AWS to win £1.05 billion UK Home Office cloud services contract renewal
Amazon Web Services is set to secure a renewal of its public‑cloud services contract with the UK Home Office valued at £1.05 billion, including VAT, for the period December 1 2027 to December 1 2029 with an optional two‑year extension. Excluding VAT the contract is worth £881.6 million. The deal would raise the Home Office’s annual spend on AWS to roughly £220 million if the full four‑year term is realised, up from the £450 million contract awarded in 2023.
Why it matters
AWS expects the renewed contract to increase its UK government revenue to about £220 million per year, enhancing its public‑sector cash flow from 2027 onward. The larger contract also reinforces AWS’s dominant share of UK government cloud spending.
Key facts
- 1The contract renewal is valued at £1.05 billion including VAT. datacenterdynamics.com
- 2Excluding VAT, the contract value is £881.6 million. datacenterdynamics.com
- 3The contract period runs from December 1 2027 to December 1 2029, with a possible two‑year extension. datacenterdynamics.com
- 4Annual spend could rise to £220 million if the contract covers the full four‑year term. datacenterdynamics.com
- 5AWS previously held a Home Office contract worth about £450 million in 2023. theregister.com
- 6AWS commands roughly 75 percent of UK government cloud‑spending, according to BidSkim. datacenterdynamics.com
Summary written by AlphAI AI Desk from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.