Hampshire health body signs £20m BPO deal

Cross-sector venture for four-year contract

A local health authority has signed a £20m accounting systems deal with two partnered companies in the private and public sectors.

Under the four-year contract, NHS Shared Business Services and Xansa will provide payroll services to Hampshire and Isle of Wight Strategic Health Authority.

The contract, which could bring in a two-year extension worth £10m, will see 14 of the 17 health authority offices move back-end accounting services to centres in Bristol and Leeds.

It is expected that around 160 staff working in Hampshire Shared Financial Services will move to the new system on 1 September when the service goes live.

The health authority will use the national Electronic Staff Records payroll system, which is currently being rolled out across the entire health service.

Alan Butler, director of finance for the health authority, said in a statement: "We will be able to access accurate management information in a more timely manner giving us the opportunity to improve our strategic decision making and focus more resources on patient care."