The government is tied in to using Accenture as a major outsourcing partner more than two years after the company was paid £14m as part of ending its contract to run national insurance systems.

According to Computer Weekly, Accenture lost its joint bid with EDS three years ago to continue running tax and national insurance systems, but is being retained for its expertise in running the National Insurance Recording System, which holds details on more than 60 million people.

In 2003 the two contracts for running tax and national insurance for HM Revenue & Customs were combined and re-tendered. Capgemini and Fujitsu won the contract.

However, CW reports that Accenture's work passed to Fujitsu has been handed back.

Attempts to transfer national insurance system Nirs2 work to new suppliers have encountered difficulties as the new players lack the expertise to maintain the system.

Further reading:

Accenture among winners in DWP contract

New finance chief at EDS

Varney attacked over EDS deal and lack of 'fair play'