skip to main content
Close Icon We use cookies to improve your website experience.  To learn about our use of cookies and how you can manage your cookie settings, please see our Cookie Policy.  By continuing to use the website, you consent to our use of cookies.
Global Search Configuration

Ovum view

Summary

The UK's Government Digital Service (GDS) recently provided an insight into how far it has progressed with its plans to develop a unified payment service platform (PSP) as part of its approach to developing a common set of services. In addition to providing opportunities for payment service vendors, it will act as a trigger for public sector organizations to address their disjointed CRM landscape.

Government adoption of payment service platforms will act as a catalyst for CRM investment

It is easy to see why PSPs are a hot topic for governments at the moment. The fragmented nature of payments today creates huge duplication of effort and higher costs, and presents consumers with a confusing number of options. By migrating to a PSP and automating billing, invoicing, and transactional services, agencies are hoping to achieve service and cash flow improvements, and to lower transactional costs.

The recent update by the GDS on its plans for the PSP indicates that it is going further than simply offering a centrally managed platform to public sector organizations. It wants to provide detailed, real-time transactional information on citizens to front-line staff, helping them keep citizens better informed as to the status of their payments. It is also considering using the PSP to issue refunds back to the original cardholder in the case of errors or overpayments.

Given the adoption of mobile transaction tools, it is clear that citizens want simpler ways to pay for goods and services. This also holds true for public sector services. Many citizens would find it easier to pay fines, such as parking tickets or overdue library books, by simply logging on to their citizen record via the council's portal and clicking on the relative application. Alternatively, a citizen could receive an alert to an outstanding fine when within the vicinity of a council office, then simply go to the nearest office and swipe their phone.

Integrating payments with citizen customer records will be a key step toward achieving this. However, the problem is that most public sector organizations rarely have back-end systems to support such activity. The lack of CRM, or at least of a joined-up approach, stands in the way of public sector organizations being able to offer citizens a consolidated view of their transactions with agencies, leading to an increasing number of single-use applications being stood up.

The GDS-developed PSP will no doubt act as a catalyst for vendors of payment solutions, which will have a single point of entry into the UK public sector market for payment services. The greater opportunity, however, will come from the PSP acting as a catalyst for public sector organizations to address the question of how to establish a single view of the citizen.

Appendix

Further reading

"Government payments – setting the rules of the game," IT0007-000824 (July 2015)

Author

Chris Pennell, Practice Lead, Public Sector

chris.pennell@ovum.com

Recommended Articles

  • Service Provider Markets, Consumer & Entertainment Services,...

    MWC 2018 Highlights

    By Ronan De Renesse 27 Feb 2018

    Over 20 of our senior Ovum analysts and consultants attended this year’s Mobile World Congress in Barcelona at the end of February. In between meetings, briefings and presentations, our analyst team were blogging and tweeting about key developments, trends and rumors. Have a look through our daily MWC 2018 Highlights to find out what happened.

    Topics 5G AI IoT Cloud Payments SDN/NFV Smart home

  • Internet of Things

    IoT Viewpoints 2018

    IoT Viewpoints explore the IoT opportunity in 2018 and beyond. Download our latest e-book to get our newest collection of thought leadership articles on the emerging IoT trends, technologies and opportunities.

    Topics IoT

  • Consumer & Entertainment Services

    US pay TV: Is it facing an existential threat?

    By Adam Thomas 28 Mar 2018

    With US pay TV having endured the worst year in its history, thoughts have inevitably turned to the future. The likelihood remains that the immediate future will remain highly uncomfortable for everyone except the scaled multinational digital platforms.

;

Have any questions? Speak to a Specialist

Europe, Middle East & Africa team - +44 (0) 207 017 7700


Asia-Pacific team - +61 (0)3 960 16700

US team - +1 646 957 8878

Email us at ClientServices@ovum.com

You can also contact your named/allocated Client Services Executive using their direct dial.
PR enquiries - Call us at +44 788 597 5160 or email us at pr@ovum.com

Contact marketing - 
marketingdepartment@ovum.com

Already an Ovum client? Login to the Knowledge Center now