Source of IT contract memo leak will be dismissed without notice
The Housing Corporation has employed a private investigator to find out who leaked a confidential memo.

The detective is understood to have already begun looking at computer records and paperwork to find the source of the leak.

This unusual step was taken because the memo, which was leaked last month, contained details of a multimillion-pound IT outsourcing contract for the corporation's desktop management, email and e-business systems.

The deal is part of an 18-month review of IT projects. In the deal with Elonex, 12 corporation IT posts will be relocated to the firm.

The corporation said it will "dismiss without notice" anyone involved in the leak.

A corporation spokeswoman said: "The investigation is still ongoing so we cannot comment further at this stage."

Meanwhile, an early day motion, to be tabled by a Unison-sponsored MP, urges the Office of the Deputy Prime Minister to examine the terms of the contract. Unison regional officer Stuart Barber said he wanted an investigation into the "massive variance" between the bids, from IT companies Elonex and Computacenter.

The corporation said the companies were chosen from a list of government suppliers. It added it had not yet been asked for information by the ODPM but would "meet any request under the usual arrangements".

Unison will urge the government to boost the powers of the Office of Government Commerce, the public sector outsourcing watchdog. At present, the OGC can advise public bodies to scrap or rethink projects but it cannot force them to do so.

The OGC questioned the Housing Corporation's IT plans in December. Officials queried whether the cost of keeping the IT service in house was as up-to-date as the figures given by the two bidders.

The corporation said it had not been able to update the figures in time for the OGC review but had later updated the business case for the deal and supplied it to the watchdog.

A statement from the corporation said: "All the issues [in the OGC review] have now been addressed or are being dealt with." It added that the corporation had brought the OGC review forward so it could implement its recommendations before signing the contract.

  • Unison will ballot its members at the corporation on 4 March about industrial action. The strike was called to object to the corporation's restructuring programme Achieving Excellence. The results of the ballot will be known on 14 March.

    A spokeswoman for the corporation said: "All staff and unions have been consulted and kept fully informed throughout the process which has been open and transparent at all times."

    Unison is also surveying local government housing and social care workers on pay and conditions.