Serco Group plc (Serco), the international service company, announces today that it has signed the agreement to operate, and has begun to operate, the Anglia Support Partnership (ASP). ASP becomes Serco's first shared services proposition in the emerging market for middle and back office support to the UK health sector. The annual revenue to Serco of the current contracts is approximately £30m, equivalent to an initial total contract value of £120m over an average of four years.

Cambridgeshire and Peterborough NHS Foundation Trust (CPFT), together with a further five partnering NHS organisations, has operated ASP to date. There are around 65 contracts for the provision of support services to the Trust and partners, as well as to around 50 other public and private organisations. The support services provided currently include: operational and specialist IT; finance operations; employment services; contracts management; procurement; primary care support services; occupational health; risk management; catering; and estates and property.

A new four-year framework agreement permits the call-off of additional services including: commissioning advice and related support services; cost reduction, efficiency advice and consultancy services; and patient administration. The framework enables, amongst others, all NHS organisations in the new Midlands and East Strategic Health Authority to access services equivalent to around 25% of total NHS spend.

ASP currently employs around 620 members of staff who will transfer as a consequence. As part of establishing the strategic partnership, Serco's payment to the partners, which includes acquiring the assets of ASP, totals approximately £9m in 2012.

Dr Attila Vegh, Chief Executive of CPFT, said: "We consider Serco to be the ideal strategic partner and one that can offer the investment that's vital to keep ASP's services at the cutting edge. Capitalising on the strengths and track record of ASP, we are looking forward to seeing Serco modernise systems and invest in infrastructure, while seizing other opportunities for growing the business. This allows CPFT to concentrate on delivering high-quality health and social care that promotes well-being and independence and which we are proud to recommend to our families and communities."

Christopher Hyman, Chief Executive of Serco Group, said: "We are delighted to be chosen to operate the Anglia Support Partnership. This adds a further strategic partnership to our growing health support services and BPO operations. Under the ASP framework, Serco will now be able to address much of the sizeable NHS `shared services' market, offering member organisations both improvements in service quality and substantial cost savings. We are combining our breadth of skills and ability to transform public services to build a leading health platform, and this represents a significant milestone and early success for our newly created Global Services division."

Ends

For further information please contact Serco:

Stuart Ford, Head of Investor Relations T +44 (0) 208 334 4122

Marcus De Ville, Head of Media Relations T +44 (0) 208 334 4334

Notes to editors

In the United Kingdom, Serco provides services in partnership with the National Health Service (NHS) and other health and social care organisations in a range of primary and community settings. For example, for Anglia Support Partnership, Serco would draw on its healthcare expertise in operation at Norfolk and Norwich University Hospitals NHS Foundation Trust, NHS Forth Valley Acute Hospital, Wishaw General Hospital, and Guy's and St Thomas' Hospital NHS Foundation Trust.

Serco's other UK health-related operations include: GSTS Pathology, our joint venture that is transforming pathology services by combining the clinical and scientific skills of hospital trusts with the service and business experience of Serco; a leading provider of Occupational Health, supporting the health and well-being of over 450,000 employees nationwide in the public, private and voluntary sectors; the leading independent provider of Custodial Health services; and a provider of Unscheduled Care services to ensure that people have reliable access to appropriate medical assistance outside normal working hours.

About Serco

Serco is a FTSE 100 international service company, which combines commercial know-how with a deep public service ethos.

Around the world, we improve essential services by managing people, processes, technology and assets more effectively. We advise policy makers, design innovative solutions, integrate systems and - most of all - deliver to the public.

Serco supports governments, agencies and companies who seek a trusted partner with a solid track record of providing assured service excellence. Our people offer operational, management and consulting expertise in the aviation, BPO, defence, education, environmental services, facilities management, health, home affairs, information and communications technology, knowledge services, local government, science and nuclear, transport, welfare to work and the commercial sectors.

More information can be found at www.serco.com

PINX

Note 1:Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

distributed by