Capgemini fined for tax credits outage

But Paymaster General says only 18 hours downtime out of 14,000 hours of contracted time

Written by Parliamentary reporter

Capgemini has been fined nearly £4.5 million for more than 18 hours of 'unscheduled online service disruption' affecting HM Revenue and Customs' tax credit IT system since taking over the department's Aspire contract in 2004.

The figure was disclosed by Paymaster General Dawn Primarolo in reply to Commons questions from Liberal Democrat work and pensions spokesman David Laws.

Primarolo claimed the service credits 'represent a very small proportion' of the annual cost of the contract 'and are commensurate with the low-level technological problems that are typically experienced in service delivery of this size, complexity and value'.

Primarolo said the disruption compared with nearly 14,000 hours contracted time, that 16 hours fell within the first year and that last year [2006] no hours were lost.

The company has been refunded £270,000 for earlier overpayments relating to service system credits.

Tags:

reader comments

related articles

Revenue glitches causes pensions upset

Primarolo admits delays linking tax returns to National Insurance and incorrect Deficiency Notices 06 Feb 2007

 

Revenue systems mislay millions

NAO finds £900m discrepancy, department says systems will be reconciled by next month 29 Jun 2006

Review 2007: Government IT

Computing looks back at the highs and lows of a year in public sector technology 19 Dec 2007

Huge payoff for HMRC boss Gray

Former chairman gets £137,000 lump sum as part of his payoff on leaving HM Revenue & Customs after the discs affair 16 Jul 2008

Bonus payouts for HMRC staff that lost benefit discs

Bonuses have gone up by 70% compared to the £11m in the previous year, despite seven data breaches since April 2005 10 Jan 2008

related whitepapers

today's top stories

Technology and privacy

Watch part one of a two-part Computing roundtable debate on the importance of putting data privacy issues at the heart of your IT plans 01 Dec 2008

Got the Knowledge?

Last week the civil service published a new strategy to help government seize the opportunities and meet the challenges of managing knowledge... 01 Dec 2008

Q&A - ntl:Telewest Business managing director Stephen Beynon

The cable provider's chief talks about the future of next-generation broadband access in the UK 28 Nov 2008

Computing podcast - Standard Life's offshoring plans; and the prospects for government IT

The insurance giant outlines its new outsourcing strategy; and we ask if the government's economic bailout will affect its IT plans 28 Nov 2008

India will remain open for business - but that's not the real story

One of the duties I have to fulfil as a director of the National Outsourcing Association is to talk to the media... 28 Nov 2008

Advertisement

Newsletter signup

Sign up for our range of FREE newsletters:

Existing User

Newsletter user login:

Advertisement

Jobs

Related jobs

Job of the week

Job alerts

Sign up here

Find your next job

IT Salary Checker

Check salary here

Advertisement

White papers

Search white papers

Top categories

VPN, Extranet and Intranet Solutions

WAN/ LAN Solutions

Network Security

Interoperability-Connectivity

Grid/ Utility Computing

Latest poll

Will the terrorist attacks in Mumbai affect your offshoring plans?

Will the terrorist attacks in Mumbai affect your offshoring plans?

Is India becoming a risky destination?

Previous poll results

Latest audio and video articles

Padlocked CDVideo

Technology and privacy

Watch part one of a two-part Computing roundtable debate on the importance of putting data privacy issues at the heart of your IT plans 01 Dec 2008

Podcast imageAudio

Computing podcast - Standard Life's offshoring plans; and the prospects for government IT

The insurance giant outlines its new outsourcing strategy; and we ask if the government's economic bailout will affect its IT plans 28 Nov 2008

Latest in-depth articles

ntl:Telewest's Stephen BeynonAnalysis

Q&A - ntl:Telewest Business managing director Stephen Beynon

The cable provider's chief talks about the future of next-generation broadband access in the UK 28 Nov 2008

cowboyFeatures

Guns for hire

David Neal explores the world of interim CIOs and discovers why more firms are turning to them to spur on IT-led change 27 Nov 2008

Advertisement

Primary Navigation