TCS luggage £234M Lecturers’ Pensions deal as Capita set to finish 29-year run
On the again of a £1.5 billion contract win, Tata Consultancy Companies is at it once more, bagging a £234 million ($297 million) deal to manage the UK’s Lecturers’ Pension Scheme (TPS).
The scheme, run by the Division for Schooling on behalf of private and non-private college academics and their employers within the UK, presently depends on Capita, which gained a four-year, £60 million ($76 million) extension to run the scheme till 2025 on a contract it first signed in 1996.
Final week, TCS gained a £1.5 billion ($1.9 billion) take care of the UK’s Nationwide Employment Financial savings Belief (Nest), an occupational pensions scheme, with out outdoors competitors, after the federal government determined to half methods with French provider Atos after simply 18 months.
The Lecturers’ Pension Scheme has about two million members and collects contributions from greater than 11,200 employers, whereas paying out to over 700,000 pensioners and beneficiaries. It’s the second largest pension scheme within the UK after the NHS.
TCS floated the win earlier this month however refused to launch the successful determine, made obtainable in tender paperwork revealed on Friday.
The present TPS contract with Capita is because of expire in September 2025, and the DfE stated in 2021 that it envisaged a transition interval from 2023 onward.
As a part of the 10-year contract, TCS is anticipated to handle the scheme administration companies utilizing a “future-ready, digitally enabled, omnichannel platform,” in accordance with the publicity blurb.
The preliminary deal is value £173.9 million ($221 million), with the potential for 5 particular person years’ extensions bringing the whole to £233.9 million ($297 million).
Procurement for the brand new deal started almost two and a half years in the past when the DfE started to “interact” the market with a previous info discover promising “an efficient, totally digital, customized service to our members with our companions.”
Following the contract win, TCS stated it deliberate to broaden its already vital presence within the UK life and pensions trade by establishing a service hub in Darlington.
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The Indian agency stated it might make use of its BFSI Platforms to help the TPS administration. It offers “a cloud-native, as-a-service digital ecosystem,” in accordance with the corporate’s promotional materials.
In a press release, Vivekanand Ramgopal, President, BFSI Merchandise & Platforms, TCS, stated: “Enhanced buyer expertise has been the cornerstone of our platform’s worth proposition to purchasers within the UK pensions trade. We are going to proceed to strategically put money into our platform and pursue our aspiration to be the popular progress and transformation companion to life and pensions corporations within the UK.” ®
