Blackburn with Darwen Council spends £2m on new IT licences

Blackburn with Darwen Council spends £2m on new IT licences

  • 03.06.2025 05:03
  • lancashiretelegraph.co.uk
  • Keywords:

Blackburn with Darwen Council spent £2 million on new Microsoft IT licences, part of a three-year contract with Phoenix Software at an annual cost of £670,000. The deal includes enhanced security, analytics, and cloud services to improve digital collaboration and efficiency across the council.

Microsoft ProductsMSFTsentiment_satisfied
open_in_newOriginal article

Estimated market influence

Blackburn with Darwen Council

Positivesentiment_satisfied
Analyst rating: N/A

Spending £2m on new IT licences, enhancing digital working and collaboration tools.

Microsoft

Microsoft

Positivesentiment_satisfied
Analyst rating: Strong buy

Providing M365 E5 licences, enhancing digital transformation and innovation for the council.

Phoenix Software

Positivesentiment_satisfied
Analyst rating: N/A

Managing the new three-year contract for Microsoft licences.

Crown Commercial Services

Positivesentiment_satisfied
Analyst rating: N/A

Negotiated a new five-year agreement with Microsoft for public sector organisations.

Context

Analysis of Blackburn with Darwen Council's £2m IT Licence Investment

Key Facts and Data Points

  • Total Investment: Blackburn with Darwen Council is spending over £2 million on new Microsoft licences for its IT systems.
  • Contract Details:
    • A three-year agreement with Phoenix Software was approved by Cllr Shaukat Hussain, the council's digital boss.
    • Annual cost: £670,000.
  • Licence Model:
    • Transitioning to Microsoft's M365 E5 licensing model, effective from July 2021.
    • The agreement runs until June 2025.

Market Implications

  • Shift to Modern IT Solutions: The council is adopting a more comprehensive digital strategy by moving to M365 E5, which bundles essential Microsoft products (e.g., email, Excel, Word) with advanced features.
  • Cost Efficiency:
    • The new agreement reduces costs by bundling licences, avoiding the prohibitive expense of purchasing individual licences.
    • Crown Commercial Services negotiated a five-year agreement with Microsoft, effective November 2024, offering public sector discounts and streamlined procurement.
  • Enhanced Capabilities:
    • Security: Advanced Threat Protection, Identity and Access Management, and Cloud Security.
    • Data Governance: Auto classification and labelling for improved data management.
    • Analytics: Enhanced analytics capabilities for data-driven decision-making.

Competitive Dynamics

  • Strategic Advantage: By leveraging Microsoft's suite, the council is aligning with industry trends towards digital transformation and collaboration tools like Microsoft Teams.
  • Efficiency Gains: The council aims to optimize licence usage, potentially reducing costs by adjusting allocations annually.

Long-Term Effects and Industry Impact

  • Workforce Productivity: The new licences will provide staff with improved tools, enhancing efficiency and collaboration.
  • Data-Driven Decisions: The council expects to harness high-quality data for informed decision-making, improving service delivery.
  • Alignment with Public Sector Trends: The move reflects a broader shift in the public sector towards cost-effective, scalable digital solutions.

Conclusion

Blackburn with Darwen Council's investment in Microsoft licences represents a strategic move to modernize IT infrastructure, enhance security, and improve operational efficiency. The agreement underscores the importance of digital transformation in local government, leveraging economies of scale and advanced tools to achieve cost savings and better service delivery.