BT’s earnings for RiO may top £500m

Figures provided by the head of the National Audit Office, Amyas Morse, reveal that BT is paid £9m for each installation of the RiO community patient record software in the South of England.

For installing and supporting the software at 25 NHS trusts in the South of England BT is set to be paid £224.3m.

The prices are said to be based on BT’s contract for London. This suggests that BT may receive up to £315m for 35 installations of RiO in London. Added to the £224.3m in the South of England this would take the total to £539.3m

The figures relating to BT’s £542m deal in the South of England are revealed in a letter from Morse, comptroller and auditor general of the National Audit Office, to Richard Bacon MP, a member of the House of Commons Public Accounts Committee.

Morse’s letter states that the pricing in the contract for the South is based on pricing in the other LSP contracts. “The Department has advised us that it determined the cost of the RiO deployments and new acute trust deployments on the basis of BT’s existing London LSP contract.”

BT is also set to be paid £36m up to 2015 for each of the seven NHS trusts running Cerner Millennium. It will get £33m for each of the three new Cerner installations, support and hosting.