Award

SAP Cloud Services and Associated Subscriptions

TRANSPORT FOR LONDON

This public procurement record has 1 release in its history.

Award

20 Mar 2026 at 16:05

UK5 - Transparency Notice
Summary of the contracting process

Transport for London (TfL) has completed a procurement process titled "SAP Cloud Services and Associated Subscriptions," which pertains to the enterprise resource planning software industry. The contract involves a direct award for the renewal of existing SAP cloud software subscriptions and on-premise license maintenance, crucial for TfL's operations across Payroll, HR, Finance, and Procurement systems. This procurement falls under the category of enterprise resource planning software packages and services. The procurement process is past the award stage, with the contract scheduled to commence from 31 March 2026 and conclude on 30 March 2027.

This tender presents a substantial growth opportunity for businesses involved in enterprise resource planning software and services, specifically those capable of providing SAP-related services. Although the direct award is tailored specifically to SAP (UK) Limited due to technical reasons, businesses that can offer complementary services within the ERP and software support industry could seek collaboration opportunities. This procurement underscores the need for specialised expertise in SAP systems, benefiting businesses with knowledge in SAP's proprietary technologies, data models, and license management. Additionally, consulting firms or resellers with the potential to support SAP systems might also find advantageous engagements through further support service contracts.

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Notice Information

Notice Title

SAP Cloud Services and Associated Subscriptions

Notice Description

Transport for London (TfL) intends to 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.

Notice Details

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-0670b5
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/025934-2026
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
UK5 - Transparency 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
20 Mar 20262 weeks ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
20 Mar 20262 weeks ago
Contract Period
30 Mar 2026 - 30 Mar 2027 6-12 months
Recurrence
Not specified

Notice Status

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

Buyer & Supplier

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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