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Microsoft new Public Sector Agreement

Date Issued: 06 May 2009

Angela Eagle announces a new innovative and collaborative deal with Microsoft delivering £75m savings

Angela Eagle, Exchequer Secretary to the Treasury, today praised a new software licences deal negotiated by Buying Solutions with Microsoft that could save the tax payer £75m over the next five years.

For the first time, public sector bodies of whatever size will be able to buy the licences for specific productivity tools that they need at the best price rather than the standard package.  This reduces any unnecessary costs of buying unwanted products in those packages.

Other unique benefits of the deal include full transferability of licences right across the public sector to avoid waste, and the provision of training and support to all organisations.

Speaking about the deal Angela Eagle said:

"The public sector must continually strive to become more innovative and collaborative in how it buys its goods and services to deliver maximum value for the tax payer.

This new agreement will contribute to the Government's efficiency targets in support of its Operational Efficiency Programme, and clearly demonstrates the huge benefits that can be achieved through collaborative procurement." 

She added: "It also reinforces the Government's commitment to its Open Source Action Plan by setting up a facility to reuse and share licences across the public sector."

Announcing the deal, Alison Littley, Chief Executive of Buying Solutions, said:

"Through innovation and collaboration we have been able to maximise the spending power of the public sector and deliver a lower cost, highly flexible solution.  This is a great example of the opportunities Buying Solutions is targeting to make further savings in the future."

More information about the deal can be found at www.buyingsolutions.gov.uk

Contact:

Andrew Gibson, Buying Solutions on 07920 581330 or  Malcolm Graves at HMTreasury on 020 7270 5238

Note to Editors

About Buying Solutions

Buying Solutions is an Executive Agency of the Office of Government Commerce in the Treasury. We are the national procurement partner for UK public services.

We have extensive expertise in procurement, with over 500,000 products and services delivered through over 600 suppliers, in ICT, property and office solutions, energy, travel and professional services.

Our EU-compliant, benchmarked framework agreements and other procurement arrangements enable organisations to deliver improved value for money in their commercial activities. We also provide expertise and professional support to our customers.

About Microsoft

Founded in 1975, Microsoft (Nasdaq: "MSFT") is the worldwide leader in software, services and solutions that help people and businesses realise their full potential.

Further  information about Open Source, Open Standards and Re-Use: Government Action Plan can be found at:  http://www.cabinetoffice.gov.uk/government_it/open_source.aspx

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