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Shared-services project makes DfT tech bill soar

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Transport,
Projects,
Operator,
Licensing

Kable

Published: 29 Dec 2008 09:38 GMT

A late-running shared-services programme has raised the cost of the Department for Transport's IT projects from £300m to nearly £400m.

The department deposited a list of its IT expenditure with parliament on 17 December showing that its agencies are running projects worth £269m, less than £5m above original estimates, where provided. But the department also estimated that its shared-services project will cost £128.3m by the time it is completed in 2012 — four years late — compared with the £36.7m originally estimated.

Parliament's Public Accounts Committee recently described the project as "one of the worst" it had seen.

The list suggests that the IT departments of the Department for Transport's agencies are fairly tight ships, with the Highways Agency's roster of projects currently estimated as costing £78.85m — £800,000 less than the original total estimates.

The agency has slashed the cost of some projects, including one for enabling business intelligence, from just over £1m to £484,000. It has now estimated the cost of its environmental information system at £579,000, compared with earlier expectations of £1.894m, although the latter figure was linked to the originally planned completion date of 2002-03. Completion is now expected during 2009-10.

The Driver and Vehicle Licensing Agency's drivers re-engineering project will cost £107.7m, compared with the original estimate of £102.9m, and will be completed in March 2009, rather than September 2008. But the agency has reduced the cost of the driver licence upgrade project, which had its completion pushed back from November 2008 to next March, from £16.8m to £15.2m.

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The agency recently cancelled a pilot for using facial-recognition technology in licence applications. Overall, the Driver and Vehicle Licensing Agency is running projects with a total estimated value of £139.3m, compared with original estimates of £136.1m.

The Vehicle and Operator Services Agency estimated its transport office portal project will cost £16.7m, rather than the £14.7m originally planned, and will be finished two years late, in March next year. Its electronic test bookings project will cost £16.9m, rather than £16.5m, and will also be completed in March, rather than October as originally planned.

Overall, the Vehicle and Operator Services Agency estimated its projects will cost £45.2m, compared with original estimates of £43m.