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Dateline 7 March 2002 - Despite grants from Central Government to assist Local Authorities in Implementing Electronic Government (IEG), vital eGovernment investment is set to create a massive funding crisis for Local Government running into billions of pounds. Whilst eGovernment implementation will cut costs, such tangible returns will take some time to realise and IEG grants will only go a small way towards reducing this burden of funding for Local Authorities.

At the launch of the Microsoft Radius road show series, Radius is announcing the launch of eGovernRent(tm), a new rental plan for its eGovernment software solutions, that will enable users to have access to more product and services sooner. Radius believes that eGovernRent(tm), designed and managed by rental specialists Intelco, will go a long way towards solving this crisis.

Phil Benton, Managing Director of Radius, comments "Many authorities have identified their IEG grant and funding for 2002-3, but recognise that to achieve 2005 targets, they need to purchase significantly more products and services now, rather than waiting for additional grants/funding in 2003 onwards. In addition, they are nervous that, if there are changes to Central Government policies or priorities, they may not be provided with the level of IEG funding expected from Central government over future years. eGovernRent(tm) enables customers to have typically 5 times more product for the same expenditure next year, with rentals in the later years being met out of the savings and benefits achieved"
Radius is also offering EventRent(tm), Intelco's recently announced 'pay-for-use' rental plan. With EventRent(tm), the user pays according to metered use of the software.

Intelco expects that Radius EventRent(tm) users may wish to add other products which co-exist with Radius software on the same basis. "We would have no problem adding products from other suppliers provided that they meet our accreditation criteria and are prepared to share the risks of success in the same way as Radius." adds Mike Stephenson, Chairman of Intelco.

For further information

Phil Benton
Managing Director
Radius plc
Tel: 020 8844 2141

web site:

Michael Stephenson
Intelco Group plc
Tel: 01628 668841

web site:

Tim Wickes
CH Business Development
Tel:01428 713660

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