Cumbria County Council has approved plans to enter a seven year strategic partnership with Agilisys to provide information and communication technology services.
Following the decision at a meeting of the full council in Kendal on Thursday, 20th January, Agilisys will take over running the county council's computer and communications systems.
The deal will lead to real improvements in ICT systems in education, social services, libraries and other council services. It will also help the council meet its E-Government obligations and is expected to lead to savings of around £1.5million per year for the county council.
The partnership will be worth around £50 million over the life of the contract.
Councillor Kevan Wilkinson, county council spokesman for ICT, said: "A lot of people have worked very hard to get to this stage. We have already been working closely with Agilisys and a good partnership has already emerged. This is a good deal and we are anticipating service improvements and savings for the whole county."
Agilisys chief executive Charles Mindenhall said: "We are very proud of the work that has been delivered by the Agilisys and Cumbria team to date and are delighted to have already had such a positive impact in a short time. The team at Cumbria have been a real pleasure to work with and we look forward to formalising the long term relationship."