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Maintain business as usual delivery for 32 000 000 customers and collect 3 000 000 000 GBP (2015-16) per annum in vehicle excise duty. There are compelling business imperatives including the need to continue to be PCI compliant and maintain a fully ...

Contract award notice

Results of the procurement procedure

Services

Directive 2014/24/EU

Section I: Contracting authority

I.1)Name and addresses
Driver and Vehicle Licensing Agency
Longview Road
Swansea
SA6 7JL
United Kingdom
Contact person: James Thomas
E-mail:
NUTS code: UKL18

Internet address(es):

Main address: https://www.gov.uk/government/organisations/driver-and-vehicle-licensing-agency

I.2)Joint procurement
I.4)Type of the contracting authority
Regional or local agency/office
I.5)Main activity
General public services

Section II: Object

II.1)Scope of the procurement
II.1.1)Title:

Payment Gateway Solutions.

Reference number: PS/16/260
II.1.2)Main CPV code
66172000
II.1.3)Type of contract
Services
II.1.4)Short description:

Maintain business as usual delivery for 32 000 000 customers and collect 3 000 000 000 GBP (2015-16) per annum in vehicle excise duty. There are compelling business imperatives including the need to continue to be PCI compliant and maintain a fully supported payment service provider.

DVLA requires a Payment Card Industry (PCI) compliant product that aligns with our customer needs and meets banking standards. It needs to be capable of handling ‘tier 1’ transactional volumes and high peaks in demand.

The Government Solution is to secure a single payment platform for Government. As this solution is currently in Development DVLA need to secure continuity of service.

Given implementation could occur at any time within the next 6-36 months it is impractical to engage with the Market for a solution, as exit and transition to a new solution provider could stretch where a government solution becomes available.

II.1.6)Information about lots
This contract is divided into lots: no
II.1.7)Total value of the procurement (excluding VAT)
Value excluding VAT: 3 000 000.00 GBP
II.2)Description
II.2.1)Title:
II.2.2)Additional CPV code(s)
48110000
II.2.3)Place of performance
NUTS code: UKL18
Main site or place of performance:

Longview Road, Swansea.

II.2.4)Description of the procurement:

- DVLA Systems are integrated with a Payment Service Provider (PSP), which provides a Payment Card Industry (PCI) Data Security Standard (DSS) compliant method for taking payments. The chosen PSP is the Solve Centurion product, currently owned by the Logic Group. This is hosted off DVLA premise, and provides a ‘PCI compliant’ payment capability to the DVLA. Communication to the PSP is through formal web service interfaces published by the Logic Group. The Payment Broker is cloud hosted and provides a common mechanism through which all payment interactions should be routed.

- This will take the contract to the end of the term in August ‘18 (which has an option to come out after two years, the first year was from the date that the first transaction was processed which was Feb '16 and therefore whilst initial approval was extended to Feb '17).

- DVLA requires a Payment Card Industry (PCI) compliant product that aligns with our customer needs (current customer insight provides evidence that 91 % of customers think that payment security is very important) and meets banking standards).

- It needs to be capable of handling ‘tier 1’ transactional volumes and high peaks in demand and to ensure digital take up remains and increases we must have a reliable, trusted online payment method and maintain business as usual delivery for 32 000 000 customers and collect 3 000 000 000 GBP (2015-16) per annum in vehicle excise duty, with further benefits linked to fulfilling the DVLA Payment Strategy in line with customer expectations and providing a re-usable payment capability for other transformation projects to leverage as already evidenced by migrating the Pay a DVLA Fine service onto the platform.

- As Solve Centurion is owned by the Logic Group the product is fully supported by them. There are compelling business imperatives including the need to continue to be PCI compliant to maintain a fully supported payment service provider.

- This service will support Vehicle Tax, Personalised Registration and Pay a DVLA Fine services with scope to expand further over the contract duration.

The Government Solution is to secure a single payment platform for Government. As this solution is currently in Development DVLA need to secure continuity of service.

Given implementation could occur at any time within the next 6-36 months it is impractical to engage with the Market for a solution, particularly as exit and transition to a new solution provider could stretch into the period where a government solution becomes available.

The strategy therefore is to contract with the existing supplier with exit provision in place to take up the government solution as it becomes available.

II.2.5)Award criteria
Price
II.2.11)Information about options
Options: no
II.2.13)Information about European Union funds
The procurement is related to a project and/or programme financed by European Union funds: no
II.2.14)Additional information

Section IV: Procedure

IV.1)Description
IV.1.1)Type of procedure
Award of a contract without prior publication of a call for competition in the Official Journal of the European Union in the cases listed below
  • No tenders or no suitable tenders/requests to participate in response to restricted procedure
  • The works, supplies or services can be provided only by a particular economic operator for the following reason:
    • absence of competition for technical reasons
Explanation:

Contract result of unification of existing ongoing contracts to achieve significant efficiency savings through reduced transactional costs, service management fees and other fixed and variable cost reductions. Existing contract terms and services maintained.

IV.1.3)Information about a framework agreement or a dynamic purchasing system
IV.1.6)Information about electronic auction
IV.1.8)Information about the Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement: yes
IV.2)Administrative information
IV.2.1)Previous publication concerning this procedure
IV.2.8)Information about termination of dynamic purchasing system
IV.2.9)Information about termination of call for competition in the form of a prior information notice

Section V: Award of contract

Title:

Payment Gateway Services

A contract/lot is awarded: yes
V.2)Award of contract
V.2.1)Date of conclusion of the contract:
01/05/2017
V.2.2)Information about tenders
Number of tenders received: 1
The contract has been awarded to a group of economic operators: no
V.2.3)Name and address of the contractor
The Logic Group
02283418
Logic House, Waterfront Business Park, Fleet Road, Hampshire
Fleet
GU51 3SB
United Kingdom
NUTS code: UKJ36
The contractor is an SME: no
V.2.4)Information on value of the contract/lot (excluding VAT)
Initial estimated total value of the contract/lot: 3 000 000.00 EUR
Total value of the contract/lot: 3 000 000.00 EUR
V.2.5)Information about subcontracting

Section VI: Complementary information

VI.3)Additional information:

Contract result of unification of existing ongoing contracts to achieve efficiency savings through reduced transactional costs, service management fees and other fixed and variable costs.

VI.4)Procedures for review
VI.4.1)Review body
Driver and Vehicle Licensing Agency
Swansea
United Kingdom
VI.4.2)Body responsible for mediation procedures
VI.4.3)Review procedure
VI.4.4)Service from which information about the review procedure may be obtained
VI.5)Date of dispatch of this notice:
27/07/2017