Government secures support from largest supplier for cuts

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Government secures support from largest supplier for cuts

Simon Quicke

The government has managed to get the signature of its largest supplier Hewlett-Packard on a memorandum of understanding that will commit the vendor to helping the coalition reduce costs.

HP follows in the wake of a host of government suppliers including Oracle and Microsoft, who signed on Tuesday as getting on board with the efforts to trim the bills the country faces.

Francis Maude, minister for the Cabinet Office, can add HP to the list of major government suppliers that are prepared to help it deliver efficiencies, which also includes CapGemini, Logica and Accenture.

Maude started his quest earlier this summer when he sat down with 30 suppliers and stated the need to get more for less as the country tightened its belt looking for efficiency in existing and new IT contracts.

He stated the aim of his discussions with suppliers back in July: "We will say we want to have something off your margins; we will expect you to show us how we can pay you less, sometimes for doing less".
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