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UK government: G-Cloud offers average of 50% savings to public sector IT buyers

Out-Law News | 16 Apr 2014 | 8:27 am | 1 min. read

UK government departments are spending approximately half the amount on IT through the 'G-Cloud' programme than they would otherwise be spending on those products and services, the Cabinet Office has said.

Tony Singleton, G-Cloud and digital commercial programme director at the Cabinet Office, said that the UK government intends to go into detail about the savings and other benefits departments have been getting from their use of the G-Cloud framework in a new report due shortly. However, he outlined some of the main highlights of the study into G-cloud benefits in a new blog. 

"On average, we saw savings of around 50% and there are examples of savings of more than this," Singleton said. "Other benefits buyers have spoken about include greater transparency; flexibility; a simpler, clearer, faster way to buy and ultimately better value for the taxpayer – once the requirement has been defined, we have put a contract in place in three minutes!" 

Singleton admitted that the government needs to raise awareness of the savings and other benefits that using the G-Cloud can bring to public sector bodies.

 "A recent survey by Eduserv found that a minority of civil servants thought that the benefits of the cloud were well understood by their organisations," Singleton said. "We need to ensure that everyone involved with IT both in central government and the wider public sector, fully understands the benefits of cloud technologies as well as how G-Cloud works and the benefits it offers." 

The G-Cloud system allows public sector bodies to gain access to cloud-based IT services being offered by a selected list of pre-approved suppliers during a set period. 

The UK government's 'cloud first' policy requires central government departments to consider IT solutions offered through the cloud before they consider alternatives. The departments can only deviate from using cloud-based IT solutions where they can show that alternative offerings offer "better value for money" than the products and services available through the 'CloudStore', an online marketplace for cloud IT services linked to the G-Cloud. 

Singleton said that the G-Cloud helps "give organisations an overview of the services available to them before they begin their own procurement" and that it also helps suppliers. "By making it easier for smaller companies (often innovative suppliers) to win business, it is creating a more competitive marketplace for buyers and suppliers," he said.