Award

SAP Cloud Services and Associated Subscriptions

TRANSPORT FOR LONDON

This public procurement record has 2 releases in its history.

Award

10 Apr 2026 at 14:28

Award

20 Mar 2026 at 16:05

Summary of the contracting process

Transport for London has completed a direct award procurement process to renew its SAP Cloud Services and Associated Subscriptions for a period of 12 months. This procurement falls under the public authority central government industry category and is located in London, United Kingdom. The award has been finalised, with the contract period set from 22 April 2026 to 31 March 2027. The total contract value is £6,700,000 excluding VAT. The process was conducted under the legal basis of UKPGA 2023/54 and utilises a direct award due to technical reasons outlined under the Procurement Act 2023, Schedule 5.

This procurement offers substantial opportunities for businesses specialising in enterprise resource planning software and cloud services to align themselves with key public sector contracts. Although the contract is a direct award to SAP (UK) LIMITED, understanding the landscape of such procurements can be advantageous to large-scale service providers and resellers who could potentially explore niches within the SAP ecosystem. Businesses adept in providing complementary services to SAP software, such as integration and support, might benefit from similar opportunities in the future as public bodies continue to seek specialised and technically tailored solutions.

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Notice Title

SAP Cloud Services and Associated Subscriptions

Notice Description

Transport for London (TfL) will award a 12 month, like for like renewal of its existing SAP cloud software subscriptions and on-prem license software maintenance support. For cloud subscriptions, products including Ariba, SuccessFactors/SAC, CPEA, and Identity Access Governance services. For on-prem license maintenance product support includes SAP Payroll, S4/HANA Enterprise Management and Data Management. This renewal is based on no expansion of scope, no increase in consumption metrics, and no structural changes to the existing license footprint.

Procurement Information

Single supplier - technical reasons (1) Direct Award - Conditions met The SAP Cloud Licenses and Associated Services will be a direct award under section 41 and Schedule 5 Procurement Act 2023. This is on the basis that only SAP can supply the services required due to the following conditions being met: Schedule 5, Paragraph 6 (a) due to an absence of competition for technical reasons, only a particular supplier can supply the goods, services or works required; and (b) there are no reasonable alternatives to those goods, services or works. * TfL's current Enterprise Resource Planning (ERP) solution provides TfL necessary functionality through critical licenses. Cloud subscription examples include Ariba, Success Factors, CPEA. On-prem licenses include: SAP Payroll Processing, SAP Bank Communication Management, SAP Data Services. These components form the core of TfL's operational and financial processing landscape. Their extensive embedded use across Payroll, HR, Procurement and Finance means that any interruption, incompatibility or delay in renewal would materially impact TfL's ability to operate safely and legally. * TfL's reliance on the SAP-based ERP system and the operational and business-critical modules mentioned above mean that they must be renewed, so that they are supported in the long term. This reliance is not just functional but architectural: TfL's entire ERP ecosystem has been designed, customised and integrated around SAP's proprietary technologies, data models, workflows, and interfaces. Maintaining long-term support, security patching, and guaranteed interoperability therefore requires direct continuation of SAP-provided licensing. * Although there is potential for SAP's resellers to provide the necessary licenses with SAP product, this is conditional on their being approved by SAP. In addition, any reseller would commercially only be likely to provide those services if TfL were to commit to additional "wrap-around" services at extra cost (plus general on-costs). Even if resellers were used, they would ultimately be dependent on SAP as the OEM for activation, support, and assurance of licence validity. This introduces commercial inefficiency, potential dependency risk, and unnecessary service layering. * To use a reseller would also be sub-optimal as it would add an extra layer of contract management, together with the costs of unnecessary additional services. * Given that TfL's SAP ERP estate and components are highly customised, SAP's associated experience and know-how in supporting TfL specifically is unique. Accordingly, TfL has no option but to commit to the necessary licenses to ensure that business-critical ERP tools, remain interoperable and can be supported in future. * The facts explained above mean that any competition for these essential licenses with SAP product is effectively absent. SAP is the sole entity technically capable of supplying, validating, updating, integrating and supporting the licences and cloud services required for TfL's existing ERP system. Any alternative procurement route would fail to meet TfL's operational, technical, and continuity-of-service requirements.

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-0670b5
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/032919-2026
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
UK6 - Contract Award Notice
Procurement Type
Standard
Procurement Category
Services
Procurement Method
Direct
Procurement Method Details
Direct award
Tender Suitability
Not specified
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

48 - Software package and information systems

72 - IT services: consulting, software development, Internet and support


CPV Codes

48451000 - Enterprise resource planning software package

72212451 - Enterprise resource planning software development services

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
£6,700,000 £1M-£10M
Contracts Value
Not specified

Notice Dates

Publication Date
10 Apr 20261 months ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
20 Mar 20262 months ago
Contract Period
21 Apr 2026 - 31 Mar 2027 6-12 months
Recurrence
Not specified

Notice Status

Tender Status
Complete
Lots Status
Complete
Awards Status
Active
Contracts Status
Not Specified

Contracting Authority (Buyer)

Main Buyer
TRANSPORT FOR LONDON
Contact Name
Available with D3 Tenders Premium →
Contact Email
Available with D3 Tenders Premium →
Contact Phone
Available with D3 Tenders Premium →

Buyer Location

Locality
LONDON
Postcode
E20 1JN
Post Town
East London
Country
England

Major Region (ITL 1)
TLI London
Basic Region (ITL 2)
TLI4 Inner London - East
Small Region (ITL 3)
TLI41 Hackney and Newham
Delivery Location
Not specified

Local Authority
Newham
Electoral Ward
Stratford Olympic Park
Westminster Constituency
Stratford and Bow

Supplier Information

Number of Suppliers
1
Supplier Name

SAP (UK

Further Information

Notice Documents

Open Contracting Data Standard (OCDS)

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The Open Contracting Data Standard (OCDS) is a framework designed to increase transparency and access to public procurement data in the public sector. It is widely used by governments and organisations worldwide to report on procurement processes and contracts.

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