Nicholas Soames MP has today welcomed the announcement by the Secretary of State for Transport, Patrick McLoughlin MP, that the Driver and Vehicle Licensing Agency (DVLA) has awarded a new seven year contract to the Post Office to provide DVLA’s services from their post office network.

DVLA-related services at the Post Office will expand to include services currently only offered through DVLA local offices. There is also scope for the provision of other Government services through the post office network.

Patrick McLoughlin MP commented; “I congratulate the Post Office and I am confident they will deliver an excellent service to motorists
throughout the country.

“This contract also provides value for money for the taxpayer, resulting in savings of between £13 million and £15 million a year and demonstrates how serious we are about making savings within Government.”

“Welcoming the decision, Nicholas Soames commented; “Today’s announcement is great news. Local Post Offices sit at the heart of our community life and are much valued, and this decision will make life easier for everyone who drives in Mid Sussex.

“I congratulate the Sub Post Masters across Mid Sussex whose commitment to delivering essential services and supporting local communities is second to none.”

Notes

• The contract will result in savings of up to £15 million a year. Worth in the region of £450 million the contract will result in savings of between £13 million and £15 million a year (DVLA Press Release, 13 November 2012).
• DVLA services will be offered at over 4,700 outlets and will include new licensing transactions. Under the contract, the Post Office will initially offer DVLA services at over 4,700 outlets (as currently) for road tax and vehicle transactions, 750 of which will also cater for driver licensing transactions. Depending on the demand for similar services across Government, the Post Office is likely to offer these services at more of their outlets (DVLA Press Release, 13 November 2012).
• The contract includes an option for extension. The seven year contract will run from 1 April 2013 until 31 March 2020, with the option of an extension for up to three years (DVLA Press Release, 13 November 2012).
• The contract was awarded on the basis of a rigorous and competitive bidding process. Following a pan-European advertisement of the contract placed on 17 December 2011 an initial three bidders were narrowed down to two for a process of competitive dialogue that was completed in early October. Preparation of bids by suppliers, evaluation and assurance processes by DVLA have just been completed (DVLA Press Release, 13 November 2012).

Written Ministerial Statement
13th November, 2012

Driver and Vehicle Licensing Agency
The Secretary of State for Transport (Mr Patrick McLoughlin): The Driver and Vehicle Licensing Agency (DVLA) has recently run a competition to procure a front office counter service provider for its face-to-face motoring services from next April.

I can today announce that the DVLA will award Post Office Ltd a contract to build on the existing counter operation to provide a wider range of services and better accessibility for motorists. The contract will run for seven years with an option to extend for up to another three years. This contract will allow the Post Office to fully develop better services with the requirements of customers at the heart. Under the contract, Post Office Ltd will offer DVLA services at over 4,700 outlets for road tax and vehicle transactions, 750 of which will also cater for driver licensing.

This new contract provides value for money for the taxpayer resulting in savings of between £13 million and £15 million a year. The contract also gives scope for the Post Office to provide front office counter services for other Government Departments, to increase efficiencies across Government and provide better value for the taxpayer.