Capita have been awarded a ten-year contract to provide outsourced BPO services to Barnet Council, including customer service and support services.
The deal is expected to reduce overall costs with expected savings of £125.4 million over a decade.
Barnet Council leader Richard Cornelius said: "The bottom line is that this will give us £120m to spend on public services in Barnet that we would not otherwise have”.
The outsourcing of services has attracted controversy in regard to the loss of council jobs with a predicted loss of 180 jobs over the course of the contract.