Cabinet Office Replacing PHRF Systems

May 30, 2014

The Cabinet Office has revealed it is seeking a replacement for the current Payroll, Human Resources and Finance Services (PHRF) used by the UK public sector.

A pre-tender published earlier this week notes that the opportunity will be worth between £50m and £200m for prospective bidders.

According to the notice, the Crown Commercial Service (CCS) intends to create a framework agreement for providing managed services.

These will include back office tasks such as payroll, human resources, accounting and financial services, as well as elements of purchase to pay.

During the week beginning 30th June, CCS will host a supplier workshop in Norwich, intending to outline contracting terms and the best possible commercial model for the new services.

The pre-tender also explains that the current PHRF contracts expire on 1st December 2015, at which point the new systems will replace it.

PHRF To Be Used Across Public Sector

The services are to be specially designed for local public sector bodies in the areas of healthcare, policing and education.

Because of this, the notice claims that the systems must be able to meet a diverse range of requirements, as well as differing adoption rates.

“It is envisaged that a range of suppliers and services will be required to meet these requirements,” says the document.

It adds that such complex needs may include the systems being available separately or integrated, “ranging from bureau type helpdesk services with access to software, through to full-managed, outsourced provision.”

“CCS wishes to carry out market engagement to test assumptions behind the above proposed services and shape the optimal structure to achieve the commercial aims of this procurement,” says the pre-tender.




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