Overview
- NS&I launched Project Rainbow in 2020 to modernise systems by replacing a long‑running Atos outsourcing deal with multiple new supplier contracts.
- After failed procurements, one terminated award and one abandoned bid, NS&I extended Atos to March 2028 in an extension the NAO says was estimated at £530 million.
- A 2024 reset shifted to phased transitions, moving call-centre operations to Sopra Steria, appointing Capgemini as systems integrator, and targeting an SBS digital core platform in 2028.
- The watchdog estimates total programme costs at about £3.0 billion through 2030–31 and highlights poor integration planning, unclear interdependencies and gaps in commercial expertise.
- NS&I says it accepts the recommendations, remains on track to raise £12 billion this year for government financing with services maintained for 24 million customers, and has added David Goldstone to support leadership.