Tech Procurement in the UK Justice Sector
December 2020
Trusted Insight on Government Contracts and Spend Trusted by suppliers, the public sector, and the media —
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Matthew Vincent 22nd September 2018
2 | Trends and Opportunities in the Justice Sector We transform open data into useful data – so you don’t have to —
Open data Third party data Useful data Use cases
CONTRACT DATA Public Sector Aggregate Get better value from TED (EU) suppliers Companies House Contracts Finder (UK), Sell2Wales, PCS Match
Digital Marketplace Suppliers Normalise Win government Circa 70 local portals contracts Cleanse SPEND DATA Moody’s Analytics 6800+ Central Gov’t, Press Local Gov’t & NHS Machine Scrutinise public bodies learn spending
3 | Trends and Opportunities in the Justice Sector Total data coverage: Justice —
Spend Contracts Q1 2016 – Q2 2020 Q1 2015 – Q3 2020 864,000 invoices 7,000 contracts £28bn spend value £17bn contract value 43 buyers 100 buyers 31,000 suppliers 2,600 suppliers
4 | Trends and Opportunities in the Justice Sector Questions Tussell will answer —
1. How big is the market? 2. What’s the breakdown by sub-sector? 3. Can new entrants break through? 4. Has demand recovered from Covid? 5. How can I position my firm for future rebids?
5 | Procurement in the UK EdTech market Technology spend in the justice sector in the five years from 2016-2020 was £3bn in total, an average of £597m per annum
Spend data
£728M £710M
Average: £597M £578M
£523M
£447M
2016 2017 2018 2019 2020
Total justice sector technology spend 2016-2020: £3.0B
6 | Trends and Opportunities in the Justice Sector Justice spending on tech has been consistently higher than other areas of the public sector since 2016
Spend data
Proportion of public sector technology spend (2016-2020) 16%
14%
12% Justice 11%
10%
8%
NHS 7%
6% Public sector 5%
4%
2% 2016 Q1 2016 Q3 2017 Q1 2017 Q3 2018 Q1 2018 Q3 2019 Q1 2019 Q3 2020 Q1
7 | Trends and Opportunities in the Justice Sector The MOJ and its two agencies accounted for 68% of all spend, while the top 10 suppliers earned 71% of total revenue
Spend data Buyers Total justice sector technology spend 2016-2020: £3.0B
Ministry of Justice £1,355M
HM Prison and Probation Service £420M
HM Courts and Tribunal Service £361M
Metropolitan Police £332M
Other police £662M
£0M £100M £200M £300M £400M £500M £600M £700M £800M £900M £1,000M £1,100M £1,200M £1,300M £1,400M
Suppliers
Capita £624M
ATOS £502M
CGI Group £240M
Entserv £237M
Sopra Steria £208M
Insight Direct £113M
DXC Technology £100M
Specialist Computer Centres £77M
Leidos £65M
Oracle £60M
Other suppliers £904M
£0M £100M £200M £300M £400M £500M £600M £700M £800M £900M £1,000M £1,100M £1,200M £1,300M £1,400M
8 | Trends and Opportunities in the Justice Sector Except for Sopra Steria, most top suppliers have lost market share since 2016, while other suppliers have benefited
Spend data
44% Proportion of total justice sector technology spend with top suppliers and others (2016-2020)
Other suppliers 41.4% 40%
36%
32%
28%
24%
20% Capita 19.2%
16%
12% Sopra Steria 11.5% ATOS 10.9%
8% CGI Group 6.8%
Entserv 4.0% 4% DXC Technology 3.8% Insight Direct 2.4% 0% 2016 2017 2018 2019 2020
9 | Trends and Opportunities in the Justice Sector Common tech products and services that are purchased throughout the public sector represent £1.4bn or 67% of contract value
Contract data
General contract categories
£483M (379 awards)
Infrastructure, support & £54M maintenance from Ministry of Justice to Sopra Steria for Probation ICT Services
£376M (246 awards)
Cloud infrastructure and £48M software development from Ministry of Justice to Entserv for End User Computing Services for HMPPS and HMCTS
£373M (416 awards) Hardware, software and £58M licenses from Ministry of Justice to Trustmarque for Microsoft Enterprise Agreement
£167M (66 awards) Network and £104M communication from Ministry of Justice to Vodafone for FITS WAN/LAN
2015 2016 2017 2018 2019 2020 2021
Sector-specific contract categories
10 | Trends and Opportunities in the Justice Sector £421M (4 awards)
Total Technology Programme Infrastructure £155M from Metropolitan Police to CSC Computer Sciences for TTPI End User Services
£106M (116 awards)
Data management systems £6M from Ministry of Justice to Unlink Software for nDelius Support
£95M (54 awards)
Video and voice capture £29M from Police and Crime Commissioner for Sussex to Accenture for Implementation and Adoption of Video Enabled Justice
£48M (16 awards)
Automation £13M from Ministry of Justice to Kainos Software for Automated Track Case Management
2015 2016 2017 2018 2019 2020 2021 General contract categories
£483M (379 awards)
Infrastructure, support & £54M maintenance from Ministry of Justice to Sopra Steria for Probation ICT Services
£376M (246 awards)
Cloud infrastructure and £48M software development from Ministry of Justice to Entserv for End of USer Computing Services for HMPPS and HMCTS
£373M (416 awards) Hardware, software and £58M licenses from Ministry of Justice to Trustmarque for Microsoft Enterprise Agreement
Justice-specific contracts make up the remaining 33%£ 1and67M (6 6provide awards) Network and £104M communication ample opportunity for niche suppliers and solutions from Ministry of Justice to Vodafone for FITS WAN/LAN
2015 2016 2017 2018 2019 2020 2021 Contract data
Sector-specific contract categories
£421M (4 awards)
Total Technology Programme Infrastructure £155M from Metropolitan Police to CSC Computer Sciences for TTPI End User Services
£106M (116 awards)
Data management systems £6M from Ministry of Justice to Unlink Software for nDelius Support
£95M (54 awards)
Video and voice capture £29M from Police and Crime Commissioner for Sussex to Accenture for Implementation and Adoption of Video Enabled Justice
£48M (16 awards)
Automation £13M from Ministry of Justice to Kainos Software for Automated Track Case Management
2015 2016 2017 2018 2019 2020 2021
11 | Trends and Opportunities in the Justice Sector The number of technology tenders in justice dropped during the height of the pandemic but it has now recovered almost to pre-pandemic levels
Tender data
Number of technology notices from the justice sector published in 2020 compared to 2019
250 248
234 239
200
182
150
115 100 January February March April May June July August September October November December
12 | Trends and Opportunities in the Justice Sector Contracts are predominantly awarded for just 2-3 years, which means your next opportunity to bid for a major contract is never far away
Contract data
Expiring contracts by duration and expiration date
7 y 2021: £186M (174 awards) 2022: £180M (118 awards)
£0.8M £15.5M 5 y contract 6 y 2 y contract expiring on Dec 2022 expiring on Apr 2021 South Yorkshire Police / Ministry of Justice / Oracle Computacenter PLC for Oracle Support & Maintenance for RSSS & DFU Imaging Network of MoJ licensed estate
5 y
4 y
3 y
2 y
£16.4M 3 y contract 1 y expiring on Jul 2022 Ministry of Justice / 4net Technologies Ltd for CTSC Technology Solution Award
0 y Jan 2021 Mar 2021 May 2021 Jul 2021 Sep 2021 Nov 2021 Jan 2022 Mar 2022 May 2022 Jul 2022 Sep 2022 Nov 2022 Jan 2023
13 | Trends and Opportunities in the Justice Sector Key Findings —
Contracts are Justice dominated rebid frequently, by five major The market has with an average suppliers but still clearly bounced duration of just 2-3 accessible to new back from the years – so plan entrants pandemic ahead
Understand your market Know your customer Plan ahead
14 | Trends and Opportunities in the Justice Sector All the data in this presentation came directly from Tussell Insight, our online market intelligence platform —
To learn more, email Gus at [email protected]
15 | Trends and Opportunities in the Justice Sector