Politics · United Kingdom · 8 hrs ago
Scotland awards £35.4m welfare platform contract to Bengaluru firm
Scotland’s government awarded a £35.4 million contract to Bengaluru-based Mphasis to manage and maintain its welfare benefits platform.
The platform delivers payments to around two million people across Scotland.
The decision has drawn criticism because the work is being handled by a company in India, after First Minister John Swinney returned from a trade mission there intended to support jobs and prosperity in Scotland.
Opposition politicians say public contracts should help local businesses and create jobs in Scotland.
Social Security Scotland says contracts are judged equally regardless of where bidders are based, with the award going to the bid offering the best overall value.
The government says the platform needs specialist expertise, while Mphasis says it will focus on continuity and improving efficiency; no further steps are specified.
Scotland awarded a £35.4 million contract to Bengaluru-based IT firm Mphasis to manage and maintain its welfare benefits platform.
The platform delivers benefits to around two million people across Scotland.
The award drew criticism from opposition politicians, who said public contracts should support Scottish businesses and jobs.
Social Security Scotland said bids are assessed equally regardless of location and the contract goes to the bidder offering the best overall value.
Mphasis said it would focus on continuity, operational efficiency and outcomes for individuals and families.
- Who
- The Scottish government awarded the contract to Mphasis, an IT services company based in Bengaluru.
- What
- Mphasis will manage and maintain Scotland’s benefits platform under a £35.4 million contract.
- When
- Not stated
- Where
- Scotland; Mphasis is based in Bengaluru, India.
- Why
- The Scottish government said the platform needs specialist expertise and that contracts are awarded to the bidder offering the best overall value.
Scottish government and Mphasis
Scottish Labour and Conservative critics
Contract award
Scottish government and Mphasis
The government said bids are treated equally regardless of location, with awards based on best overall value. Mphasis said it would maintain continuity and improve operational efficiency.
Scottish Labour and Conservative critics
Critics said public contracts should support local businesses, the Scottish economy and jobs, rather than sending work overseas.
This story does not have a timeline yet.
- Contract value
- £35.4 million
- Contractor
- Mphasis
- Contractor location
- Bengaluru, India
- Platform reach
- Around two million citizens across Scotland
- Contract purpose
- Manage and maintain Scotland’s benefits management platform
1 source
What people are saying
We should be using public contracts like this to boost local business and the Scottish economy and create jobs in Scotland. All too often, under SNP, good work has flowed overseas. SNP ministers should explain why this decision was made.
They send millions to India to help administer their ballooning benefits system. This is taxpayers’ money. And they’re sending it abroad.
Our ongoing relationship with Social Security Scotland allows us to support one of the country’s most critical public service platforms, and our commitment is to maintain continuity, improve operational efficiency and deliver meaningful outcomes for individuals and families across Scotland.
Contracts are awarded in line with the Scottish govt’s procurement guidelines, which state that bids are to be treated equally, regardless of the location.