FCA in UK publishes Guidance to overcome barriers to cloud entry


FCA (Financial Conduct Authority) in Britain has published a Guidance which lays the rules and regulations when outsourcing to the cloud.

The Guidance which was published in a PDF format is open for consideration or proposals until 12 February 2016. Then it will reach its final form and will be published in FCA website. FCA asks for responses to be sent by email to itoutsourcing@fca.org.uk

The reason for publishing such a Guidance is said to have come from the demands of Stakeholders including firms and cloud service providers for they were unsure about how FCA applies its rules relating to outsourcing to the cloud. Through roundtable discussions and other interactions with firms and cloud service providers, FCA reached to the conclusion that "this uncertainty may be acting as a barrier to firms using the cloud."

FCA defined its understanding of the term "Cloud" and its' aim to introducing the Guidance with the following words:

" 'Cloud’ is a broad term, and stakeholders have interpreted it differently. The FCA sees
the cloud as encompassing a range of IT services provided in various formats over the
internet. This includes, for example, private, public or hybrid cloud, as well as
Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a
Service (SaaS). Cloud services are constantly evolving. Our aim is to avoid imposing
inappropriate barriers to firms’ ability to outsource to innovative and developing areas,
while ensuring that risks are appropriately identified and managed."

FCA articulated the risks involved with outsourcing to the cloud as

"There are particular risks associated with outsourcing to the cloud which differ from
traditional outsourcing arrangements, and these risks primarily affect the degree of
control exercised by the firm. Cloud customers may have less scope to tailor the service provided.

"Cloud customers may also have to accept that cloud service providers  move their data around; however, in some cases, cloud customers may be able to specify which overall geographic region in which their data is stored.

"Firms should also consider the risks associated with outsource service providers who may contract out part of their operation to other cloud providers. This may occur without the firm initially realising.

"There are particular risks associated with outsourcing to the cloud which differ from traditional outsourcing arrangements, and these risks primarily affect the degree of control exercised by the firm."

Full Guidance pdf document can be obtained from the link


Announcement - Microsoft Corp. cloud services to be delivered via local UK data centres in 2016






London — 10 Nov 2015 — Microsoft Corp. CEO Satya Nadella on Tuesday announced plans to offer commercial cloud services from the UK. Microsoft Azure and Office 365 will be generally available from local UK-based data centres in late 2016 with Microsoft Dynamics CRM Online following shortly thereafter. Built on foundational trusted cloud principles of security, privacy and control, compliance and transparency, these services will offer customers data residency in the UK, bringing world-class reliability and performance to government organisations, regulated industries and other businesses.


Microsoft also announced completion of the latest phase of expansion for its data centre facilities in Ireland and the Netherlands, both of which serve as cloud computing hubs for European customers. These new cloud offerings and expanded facilities will provide customers with more choice and increased opportunities to innovate more quickly, enabling growth for local economies.
“At Microsoft, our mission is to empower every person and organisation on the planet to achieve more,” said Satya Nadella, chief executive officer of Microsoft. “By expanding our data centre regions in the UK, Netherlands and Ireland we aim to give local businesses and organisations of all sizes the transformative technology they need to seize new global growth,”
Microsoft Azure, Office 365 and Dynamics CRM Online cloud services to be delivered via local UK data centres
The new local Microsoft cloud regions will enable data residency for customers in the UK, allowing data to be replicated within the UK for backup and recovery, reduced network distance and lower latency. Services delivered from these UK data centres will create new opportunities for innovation and local economic growth for Microsoft UK’s 25,000-plus partners. General availability of Microsoft Azure and Office 365 is anticipated in late 2016, with Dynamics CRM Online following shortly thereafter. Microsoft will also offer Azure ExpressRoute to provide customers with the option of a private connection to the cloud.
“With a cloud adoption rate of 84 per cent,* the UK is a global leader in embracing the benefits of cloud-based solutions. Our commitment to offer Microsoft Azure, Dynamics CRM Online and Office 365 from local data centres will help meet such demand, especially for those organisations looking for solutions delivered from data centres based in the UK,” said Michel Van der Bel, area vice president and general manager of Microsoft UK. “This will open opportunity for customers and partners alike to innovate, compete and grow their business using the power of the cloud while adhering to strict standards and regulations like those found in banking, financial services and the public sector.”
UK customers already using Microsoft cloud today
UK customers of all sizes already use the power of the Microsoft cloud. Whether it’s Azure, Office 365 or Dynamics CRM Online, thousands of UK businesses and organisations — such as Confused.com, Glasgow City Council, Marks & Spencer, Natural Resources Wales, Pizza Hut Restaurants and Virgin Atlantic — are saving money while empowering their employees and staff to collaborate and be more productive and secure anywhere, any time and on any device.
And, with today’s announcement, some customers have already expressed desire to embrace Microsoft’s future trusted cloud services to be delivered from the UK. “At the MOD, we have a clear mission to deliver the modern, open and flexible IT resources required to ensure our forces have information capabilities tailored to their mission, location and role, accessible through a cost-effective and adaptable infrastructure,” said Mike Stone, chief digital and information officer, Ministry of Defence. “Microsoft’s plans to offer highly secure, UK-based cloud services is an exciting development and one that will clearly support the MOD in our transformation journey.”
Expanded facilities in Ireland and the Netherlands
In addition, Microsoft announced the completion of the most recent expansion of its Ireland site and that its data centre facility in Middenmeer, the Netherlands, is now operational.
Both locations serve as hubs for Microsoft cloud services, including Microsoft Azure, Office 365 and Dynamics CRM Online, and will provide additional capacity for customers across Europe, the Middle East and Africa. Each location is built using the latest technology improvements to significantly reduce water, power and energy use.

Government G-Cloud is on the right track suggests a Survey








To better understand the views of Small and Medium Size Enterprises (SME's) operating in the public sector tech market, techUK has undertaken a comprehensive survey to capture their experience on the ground. The survey provided a fascinating insight into a small business's view of the public sector tech market.

According to techUK, their survey confirms the following points.
  • the Government is on the right track, but that more needs to be done. There is overwhelming support for the Government's new target to award 33% of procurement spend, both directly and indirectly, to SMEs, with 90% of respondents supporting the new target.
  • G-Cloud has been particularly well received by smaller suppliers. 80% said it had helped them access the market. However, the survey highlights there is more to do if Government is to meet its target of 33% of procurement spend going to SMEs.
  • There is widespread concern that public sector commissioners are not making sufficient use of all the tools at their disposal. 86% of SMEs said that civil servants need to make more of the Digital Marketplace, and there was a lack of awareness of the initiatives such as Mystery Shopper and Contracts Finder, that are directly aimed at the SME market.
  • Skills and culture remain a barrier to adoption. 96% of respondents did not think that civil servant buyers have a good understanding of how SMEs can meet their needs. This echoes techUK's own civil servants survey , commissioned earlier this year, which showed 33% civil servants were uncertain about working with SMEs.
  • Surprisingly, late payments was ranked of least concern as a barrier to entry, despite government focus in this area. Instead, SMEs clearly called for initiatives to target the onerous procurement process (67%), risk averse culture (59%) and onerous terms and conditions (33%).

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