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Road User Charging - Business Operations Service Extension

Transport for London

This public procurement record has 4 releases in its history.

Award

13 Oct 2026 at 14:49

UK7 - Contract Details Notice
Award

12 Aug 2026 at 10:34

UK7 - Contract Details Notice
Award

18 Jun 2026 at 19:32

UK6 - Contract Award Notice
Award

11 Jun 2026 at 17:27

UK5 - Transparency Notice
Summary of the contracting process

Transport for London (TfL) has extended its Business Operations service for road user charging. The service processes payments, supports customer interactions across multiple channels, receives and verifies related records, and interfaces with enforcement operations and other road-charging systems. It supports charging and enforcement activity, including the handling of penalty charge notices through connected systems. The work is delivered in London. This is an extension of the existing Business Operations service, not the planned replacement contract combining business and enforcement operations. The service depends on close integration with TfL’s live road-user-charging environment and forms part of a wider system architecture that also supports customer account management and regulatory compliance.

The extension has been awarded to Capita Business Services Ltd by direct award; the contract was signed on 8 July 2026. The award value is £425 million, while the signed contract value is £305.9 million; both figures are excluding VAT. The contract runs from 26 September 2026 to 25 September 2031, with two possible one-year extensions allowing it to continue to 25 September 2033. TfL says it used the direct-award route because the existing service relies on proprietary, tightly integrated systems and replacing the supplier would create technical and operational risks. The extension maintains substantially the same services while TfL completes procurement and transition to a replacement combined service. The procurement was not divided into separate lots.

For suppliers assessing future road-user-charging work with TfL, this award shows the scale and operational importance of the incumbent business-operations service. A credible competitor would need to demonstrate experience running high-volume payment processing and customer services, handling and verifying records, and integrating systems with enforcement, charging and account-management operations. The service must operate continuously within a complex live environment, with strong control of data integrity, interoperability and operational resilience. Suppliers would also need the technical capability to design, build, test and safely deploy replacement systems, and to manage phased migration of live services and data without disrupting public-facing operations or statutory enforcement. TfL’s contract measures include system and interface availability, contact-centre availability, and timely, complete and accurate reporting.

How relevant is this notice?

Notice Information

Notice Title

Road User Charging - Business Operations Service Extension

Notice Description

Transport for London (TfL) has two contracts with Capita Business Services Limited (Capita) to supply systems and services in support of Road User Charging (RUC): (1) the Business Operations (BOps) contract, which provides a system for processing payments, multi-channel customer interactions, the receipt, handling and verification of associated records and interfaces with enforcement operations systems and other RUC systems; and (2) the Enforcement Operations (EOps) contract, which provides a system for processing Penalty Charge Notices, multi-channel customer interactions, regulatory compliance and interfaces with business operations systems and other RUC systems. TfL is preparing to launch a competitive procurement for a combined Business and Enforcement Operations (BEOps) contract to replace the existing BOps and EOps contracts, but there is insufficient time to procure and transition to the combined replacement before the current contracts expire on 25 September 2026. TfL has commenced market engagement in advance of launching the competitive procurement. Due to the scale and complexity of the existing services and the need to design, build, integrate and safely deploy a replacement solution, the full procurement, mobilisation and transition is expected to require a minimum of 5 years based on current programme assumptions. This includes the development of procurement documentation, the procurement itself followed by system design, development, integration with existing and future TfL systems, comprehensive testing, and phased migration of live services and data. TfL estimates that within this timeframe, the new BEOps Contract would be awarded approximately mid 2029. Transition activities will then lead to operational commencement between 2031 and 2032. Delivering this transition within a shorter timeframe would create unacceptable technical and operational risks, including risks to: - continuity of critical public-facing services; - compliance with statutory enforcement obligations; and - accuracy and integrity of charging and enforcement activities. Accordingly, TfL has awarded a contract extension to Capita to continue to supply BOps services for an initial term of 5 years, with a limited optional extension to a maximum of 7 years to allow TfL to procure and successfully transition to the new BEOPs contract.

Procurement Information

The extension to the BOps Contract is a direct award under section 41 and Schedule 5 of the Procurement Act 2023. This is on the basis that paragraph 7 of Schedule 5 (Additional or repeat goods, services or works - extension) applies. The grounds for this justification are set out in this section. The existing BOps services are delivered through highly complex, proprietary and tightly integrated systems embedded within TfL's live RUC environment. The BOps system and the interfaced EOps system support critical functions of RUC including charging, payments, enforcement and customer account management, operating continuously at significant scale. The BOps services are supplied as part of an interdependent architecture with tightly coupled data, systems and business processes, such that partial replacement or separation would not be technically feasible without material redesign. The BOps system and interfaces have been configured, integrated and optimised during the term of the contract for the requirements of RUC and rely on supplier-specific operational knowledge, configuration and control which cannot be replicated without substantial technical intervention. The services are dependent on a deeply integrated technical architecture comprising bespoke system components, interfaces, data structures and operational configurations that have been developed and refined during the term. These components are fully embedded within TfL's RUC systems and are not capable of being separated or re provided independently without material technical intervention. The scope and overall nature of the BOps services will remain substantially unchanged during the proposed extension. A change of supplier at this stage would necessitate the replacement or substantial re-engineering of core system components and interfaces. This would result in incompatibility with existing systems and infrastructure and would give rise to disproportionate technical difficulties in operation, maintenance, data integrity and service continuity. In particular, transition to an alternative supplier would introduce significant risks relating to system interoperability, operational resilience and enforcement accuracy. Accordingly, the continued supply of services by Capita is necessary to ensure compatibility with the existing technical environment and to avoid disproportionate technical and operational disruption. The conditions set out in paragraph 7 of Schedule 5 of the Procurement Act 2023 are therefore satisfied and TfL considers that it may directly award the extension to Capita. Length of extension The extension is for an initial term of 5 years, with a limited optional extension to a maximum of 7 years. This reflects the minimum period strictly necessary to: - complete a compliant competitive procurement process - design and implement a replacement service model and technical architecture - undertake safe, controlled and phased transition to a new supplier Shorter contract durations have been carefully considered but rejected, as they would: - materially increase technical and transition risk - constrain the ability of bidders to design and mobilise a viable and compliant solution - undermine effective competition by reducing the feasibility of market entry and delivery TfL will have rights to terminate the extended BOps Contract, enabling TfL to transition to a replacement supplier at the earliest point at which it is technically feasible and operationally safe to do so, for example if mobilisation and testing take less time than the current programme assumptions allow for. This ensures that the duration of the extension represents a maximum necessary period rather than a fixed commitment. For these reasons, TfL considers that the length of the extension is necessary and proportionate and has taken commercial steps to ensure that if the procurement and mobilisation of the supplier of the new BEOps contract is achieved on a shorter programme than currently assumed, there are means to transition to the BEOps contract as soon as practicable.

Notice Details

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-06b387
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/096618-2026
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
UK7 - Contract Details 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

60 - Transport services (excl. Waste transport)

63 - Supporting and auxiliary transport services; travel agencies services

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

98 - Other community, social and personal services

CPV Codes

60112000 - Public road transport services

63712000 - Support services for road transport

72000000 - IT services: consulting, software development, Internet and support

98351110 - Parking enforcement services

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
£425,000,000 £100M-£1B
Contracts Value
£305,900,000 £100M-£1B

Notice Dates

Publication Date
13 Oct 20261 weeks ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
18 Jun 20264 months ago
Contract Period
26 Sep 2026 - 25 Sep 2031 Over 5 years
Recurrence
Not specified

Notice Status

Tender Status
Complete
Lots Status
Complete
Awards Status
Active
Contracts Status
Active

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
Postcode Area
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

Capita Business Services Ltd

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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