Civil servants promised big savings to taxpayers after agreeing a contract with Interserve to consolidate operations across six government departments.
The FTSE 250 group today announced a deal with the departments that will be worth £40m over five years, which "hopes to achieve annual double-digit cost savings".
John Manzoni, the chief executive of the civil service, was glowing about the impact of the new contract: "Thanks to the efficiencies that our partnership with Interserve will deliver, we will achieve consistent service level across the estate whilst bringing savings; ensuring we are delivering real value to taxpayers.”
The boss of Interserve, Adrian Ringrose praised the "excellent relationships" his firm had with the government.
A broad range of services are to be provided which include catering, security and electrical maintenance.
The departments involved in the new deal are: the cabinet office, the department for international development, the food standards agency, the government actuary’s department, the health and safety executive and the office for standards in education, children’s services and skills.