BT Contract ended by Liverpool Council
In a move that ended and IT services deal with BT, authorities in Liverpool expect savings of as much as £30 million over the next three years.
Liverpool Council came to the decision to conclude the joint venture with BT to provide IT services and a call centre to the authority when BT allegedly refused to lower the price of the contract to meet councillors expectations.
BT’s protestations came in spite of leaked documents from a council investigation conducted four years ago that made claims that BT was overcharging Liverpool Council by £10 million every year.
The council will now take on BT’s controlling 60% stake in the group that provides the services, Liverpool Direct Limited (LDL), and will have total control of LDL in a matter of weeks.
In an official council document issued by the authority, Liverpool Council said:
“LDL has successfully delivered services and service improvement throughout its life. The relationship with BT has been central to this success.
“BT remains committed to serving residents and businesses in Liverpool and is recruiting a further 240 staff in Liverpool to support the growth of high speed broadband services.”
The document also stated that the end of the deal was a reflection on BT’s shift away from the public sector market.
Words: Peter Cribley