CSC pockets £68m in truce over NHS patient database fiasco

Waves goodbye to original £2.9bn contract


CSC and the UK government have reached a truce over the company's central patient database cock-up: both sides have agreed to a more flexible contract until 2016 and to shelve any potential litigation.

The corporation and the Department of Health (DoH) have been at the negotiating table for months now over the bungled delivery of CSC's £2.9bn Lorenzo system, a health care record system.

Under the terms of the deal, the integrator still has access to up to £1.9bn in patient database orders from NHS trusts, but there is no guarantee it will bag them.

CSC said: "The agreement includes full mutual releases of all claims between the parties through the date of the agreement. Under the new agreement the NHS will not be subject to trust volume commitment and CSC has agreed to non-exclusive deployment rights in its designated regions.

"Trusts will receive ongoing managed services from CSC for a period of five years from the date of Lorenzo deployment by a trust, provided deployment is complete or substantially complete by July 2016."

CSC will pocket £68m from the government for work delivered to date but this pales into insignificance compared to the initial size of the project signed in 2002.

The DoH said CSC's one time "exclusive rights to be the only provider of clinical IT systems in the North, Midlands and East of England have been removed".

It added that NHS organisations will also no longer be beholden to volume commitments to use Lorenzo and "will have the freedom to decide what IT systems are most suitable for their needs".

CSC will remain responsible for deploying Lorenzo Electronic Patient Record system currently in use by 10 NHS bodies in the three regions of England. ®

Similar topics

Narrower topics


Other stories you might like

  • Stolen university credentials up for sale by Russian crooks, FBI warns
    Forget dark-web souks, thousands of these are already being traded on public bazaars

    Russian crooks are selling network credentials and virtual private network access for a "multitude" of US universities and colleges on criminal marketplaces, according to the FBI.

    According to a warning issued on Thursday, these stolen credentials sell for thousands of dollars on both dark web and public internet forums, and could lead to subsequent cyberattacks against individual employees or the schools themselves.

    "The exposure of usernames and passwords can lead to brute force credential stuffing computer network attacks, whereby attackers attempt logins across various internet sites or exploit them for subsequent cyber attacks as criminal actors take advantage of users recycling the same credentials across multiple accounts, internet sites, and services," the Feds' alert [PDF] said.

    Continue reading
  • Big Tech loves talking up privacy – while trying to kill privacy legislation
    Study claims Amazon, Apple, Google, Meta, Microsoft work to derail data rules

    Amazon, Apple, Google, Meta, and Microsoft often support privacy in public statements, but behind the scenes they've been working through some common organizations to weaken or kill privacy legislation in US states.

    That's according to a report this week from news non-profit The Markup, which said the corporations hire lobbyists from the same few groups and law firms to defang or drown state privacy bills.

    The report examined 31 states when state legislatures were considering privacy legislation and identified 445 lobbyists and lobbying firms working on behalf of Amazon, Apple, Google, Meta, and Microsoft, along with industry groups like TechNet and the State Privacy and Security Coalition.

    Continue reading
  • SEC probes Musk for not properly disclosing Twitter stake
    Meanwhile, social network's board rejects resignation of one its directors

    America's financial watchdog is investigating whether Elon Musk adequately disclosed his purchase of Twitter shares last month, just as his bid to take over the social media company hangs in the balance. 

    A letter [PDF] from the SEC addressed to the tech billionaire said he "[did] not appear" to have filed the proper form detailing his 9.2 percent stake in Twitter "required 10 days from the date of acquisition," and asked him to provide more information. Musk's shares made him one of Twitter's largest shareholders. The letter is dated April 4, and was shared this week by the regulator.

    Musk quickly moved to try and buy the whole company outright in a deal initially worth over $44 billion. Musk sold a chunk of his shares in Tesla worth $8.4 billion and bagged another $7.14 billion from investors to help finance the $21 billion he promised to put forward for the deal. The remaining $25.5 billion bill was secured via debt financing by Morgan Stanley, Bank of America, Barclays, and others. But the takeover is not going smoothly.

    Continue reading

Biting the hand that feeds IT © 1998–2022