The National Employment Savings Trust Corporation (Nest) has appointed digital transformation company Atos as its future scheme administrator.
The company said it will begin to provide the service for the UK’s national administrator of auto-enrolment pensions from 2023 under a contract to run for at least 10 years with an optional extension of up to five and the possibility of another three for an exit transition.
It will incorporate scalable, low carbon IT for processing and administration and data analytics.
Nest chief executive Helen Dean (pictured) said: “While today’s announcement marks the next stage in Nest’s evolution, I am so proud of where we’ve come from. Over thirteen years, we have built a digital pension scheme from scratch which has become home to millions of savers and the provider of choice for hundreds of thousands of employers.
“We’re looking forward to building on this strong foundation to take Nest to the next level, advancing our digital scheme and continuing to provide a world class service, for working people.”
Nest will now begin a phased programme to manage the transition to the new contract. It has provided for a lengthy transition period to manage the any risk that could arise from a change of outsourcer from Tata Consultancy Services.
The award follows a lengthy procurement process that began in the spring of 2019, with Nest indicating that the contract could be worth up to £1.5 billion if it runs to its longest possible duration, and that digital technology should play a major role in the delivery.
Image from Nest