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PUBLIC SECTOR
Procurement officials promise to police the scandal-hit supplier's voluntary bidding moratorium
The UK government has told MPs that Fujitsu has promised not to pursue contracts with new public sector customers through frameworks potentially worth billions of pounds while its voluntary bidding moratorium remains in place.
In July, The Register revealed that the Japanese supplier had won a place on a UK government framework worth up to £14.9 billion despite its role in the Post Office Horizon scandal, one of the greatest miscarriages of justice in modern times. The supplier's place on the Digital Outcomes and Specialists 7 (DOS7) framework came after it won spots on two other frameworks, including Technology Services 4, worth up to £19.08 billion, and Transport Technology worth around £2.3 billion.
In January 2024, Fujitsu voluntarily committed to stop bidding for contracts with new government customers until the public inquiry into the Horizon scandal had concluded.
After Fujitsu secured places on the three government frameworks, House of Commons Business and Trade Committee chair Liam Byrne wrote to the government seeking assurance that the company would not use them to pursue work from new public sector customers. He also asked what discussions the government had held with Fujitsu about its participation and compliance with the moratorium.
Horizon is an EPOS and back-end finance system that was first implemented in the 1990s by ICL, a UK tech firm majority-owned by Fujitsu at the time and fully acquired in 1998. It has since undergone two upgrades.
Between 1999 and 2015, the Post Office prosecuted 700 subpostmasters in cases in which Horizon evidence may have featured, while almost 300 more cases were brought by other bodies. Hundreds were wrongfully convicted, devastating lives in the process. A statutory inquiry into the scandal was launched in 2021 and remains ongoing. The inquiry's first report said the families of at least 13 people believed their deaths by suicide were linked to their experiences with Horizon and the Post Office.
Fujitsu has apologized for its role in the scandal.
Frameworks are procurement vehicles that let public bodies buy from pre-approved suppliers under agreed terms, although a place on one does not guarantee any work. The Government Commercial Agency (GCA) – which replaced the Crown Commercial Service – is the Cabinet Office agency that manages the framework and receives a 1 percent levy on sales made through it.
In a letter published this week, Cabinet Office Parliamentary Secretary Mark Ferguson said: "While appointment to a GCA framework, such as DOS7, places a supplier on a list of approved providers, Fujitsu has assured the GCA that its voluntary moratorium fully applies to call-off contract opportunities that arise via its participation on GCA frameworks. Consequently, inclusion on a framework does not override Fujitsu's commitment not to seek work with new public sector customers."
He added that the GCA monitors Fujitsu's compliance with its self-imposed bidding restrictions and that agency officials were in regular contact with the company to oversee its framework activity.
"To date, GCA can confirm that Fujitsu have kept to these self-imposed restrictions," Ferguson wrote.
In April 2025, The Register revealed that Fujitsu had won a £125 million contract to build Northern Ireland's new land registry system for the Department of Finance, a new government customer, more than a year after its voluntary moratorium came into effect.
At the time, a spokesperson for Fujitsu told The Register: "Fujitsu was named preferred bidder for this contract in 2023, before the voluntary restrictions came into place."
Fujitsu's 2024 letter said the company would assess its continued involvement in procurements that were already underway when the moratorium began. However, it also said Fujitsu would bid for work with a new government customer only if asked to do so.
Fujitsu said it had been named preferred bidder for the Northern Ireland contract before introducing the restrictions. The Northern Ireland government subsequently confirmed to The Register that it had not asked the company to continue bidding. Ferguson's letter does not explain how that award was reconciled with Fujitsu's undertaking.
The Register has asked the Cabinet Office for clarification. ®
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