Saturday 12 February 2011

IT Costs - £2 million spent with Logica CMG

Reviewing the October to December supplier payments I notice that during this three month period LogicaCMG UK Ltd have been paid just over £1.2m (£302,558 on consultancy fees,£12,689 on IT Services, £19,000 on software purchases and £867,672.02 on software licenses and support). Looking back through the previous supplier payments it appears that they were paid £52,470.93 in the period July-September and £791,744.98 in the period April-June. In total, for the first nine months of the financial year that comes to the princely sum of £2,046,134.93. Just what are Logica doing at Barnet that is so expensive and why aren't councillors at least asking the question.

I suppose this makes the £150,625 replacing the air conditioning units in the data centre at NLBP seem quite modest by comparison. I know that a decent IT system can be essential tool for running a successful business but staying solvent also helps. Given budget pressures we face are we absolutely sure this cost could not be reduced?


  1. The planned IT spend in the business plan for next year is £7 million. That is more than the library budget (at a tad over £6 million)

  2. what, exactly, is provided for the consultancy payments,and as you say, why are these charges so high? Is the consultancy rate incremental or a one off? Who scrutinises these charges?

  3. Mrs Angry,

    In answer to your question "who scrutinises these charges?" Sadly it seems that the answer is "Mr Reasonable and a few other bloggers".