REG-Capita PLC: Capita renews contract with The Co-operative Bank

CapitaAnnouncement

31/10/2019 07:05

Capita renews mortgage contract with The Co-operative Bank

Capita plc (Capita) announces today that it has renewed its contract with The
Co-operative Bank p.l.c. (the Bank) to run its mortgage servicing operation in
the UK and to continue to support the Bank’s digitally enabled
transformation which will further strengthen its customer focus.

The renewed contract is worth up to £141m over six years, of which £107m
is incremental to Capita’s current contract with the Bank and begins on 1
November 2019. Capita’s existing contract with the Bank for its mortgage
servicing operation was signed in August 2015 and was due to conclude in 2020.

The scope of the renewed contract includes Capita continuing to run a full
range of mortgage services – from initial enquiry and application, all the
way through to mortgage maturity.

Consistent with Capita’s strategy to focus on its core competencies in
digital transformation, there will also be renewed focus on redesigning and
simplifying processes and systems to enhance the end customer’s experience,
increase productivity and reduce costs. A key element of this contract is the
collaborative approach Capita and the Bank are taking to transformation.
Capita will also be working alongside a third party implementing an IT
platform.

All Capita customer service colleagues will receive enhanced skills
development aligned to the Bank’s ‘customer first’ principles. This
training complements the Bank’s goal of ensuring their customers receive the
best possible outcomes. Customers will benefit from a simpler and faster
mortgage application process, which will support the Bank’s drive to improve
customer satisfaction scores.

Jon Lewis, Chief Executive Officer of Capita, said: “I am delighted that The
Co-operative Bank has chosen to renew our partnership. This is testament to a
new Capita, which is working more collaboratively with its clients, and is
strongly aligned to the Bank’s values as a responsible business. We look
forward to offering an even better mortgage service to The Co-operative
Bank’s customers which will make the process of securing a mortgage much
faster and smoother.”

Andrew Bester, Chief Executive Officer of The Co-operative Bank, said: “Our
mortgage business continues to thrive and is central to our future plans for
The Co-operative Bank. The service Capita provides our customers is a key
element of our success in a competitive market, and we are delighted to be
renewing our partnership.”

ENDS

Notes to editors:

The total IFRS15 transaction price (order book) for the six-year contract is
£141m, of which £107m is incremental to the remaining transaction price that
would have been recognised on the current contract with the Bank.

Investor enquiries

Stuart Morgan

Head of Investor Relations

07989 665484

Email: Stuart.Morgan@capita.co.uk

Media enquiries

Capita press office

Tel: 07851 243757 / 0207 654 2399

Email: media@capita.co.uk

Capita is a consulting, digital services and software business, operating
across six markets: Customer Management; Government Services; IT & Networks;
People Solutions; Software and Specialist Services. Working across the UK,
Europe, India and South Africa, we use our expertise and technologies to
partner with our clients to transform services and add value for all their
stakeholders. Capita is quoted on the London Stock Exchange (CPI.L). Further
information on Capita can be found at: http://www.capita.com



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