Decision details

The Cabinet considered a confidential report of the Director of Digital, which informed Members that since March 2021, Oldham Council had utilised the 8x8 cloud-based telephony system, following the approved migration from the outdated Mitel fixed-desk system. The submitted report outlined the rationale for renewing the contract to ensure continued modern, resilient, and scalable telephony services that support remote working, resident engagement, and key council strategies.

Oldham Council's migration to the 8x8 cloud telephony system in 2021 had delivered enhanced flexibility, reduced cyber risks, and alignment with modern working practices. As the current contract approaches expiry, renewal on a 1+1+1 basis (one-year initial term with two optional one-year extensions) was proposed to maintain service continuity, leverage ongoing efficiencies, and support the Digital, Data and Technology Strategy 2025-2030. This included enabling seamless integration with Microsoft Azure, AI-driven features, and digital inclusion initiatives. The renewal avoided disruption, ensures cost stability, and positions the council for future innovations in resident-focused services.

The Cabinet was advised that the 8x8 contract had an annual value of £405,000, of which Oldham Schools would contribute £42,000. This resulted in a net annual cost to the Council of £363,000 for the software. 8x8 UK Limited had also submitted a like?for?like proposal, meaning the annual costs would remain unchanged and the contract included flexibility at the end of the first year, allowing the Council to reduce licence numbers as required.

Resolved:

1.    That the Cabinet approves a Call off Contract with 8x8 UK Limited on a 1+1+1 basis.

2.    That the Cabinet approves an extension of the contract for an initial one-year term (2026/27), with options for two further one-year extensions (through to 2029), at an estimated annual cot of £363,000, thereby ensuring continuity, leverages existing efficiencies (such as a 20% reduction in manual administration from AI features) and to support  scalability under the Digital, Data and Technology Strategy 2025 - 2030.