Recommendation 4

NS&I has failed to support the Programme with the skills and expertise it needs to deliver successfully. As an organisation with most of its operations contracted out to Atos, it is not surprising that NS&I had limited experience of digital transformation when starting the Programme. NS&I told us it has found it difficult to recruit the additional skills and capability the Programme needs. Since 2024, NS&I has added capability at senior levels, for example, by appointing a new commercial director, but it still relies on consultants to fill skills gaps. NS&I has made very substantial (£43 million) use of consultants in the Programme, but was vague about how it holds consultants to account. NS&I said it has more staff now, but it still does not have a resource management strategy in place. NS&I will continue to rely on Atos, which suffered financial distress in 2024, until at least 2028. NS&I told us it now has a contract management framework to manage Atos and the contracts with new suppliers, but it will need to be much better at managing supplier contracts to maximise the benefits of transformation. recommendation Within six months, NS&I should write to the Committee setting out its resource management strategy, including use of consultants, and how it will ensure that it manages consultants effectively. NS&I should also set out more clearly how it will manage suppliers and contracts, to manage risks in moving to the multi-supplier model.