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    ContractsDirect Debit Payment Processing Solution for Vehicle Excise Duty
    Open tender

    Direct Debit Payment Processing Solution for Vehicle Excise Duty

    Contract value
    £37.5m
    Published 24 Jul 2026

    DVLA seeks a Direct Debit solution provider to process £230 million in monthly VED payments across 1.4 million mandates for a 5-year contract valued at £37.5 million, starting February 2028.

    🇬🇧United KingdomPublished 24 Jul 2026· 2 months agoviaContracts Finder
    Contract value
    £37.5m
    Published 24 Jul 2026

    Decision brief

    4 fields
    • Contract value
      £37,500,000indicative
      Pounds sterling
    • Closing date
      Rolling
      No closing date published
    • Sector
      Financial Services
      Browse related listings
    • Location
      🇬🇧United Kingdom

    Lifecycle

    Open

    Open tender — no closing date published. Opened 2 months ago.

    24 July 2026
    Open tender · no closing date published

    Brief

    The DVLA (Driver and Vehicle Licensing Agency) is seeking suppliers to provide a Direct Debit solution for collecting Vehicle Excise Duty (VED) payments. This is a significant opportunity valued at approximately £37.5 million over a 5-year contract term, starting February 2028. The solution will process over 1.4 million Direct Debit mandates monthly (approximately 40% new, 60% renewals) and handle around £230 million in monthly payments. From April 2028, the system must also support eVED (Electric Vehicle Excise Duty), a new mileage-based charge for electric and plug-in hybrid vehicles. Suppliers should apply through the Government Commercial DPS (GCA) Open Banking DPS - Lot 1 at https://supplierregistration.cabinetoffice.gov.uk/dps/RM6301. A free, no-limit registration allows interested suppliers to join the marketplace. DVLA is hosting a virtual Market Engagement Event on 18 August 2026 to present requirements, gather market feedback, and facilitate one-to-one meetings. To register for the event, email sophie.willis@dvla.gov.uk and jason.thomas@dvla.gov.uk by 31 July 2026 with attendee names and positions. Award is anticipated in May 2027, allowing 8 months for transition and mobilisation.

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    Take action
    View tender on sourceContracts Finder

    Full notice and submission process on the publisher's site

    Publisher
    UK Cabinet Office
    Licence
    OGL v3.0
    Source
    contractsfinder.service.gov.uk
    Record ID
    35928b87-4532-4963-b30b-0264cec5a798-908188
    DD
    Buyer
    DVLA DRIVER VEHICLE LICENSING AGENCY
    Sector
    Financial Services