The Government Digital Service (GDS) is set to establish a Crown Hosting Service in a bid to save £530 million a year by 2018. The new service will consolidate existing hosting services across Whitehall departments and provide one single service.
According to GDS executive director, Mike Bracken, the service will be established by then end of 2013. An advance briefing paper for the Technology Leaders Network of Whitehall IT chiefs has reported that £1.6 billion was spent by central government in the previous financial year on hosting services. Of this, around £0.7 billion worth of facilities and infrastructure support services is being considered for consolidation. It is hoped that this will bring about significant cost savings.
The briefing paper said: “Consolidation and migration to a single Crown Hosting Service would result in savings of £530m by 2018/19, with the payback on the initial investment being achieved in less than two years.”
GDS will look for approval for the plan in January next year, and a tender process for suppliers will take place between March and July. The service is expected to be up and running for all government departments by September of next year.