Huge savings of £100,000 every year for the next six years will be made by council bosses after they switched their IT provider.
Gloucester City Council will reduce the costs of all its IT facilities from £739,000-per-year plus £69,000 in-house costs to just £575,000-per-year.
Private firm Civica won the lucrative contract, which can be extended by another two years if both parties agree.
Councillor Colin Organ, cabinet member for housing and leisure, said: “We will achieve huge savings without the loss of any standards in our services. We have already got a good relationship with the company.”
Fellow councillor Jennie Dallimore, cabinet member for communities and neighbourhoods, said: “Without our IT facilities we would be lost so I am very happy about this contract. At this time it is very important that we make savings too.”
The new contract will come into effect from March 1 if a full meeting of city councillors approves the cabinet decision when it meets next week on Thursday.
Councillor Fred Wood, cabinet member for performance and resources, who put the decision before councillors at a meeting this evening, said: “I am sure we can all agree that it makes economical sense and will deliver the services we need.”
A termination clause has been added into the contract in case of a ‘serious breach’ in the services.