Purpose

Cabinet considered a report seeking approval to migrate the council's cloud-based productivity, collaboration, and telephony infrastructure from Google Workspace to Microsoft 365.

The current contract with Google is due to expire in December 2027 and cannot be extended due to procurement framework changes. Additionally, the council must prepare for Local Government Reorganisation (LGR) which will culminate in the establishment of a new unitary authority on 1 April 2028. Standardising on Microsoft 365 will align Thanet District Council with all other Kent authorities (which are already Microsoft-based), ensuring that staff are equipped with relevant skills ahead of Vesting Day, preventing integration issues, and mitigating several imminent licensing cost pressures.

Decision

Cabinet approved the following, to:

1. Move the organisation from Google workspace to Microsoft 365. This would include migrating the telephony system from Google Voice to integrate it within Microsoft Teams;
2. Procure a Microsoft 365 tenant during the current financial year (2026/27). This is on the basis that Microsoft licences need to be renewed anyway in October 2026. This would run alongside the current Google Workspace environment until the Google contract ends in December 2027;
3. Retain Gemini as the organisation’s preferred AI platform rather than purchasing Co-pilot licenses.

Reasons for the decision

Operational collaboration and alignment: Moving to Microsoft 365 eliminates operational barriers and technical workarounds currently required to collaborate with central government, neighbouring councils, and other Microsoft-based external partners.

Local Government Reorganisation (LGR) preparedness: Standardising on Microsoft 365 aligns Thanet with all other Kent councils ahead of the transition to a new unitary authority on 1 April 2028. This minimises potential operational disruption for staff on Vesting Day and allows sufficient training time.

Addressing licence cost pressures: The council's current standalone Microsoft Office Standard 2021 licences expire in October 2026. Transitioning to Microsoft 365 removes an immediate pressure of £259,000 that would otherwise be required to renew these standalone licences.

Enhanced security and device management: The Microsoft ecosystem enables improved mobile device management and cybersecurity features through Intune and Autopilot, aligning with the council's recent rollout of Windows laptops and mitigating key corporate risks.

Cost-effective AI utilisation: Retaining Gemini AI is more financially viable than purchasing 500 Microsoft Co-pilot licences, which would add an unbudgeted £138,600 annual revenue pressure. Gemini is a highly praised tool that staff are already trained and comfortable using.

Alternative options considered

Do nothing: Rejected because the current Google Workspace contract expires in December 2027 and cannot be extended under the former G-Cloud 13 procurement framework.

Decline migration and procure a new Google Workspace contract in late 2027: This was rejected for several critical reasons.

Financial risk: Future short-term Google contract costs are unknown and technology industry pricing generally is highly volatile; additionally, the council would still face the immediate £259,000 cost pressure in October 2026 to renew standalone Microsoft licences.

Strategic isolation: Thanet would remain an outlier as the only Kent authority on Google, limiting joint working and missing a crucial upskilling window for staff ahead of the LGR transition in April 2028. This would result in much higher disruption when the new unitary council begins, as the new council is extremely likely to adopt Microsoft.