NHS IT project dealt further blow

NHS hands Fujitsu its marching orders

Thursday, 29, May 2008 12:00

The NHS has terminated its contract with IT provider Fujitsu Services in a major blow to its efforts to transfer much of its work online.

Fujitsu Services was the local service provider for the southern cluster of NHS trusts, providing the IT services which the government hopes will reform the way the NHS works.

Today, however, a Connecting for Health spokesperson said the NHS had been forced to end its contract with Fujitsu Services because of a dispute over the "core Fujitsu contract".

"Work has started immediately on planning the necessary arrangements," the spokesperson said.

"NHS CFH has to continue to protect the interests of the taxpayer and preserve the basis of contracts which ensure payment on delivery.

"We acknowledge the work that Fujitsu has done providing key information services to trusts in the south of England and recognise their commitment to providing a smooth transition to new arrangements."

The Financial Times newspaper said negotiations had broken down over the NHS' insistence it maintain more flexibility than had been the case in the original contract.

Connecting for Health officials must now seek to limit the damage to its electronic patient record programme, which is already running under severe delays.

Earlier this year a National Audit Office report said the scheme, whose completion had been due in 2010, may not be achieved until 2015.