Skip to main content

A G-Cloud landmark: £200m spent on sales

Nearly £200m has been spent via the G-Cloud procurement framework since it went live in 2012, according to new figures published last week.

Of the £191.5m spent through the network up until the end of May 2014, 57 per cent of total sales were awarded to SMEs – down from the 60 per cent reported for sales up until the end of March this year.

However, as it is Whitehall’s aim to do 25 per cent of all government business with SMEs by the end of 2015, the figures still suggest that it is still on track to meet this target.

Central government spending still dominates G-Cloud usage, with 80 per cent of all sales being through Whitehall and 20 per cent through the wider public sector.

Local government contributed just £11.4m to the total G-Cloud spend and spent less in May (£642,258) compared to April (£894,078).

G-Cloud has been under much discussion recently, after a report claimed that local government was ignoring the framework and “wasting millions” in the process.

The study was soon criticised by a number of organisations including Socitm, the body representing those in public sector IT.

The organisation says the report failed to take into account a number of factors, most notably that it didn’t recognise large, one-off sales – this may explain why local authorities seem to have spent less in May 2014.

SaaS and specialist cloud services sales fall

Spending on “specialist cloud services” is down from £16.7m in April to £9.57m in May. Software as a Service (SaaS) sales also fell from £1.89m to £504k.

Cloud Infrastructure as a Service (IaaS) and Cloud Platform as a Service (PaaS) sales have remained steady - £1.6m to £1.72m and £57.8k to £177k respectively.