The Department of Work and Pensions kick started 2010 by announcing that Fujitsu was the preferred bidder for a lucrative desktop management deal. HP acquired EDS had been hoping to regain the contract. Fujitsu secured the deal in February with the DWP opting for a thin client set up of Fujitsu Siemens, EMC, Citrix, Microsoft and Appsense technology.

Much of the groundwork for next-generation IT at the DWP was kick-started  in 2008 when the Department set out its stall by seeking suppliers for about £3bn worth of IT outsourcing deals. Appointing the right suppliers remains an ongoing task with tenders for the contract for application development and maintenance being issued in August 2009.

In January 2010 the DWP Chief Operating Officer claimed in an IT conference that the department had cut £1.5bn from its IT budget in the last five years through technologies such as virtualisation, standardised desktop and architecture and VoIP.

The moves should water down EDS's (now HP's) dominance at the DWP and continue the modernisation process that has seen the DWP refresh CRM, telephony, networks and other infrastructure as well as updates to core applications in the last few years.

Elsewhere, like all government agencies, the DWP is pushing the envelope on shared services and singing the praises of re-use and value.