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Microsoft: Competition

Asked by Samantha NiblettLabourDepartment for Science, Innovation and TechnologyTabled Answered 4 June 2026UIN 4835

The question

To ask the Secretary of State for Science, Innovation and Technology, whether her Department reviewed the Crown Commercial Service's approximately £9 billion Memorandum of Understanding with Microsoft, signed in November 2024, in light of the CMA's findings that Microsoft's software licensing practices reduce competition in UK cloud markets and impose additional costs on public sector organisations.

Answered by Ian Murray

DSIT has not formally reviewed the SPA24 Memorandum of Understanding with Microsoft. This agreement does not represent a commitment to spend, but instead provides eligible public sector organisations with access to discounted pricing. Decisions on whether to purchase goods and services are made by individual organisations in line with procurement regulations.

The Government Commercial Agency (GCA), formerly Crown Commercial Service (CCS), manages SPA24 with Microsoft to ensure that it continues to deliver against its objectives.

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