§ Earl Russellasked Her Majesty's Government:
Whether the only companies invited to tender for the CSA computer service were EDS and Lockheed, and whether it is correct that both are owned by General Motors.
§ Lord Mackay of ArdbrecknishNo. While EDS is the prime supplier of IT systems development and support requirements for the CSA, the Child Support Agency's computer system consists of several elements. EDS and Lockheed were the only companies invited to tender for the operational accounting element of the system. Lockheed IMS is a wholly owned subsidiary of the Lockheed Martin Corporation. EDS Scicon was owned by General Motors but this is no longer the case: they became an independent public company on 10th/11th June 1996.
§ Earl Russellasked Her Majesty's Government:
Whether they are satisfied with the computer service provided by EDS to the Child Support Agency (CSA) and whether they will undertake to give no further contracts to EDS until they are satisfied.
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§ Lord Mackay of ArdbrecknishEDS is the prime contractor for the development of the Child Support Agency's computer system. EDS has consistently met the user acceptance criteria for each contract awarded.
EDS is also contracted to provide live service support for the Child Support computer system to specified standards of availability; response times; and output handling and dispatch. On all three EDS meet or exceed the customer requirement and provide a satisfactory level of service.
Public sector procurement is governed by EC directives which ensure fair and open competition and which result in the selection of the supplier whose bid offers the most economically advantageous deal. The department cannot speculate as to the outcome of any future procurement exercise.