Capita extends customer management agreement with Npower

Outsourcer Capita has extended its contract to provide customer management services to Npower until the end of 2021, in a deal worth more than £40m over three years.

Under the new agreement, Capita - which has been in partnership with Npower since 2014 - will continue to deliver front- and back-office customer management operations from the UK and India. It will also support the company’s strategy to improve the quality and efficiency of its customer-facing operations.

Mike Barnard, executive officer for Customer Management at Capita, said: "We are delighted that npower has chosen to extend its partnership with Capita for another three years. We are committed to enhancing npower’s customer engagement, through the better use of technology, automation and our people."

Capita said on Friday that customer management has been identified as a key market for its growth and is one of six new divisions announced as part of its multi-year strategy. The division specialises in multi-channel contact management through the customer life cycle, delivering volume, transformation and outcome-based contracts to improve customer experience, optimise cost-to-serve and drive sales.

At 1130 BST, the shares were up 0.6% to 152.70p.