Wales' Digital Health Agency Extends Cloud Migration Contract to 2029

Wales' Digital Health Agency Extends Cloud Migration Contract to 2029 December 9, 2025 The ongoing modernization of public sector IT infrastructure is a critical driver for efficiency and improved service delivery. In the UK, the National Health Service's digital transformation efforts represent a significant portion of this trend, with substantial contracts and long-term strategies aimed at moving away from legacy on-premises systems. Digital Health & Care Wales (DHCW), the Special Health Authority responsible for digital services within the Welsh NHS, has announced its intention to extend a key cloud migration contract with technology solutions provider CDW Limited. The move, detailed in a modification notice published on the UK's Find a Tender service, is designed to complete the agency's transition to cloud-based hosting and storage. The original five-year contract, valued at £3.9 million (excluding VAT), was set to run from February 2021 to February 2026. The extension will add three years to the term, pushing the end date to February 2029, and increase the total contract value by £1.6 million. A core component of the project involves migrating all on-premises servers from a Tier III data center, known as DC1, to the cloud. DHCW stated its goal is to achieve a full transition by October 2028, aiming for a "diminishing on-premises footprint between now and then." For CDW Limited, a UK-based provider founded in 1984, this extension reinforces its position in the public sector technology market. The company recently secured another major UK contract, a £25 million colocation deal with Coventry University in August. This contract extension underscores the sustained investment in cloud migration within critical public services like healthcare. It highlights a strategic shift towards operational agility and scalable infrastructure, which is expected to enhance data management capabilities and support future digital health initiatives across Wales. The deal also signals continued confidence in established IT service providers to manage complex, multi-year public sector digital transformations. Source: datacenterdynamics

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