UK’s Government Procurement Service, an executive agency of the Cabinet Office, has signed a framework agreement with business and technology service company Logica for payroll, human resources (HR) and finance services.

With the new framework, any central government, police, education, local authority, health and any partially funded or fully funded public sector entity will be benefitted from shared services without a complicated or expensive procurement cycle.

The usage of framework avoids the need for lengthy and costly OJEU procurements thus saving cost and accelerating the time to achieve a return on investment, the charges are scaled to overall framework membership and provides shared costs for mutually beneficial developments.

In addition, the new framework provides best of breed offerings and forums to share experiences, independent audit and evaluation to ensure value for money and ensures individual organisations are treated the same irrespective of size.

The framework is technology agnostic so the most appropriate technology platform can be offered to individual clients and the frame work can add future changes to configuration are under the control of the client.

The Government Procurement Service Framework agreement with Logica will enable public sector organisations to obtain best value for money whilst reducing procurement cycles and organisations can elect to outsource as much or as little of their HR/Payroll processes as they want.

Logica UK Public Sector managing director Ed Jones said in the current economic environment it is vital that public sector organisations make cost savings, but this can’t be to the detriment of the services they provide for citizens.

"Shared services for back office functions such as HR and finance are a significant step to help public sector organisations save money, whilst enabling them to focus upon their core business," said Jones.

Government Procurement Service Sourcing and Category Management head Marie-Helene Durif said the award of this contract is another milestone in the Government’s strategy to centralise procurement, which will deliver significant and sustainable cost reductions for the government.