Capita drive away with DVLA contract

20th Jun 2011 09:51

The FTSE-100 business services group Capita has signed a £100m contract with the Driver and Vehicle Licensing Agency (DVLA).The 5-year contract (with an option to renew for a further 2 years) is to provide a national Vehicle Excise Duty (VED) service that includes provision for a Continuous Insurance Enforcement (CIE) service.Capita will manage enforcement notifications and immobilise, remove, store and dispose of unclaimed vehicles through a network of 23 regional impoundment centres.Up to 300 staff in locations across the country will transfer from the current enforcement provider to Capita.News of the contract failed to boost Capita's share price, which moved down 5.5p to 746p (-0.73%)BS