Last year’s survey revealed that 21 percent of government respondents and 10 percent of suppliers expected G-Cloud spend to exceed £100 million. These optimists have since been proven right with actual spend for the year expected to exceed expectations. Peter Middleton from the G-Cloud Team at the Cabinet Office recently revealed that G-Cloud sales up until end of February were £124m and would top £200m by June.
“The GCloud team’s promotion of GCloud plus the ‘Cloud First’ mandate have helped to generate confidence in the service and boost sales among Central Government, in turn making suppliers more optimistic about the capabilities of G-Cloud into the future.”
Jane Roberts, Toplevel's Strategy Director
Delegates were invited to cast their vote at Think Cloud for Government 2014 in March and were able to view the survey results “live” on the Toplevel stand in perspex voting chambers. The majority of government respondents expected spend for the year to be in the mid-range of between £300-599 million. Of the remainder, 23.5 percent voted for the lower bracket of £0-299m and 6 percent for £600 million or over.
Year-on-year, the results show that Government remains highly optimistic. The ranges used bear comparison, with the lower and mid ranges twice the previous years spend and the upper range five times that of the previous years spend.
“These results show a substantial rise in the number of Government delegates voting for the mid-bracket suggesting that many remain confident in the system and expect spend to increase. Sales to date are still weighted, with Central Government responsible for 78 percent of sales by value, with the wider public sector generating 22 percent. The real challenge for the G-Cloud lies in reaching out to thousands of other government organisations, challenging established practices and convincing these organisations that the Cloudstore is for them.”
G-Cloud 4 now has 999 suppliers up from 708 and offers over 7,000 services. G-Cloud suppliers remained fairly constant in their attitudes to spend, with 36 percent voting for between £0-299 million and 56 percent voting for between £300-599 million. Compared to Government delegates, however, a quarter more suppliers elected to vote for the top bracket, with 8 percent believing spend would be in excess of £600 million. The constancy in these figures suggests the G-Cloud platform is now perceived to be a reliable and proven channel for generating sales, with the potential to deliver substantial sums in the future.
“Suppliers are striving to make the G-Cloud a success but they also need the platform to continue to evolve. Contracts are currently limited to two years and were described as ‘heavyweight’ and ‘onerous’ by delegates at the event. These views mirror those raised in an open letter to the Government penned by suppliers on 9 January which praised the G-Cloud concept but also called for contracts to be extended to three years.”
Actual spend to date
Results have yet to be released for the fiscal year but estimates suggest total Cloudstore sales for 2013/14 will be between £106m-£150m compared to £18.2 million last year. Furthermore, recent reports claim year-on-year growth of 999.6% between Q4 2012 with Q4 2013. Large contracts were awarded during the year from the Home Office, HM Revenue and Customs and the Cabinet Office with local councils also starting to buy-in to the concept, with the London Borough of Hounslow Council and Wigan Metropolitan Borough Council among those placing large orders.
“It’s easy to forget that G-Cloud is just two years old because it’s impact has been huge; effectively it has revolutionised the procurement process for government. At its inception, many doubted it would reach its financial targets and yet these have been exceeded. Moreover, the current figures do not allow for projects that have yet to be invoiced. Large systems integrators at the event pointed out the true value of contracts is much higher as the published figures only show how much has been invoiced. Clearly G-Cloud is succeeding in its remit to offer an open market that benefits industry, fosters innovation and provides the public sector with competitive solutions.”
Toplevel offers a range of GCloud Software-as-a-Service (SaaS) solutions which enable staff to assess and process applications, claims and returns more quickly and accurately. All services are based on Microsoft technology, including the latest version of Toplevel Outreach which now incorporates seamless web support for mobile devices and SQL server reporting, and are offered over the Cloudstore in partnership with Bramble.cc Ltd.
Toplevel specialise in secure digital service solutions for UK government. We are experts in creating secure case management systems with end-to-end staff processes, coupled with 24x7 online portals for customers, suppliers and partner organisations. Outreach, our flagship solution, is an integrated customisable case management and process automation software solution offering easy-to-use structured data collection, business rules, guidance, approvals, e-signatures, case creation, workflow/BPM, resource booking, multi-channel communications and document publishing.
We have delivered projects on behalf of national government agencies across the UK including the Ministry of Justice (Legal Aid Agency), Arts Council England, Heritage Lottery Fund, Commonwealth Scholarship Commission and Environment Agency. As a G-Cloud Framework supplier, we also promote and support collaborative working practices in e-recruitment, grant applications, online bookings, CRM, statutory/claims/activity reports, multiple agency and staff reach. Toplevel offer the highest levels of certification and compliance including ITIL V3 accreditation and ISO 27001 certification. To find out more, please go to: toplev.com, search LinkedIn /company/toplevel or follow us on Twitter at ToplevelGov.