FUTURE SUPPLIERS SERVICES

Rating: Compared to financial year 23/24-Q4, the Delivery Confidence Assessment rating at 24/25-Q4 increased from AMBER to GREEN. This is primarily due to the following factors‚ As of 31st March 2025, the majority of delivery was complete with only a few key milestones left to be achieved. Handover to Live Services (including the remaining activities for Bio-Kit Only locations as agreed) and closure activities were on track to complete by the Programme closure date as planned. As of 30th May 2025 the Future Supplier Services Programme has successfully completed delivery and handover, and the Programme formally closed as planned.

Schedule: Compared to financial year 23/24-Q4, the project's end-date at 24/25-Q4 increased from 28/10/2024 to 30/05/2025. This is primarily due to the following factors‚ The conclusion of the Visa and Citizenship Application Service (VCAS) procurement was delayed due to a legal challenge to the procurement outcome by a bidder (which was later dropped). The Programme was expected to award contracts in July 2023, however the legal challenge put a suspension on the contract awards for three of the five contracts. FSS was able to award one contract in August 2023 and was successful in October 2023 in lifting the suspension of award in the remaining contracts. Once all five contracts had been awarded, the Programme worked closely with the new commercial partners at detailed implementation planning and revisited its delivery timelines, shifting Programme closure to March 2025. A Portfolio Change Request in July 2024 included an additional two months of Early Life Support resulting in Programme closure timelines extending to May 2025.

Cost: Compared to financial year 23/24-Q4, the project's departmentally agreed Whole Life Cost at 24/25-Q4 (measured in £m) increased from 423 to 528. This is primarily due to the following factors‚ The majority of this increase is driven by increased customer volumes attributable to Business as Usual (BAU) budgets. The repricing of the deals accordingly has led to a slightly improved unit price given economies of scale. Per the Full Business Case (FBC), all of that spend is volume related and part of BAU budgeting once the Programme has ended. The arrangements are net positive for the department, i.e. as volumes increased, Regulated Fees are greater than the VCAS contracts will cost. A minority of the increase is in implementation Milestone Charges attributable to the Programme budget. These are the charges payable to the new Suppliers and are driven primarily by the uplift in volumes (need for bigger premises etc), and to a lesser extent by the delay due to the procurement challenge, uplift to Security Requirements and other minor changes. The remainder of the increase is a mix of Programme delivery cost and contingency also only attributable to the Programme budget. This is driven by a combination of delay and customer volume, emergent costs (Exit) and a small amount of additional scope in work approved by Programme Board to ensure the benefits set out in the FBC are maximised. The change was approved by the Departmental Investment Committee in October 2024.

Source: NISTA Annual Report 2024-25 (data)

Rating: Compared to financial year 22/23-Q4, the Delivery Confidence Assessment rating at 23/24-Q4 remained at Amber(SRO rating). This is primarily due to the following factors. In response to the last IPA gateway review, the programme has boosted its resource and capabilities to enable successful delivery. The programme has collaborated with key stakeholders to produce a TOM as contracts are mobilised and operationalised. The programme has dedicated DDAT resources for the implementation phase. To prevent service disruption, an NGOV extension is being finalised with incumbent suppliers. The programme is ramping up for business readiness and collaboration with operational and commercial colleagues for successful service transition.

Schedule: Compared to financial year 22/23-Q4, the project's end-date at 23/24-Q4 remained schedule to finish on 2024-10-28. This is primarily due to the following factors. Baselines remain unchanged, the programme are continuing to monitor all aspects of delivery and forecasts will be updated to reflect any movement.

Cost: Compared to financial year 22/23-Q4, the project's departmental-agree Whole Life Cost at 23/24-Q4 decreased from 637m. to 423m. This is primarily due to the following factors. The programme remains within the FBC envelope.

Source: IPA Annual Report 2023-24 (data)