1 The Aspire contract between HM Revenue & Customs (HMRC) and Capgemini accounts for 84 per cent of HMRC's total spend on information and communications technology (ICT). HMRC let this contract in 2004, at first for ten years, and has since extended it to 2017. It is the government's largest technology contract, costing £7.9 billion between July 2004 and March 2014. Its objectives were to ensure continuity of ICT services, while improving performance; to facilitate change to HMRC's business to meet its strategy; and to provide HMRC rapid access to up-to-date skills and technologies.
2 Through Aspire, Capgemini and its subcontractors provide technology services and development projects to HMRC. They maintain and run most of HMRC's major taxation systems and provide printing, desktop computers, telephony, data centres and networks. The contract has also been critical to developing and improving HMRC's technological capability. This includes expanding the online submission of income tax and VAT returns and increasing automation to improve efficiency and reduce fraud and error.
3 Long-term prime contracts for technology, such as Aspire, are no longer consistent with government policy. The Cabinet Office now requires government departments to let shorter-term contracts for ICT and work with a wider range of suppliers to increase competition and promote innovation. Departments, such as HMRC, must now take more direct responsibility for their systems and strengthen their technical and commercial capability. In 2012, HMRC and Capgemini agreed to make changes to the Aspire contract which, when fully implemented, would bring the contract closer to the new policy.