Monday, 6 April 2009

Capita extends National Strategies contract

(By Anthony Miller – Monday, 6th April 2009 10:00 pm). Capita has nearly doubled the annualised value for a one year extension to the National Strategies contract it originally announced back in Oct. 2004 with the then DfES. At the time, the deal was worth at £177m over 5 years from 1st April 2005. Even as recently as February when the company reported its 2008 results, Capita had the potential renewal tagged at £35m p.a. But the news today is that the minimum value of the extension – to March 2011 – will be £64m because of additional services added. Definitely what you might call a ‘nice little earner’. By the way, that now means Capita has no ‘significant’ contracts (i.e. more than 1% of turnover) due for renewal till 2011 – of which this extended contract is the only one. What more could you ask for?

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