ATS Transformation

Rating: Compared to financial year 23/24-Q4, the Infrastructure Project Authority's Delivery Confidence Assessment rating at 24/25-Q4 remained at AMBER. This is primarily due to the following factors‚ The programme is on a positive trajectory. However, delivering it poses significant challenges due to the diverse range of customers and their complex needs. The development timeline is both challenging and fixed, dictated by the end of the existing contract. Any delays in delivery could diminish the anticipated value of non-cash releasing benefits. While the programme is actively managing a range of risks, the current risk level precludes a green status. To address this, the programme is continuously evaluating resourcing to ensure that the teams possess the necessary capability and capacity. Additionally, there is a strong emphasis on governance to facilitate effective decision-making. The programme continues to undertake NISTA gateway reviews. The gateway 3 review in November 2024 and the gateway 4 review in March 2025 both returned amber ratings.

Schedule: Compared to financial year 23/24-Q4, the project's end-date at 24/25-Q4 remained at 30/09/2027. This is primarily due to the following factors‚ The contract with the current supplier is set to expire on 12 May 2027, and due to commercial constraints and high likelihood of legal challenges from the ATS technology Marketplace, we are unable to extend the current ATS contract beyond the existing extension period in May 2027. The programme aims to begin onboarding customers to the new service in March 2026, with the objective of transferring all departments within the same year. This timeline will facilitate adequate offboarding from the current supplier and ensure a complete data transfer prior to exit. The planned end date also allows for some contingency and provides sufficient time for the handover to live service teams.

Cost: Compared to financial year 23/24-Q4, the project's departmentally agreed Whole Life Cost at 24/25-Q4 (measured in £m) decreased from 43 to 42. This is primarily due to the following factors‚ The Whole Life Costs reported in FY23/24-Q4 were derived from the Outline Business Case (OBC) approved in June 2023, whereas the figures for FY24/25-Q4 were based on the updated and approved Full Business Case (FBC). During the early stages of the procurement process, it became evident that the initial estimates for annual service charges had been overestimated, while the anticipated costs for the implementation phase had been underestimated. Additionally, forecasts for resource costs were revised downwards due to an improved understanding of the roles that the supplier would be providing. These changes were reflected in the updated FBC reported for FY24/25-Q4.

Source: NISTA Annual Report 2024-25 (data)

Rating: The Senior Responsible Owner's Delivery Confidence Assessment rating at 23/24-Q4 is Amber. This is primarily due to the following factors. Delivery confidence is amber due to two key challenges:_x000D_ 1) recruitment pause in CO since late February is impacting on the ability for the programme to recruit and onboard programme resources in readiness for the Design, Build and Test phase (August 2024); this is further complicated by a CO headcount reduction challenge. Latest update is that this should be lifted once HR reconciliation in GPGconcludes._x000D_ _x000D_ 2) The programme operates a cost recovery model. A significant price increase to departments only recently circulated for Shared Services (of which the ATS is one) is impacting n the ability of the programme to confirm commitment to use the service; an HMT condition from the OBC. The full business case is being submitted into the assurance and approvals process for May COAB with the programme taking steps to try to ensure the FBC remains on track for final approval at HMT by July 2024.

Schedule: The project's end-date at 23/24-Q4 is 2027-09-30. This is primarily due to the following factors. The programme plan is fully achievable if the FBC due into assurance and approvals on 17 April does navigate first time through the various Boards to be finally approved by HMT on 8 July 2024 leading to a contract signature 26 July 2024.

Cost: The project's departmental-agree Whole Life Cost at 23/24-Q4 is 43m. This is primarily due to the following factors. The FBC is broadly in line with the OBC forecast (OBC was approved by HMT August 2023) but the programme cannot at this point in time provide a final WLC for this Q4 submission; the preferred supplier following an open tender procurement was only identified on 2 April and work to finalise the FBC incorporating these costs is still underway.

Source: IPA Annual Report 2023-24 (data)