Somerset County Council to renegotiate PPP contract with IBM

Following various reviews the County Council has decided to renegotiate the public private partnership contract with IBM and Mouchel just three years into the ten-year £400m contract. The Council wishes to bring some services and functions back in-house, change the governance of the JVC, achieve further savings and simplify the contract. The Council considered terminating the contract but this was ruled out because of early termination financial penalties and significant transition costs. The contracts with Taunton Deane DC and Avon and Somerset Police Authority are not affected by this decision.