AWS Set to Win £1B UK Home Office Cloud Contract

The UK Home Office is set to award a cloud services contract worth over £1 billion to Amazon Web Services (AWS). The contract, which is expected to run from December 2027 to December 2029, with a possible extension to December 2031, has an estimated value of £881,621,007. Once VAT is included, the total value exceeds £1 billion.

The contract is for the renewal of the department's public cloud services, to meet its current and future hosting needs. A planning notice for the contract was published on October 30, and a market engagement event for suppliers on the G-Cloud 15 Lot 1A procurement framework is scheduled for December 8.

AWS won the existing contract with the Home Office in 2023 for about £450 million. The Home Office does not comment on ongoing procurement, including the names of other bidders.

## Why it matters The awarding of this contract comes at a time when digital sovereignty is becoming a bigger issue in the UK and across Europe. There are concerns that US authorities have cut off access to American technology for political reasons, and a survey found that many European firms are afraid of relying on US tech. The UK Home Office's decision to award the contract to AWS, a US-based company, may raise questions about the country's dependence on foreign technology.

The contract is significant not only because of its value but also because of its duration. The contract is expected to run for at least two years, with a possible extension to four years. This means that the UK Home Office will be relying on AWS for its cloud services for an extended period, which could have implications for the country's digital infrastructure.

## What happens next The market engagement event on December 8 will give bidders the chance to pitch for the contract. Although the Home Office has not commented on the names of other bidders, it is likely that other companies will be vying for the contract. The outcome of the bidding process will be closely watched, given the significance of the contract and the concerns surrounding digital sovereignty.