, Capita will provide a high quality service for our councils and our residents."
Mark Chapman, business director for Capita Local Government, said: "We are pleased to be expanding our managed finance services and use of our Integra solution across two new boroughs, supporting the joint working arrangements underway across Wandsworth and Richmond Councils. This new framework agreement means we will be working with both councils to promote this model across London - ensuring that public sector bodies can benefit from the opportunity to reduce their back office costs and improve efficiencies."