National Highways, the government-owned agency responsible for managing the UK's motorway and major A road networks, has recently finalised two significant contracts with Oracle, valued at nearly £40 million in total. Official documents published indicate that these long-term agreements commenced on 13 November and could extend until 2032.
The primary contract, valued at approximately £28.2 million, involves the provision of Oracle's proprietary enterprise resource planning (ERP) software. This software is designed to enhance operational efficiencies through better resource management. This encompasses a range of financial and project management functionalities crucial for a body managing extensive transport infrastructure.
In addition, National Highways has entered into an eight-year agreement costing over £10.7 million for Oracle's work and asset cloud services module, which integrates seamlessly with the ERP software. This service is intended to improve asset management capabilities, enabling the agency to better track and manage its resources.
Previously known as Highways England until a rebranding in 2021, National Highways operates independently, overseeing a significant portion of the UK's road transportation framework under the aegis of the Department for Transport.
The recent contracts follow a productive year for Oracle in UK government procurement. The company, in collaboration with IBM, has been awarded a substantial 10-year contract to serve as the core shared-services software partner for four major government departments: the Home Office, the Ministry of Justice, the Department for Environment, Food and Rural Affairs, and the Department for Work and Pensions, which leads the procurement process. This overarching contract could see Oracle and IBM receiving up to £850 million cumulatively.
In addition, earlier this year, the Ministry of Defence and the Ministry of Justice also engaged Oracle for services and software, amounting to a collective investment of £100 million. Meanwhile, the Department for Work and Pensions consolidated its engagements with Oracle into a single agreement worth £50 million.
As these contracts are set to support future trends in AI and automation within the infrastructure sector, their implications for improving efficiency and accountability in public services remain of substantial interest to industry observers and stakeholders alike.
Source: Noah Wire Services