Harnessing hybrid IT: driving sustainability and cost savings in the public sector

With increasing pressure to reduce spending, public sector IT budgets are under closer scrutiny than ever. Government departments are tasked with ambitious digital transformation goals, all while cutting up to 10% from annual budgets. But the challenge is not just financial. There’s a pressing need to align these transformations with sustainability targets, including the UK’s goal of net zero emissions by 2050. This raises a critical question: how can public sector digital ambitions be met without compromising environmental commitments?

Outdated infrastructure and siloed IT systems in central government not only drain resources but also drive-up energy use, impeding sustainable progress. While moving workloads to the public cloud offers efficiency gains, many departments face barriers, including data control concerns, fluctuating costs and complex migration requirements. This has made a flexible, hybrid approach, combining existing systems with cloud capabilities, a practical and sustainable solution.

Adopting a hybrid model allows departments to modernise their operations with an approach that prioritises both cost savings and sustainability. By blending cloud flexibility with energy-efficient data centres, departments can cut energy costs and reduce their carbon footprint. Some public sector organisations have already begun to see the benefits of this approach.

How hybrid IT is transforming public sector operations

Facing the monumental task of modernising its extensive IT estate, the Department for Work and Pensions (DWP) chose a hybrid route. By integrating cloud services with efficient data centres in Crown Hosting, the DWP moved its back office applications without disruption.

The DWP now benefits from energy-efficient data centres equipped with advanced cooling systems. Remarkably, these facilities spend only 15 pence of every pound on electricity for cooling, significantly below industry averages. This strategic move has led to annual savings of around £150 million, showcasing the substantial advantages other departments could gain from similar approaches.

Accelerating sustainability goals

Many government departments still operate small, inefficient server rooms with outdated cooling systems and under-resourced IT teams. This setup not only incurs high costs but also hinders progress toward the UK’s goal of net zero emissions by 2050.

By migrating workloads to modern, energy-efficient data centres powered entirely by renewable energy, the public sector can make significant strides in sustainability. Crown Hosting’s facilities exemplify this, offering 100% renewable energy sources and providing technical and security support that overextended IT teams might lack.

Economies of scale: maximising value

Leveraging data centres that capitalise on economies of scale allows departments to access cutting-edge technology and services at reduced costs. Bulk purchasing and shared infrastructure lead to lower energy and operational expenses, an ideal solution for departments under budgetary pressures.

This model also supports a gradual transition to the public cloud. Departments can immediately benefit from cost savings and sustainability improvements while planning their long-term cloud adoption strategies. Sensitive workloads can be migrated step by step, minimising risk and complexity.

Preparing for future technological demands

A hybrid approach positions the public sector to meet future technological needs effectively. In sectors like higher education, where continuous access to advanced computing is vital, modern data centres enhance efficiency by using algorithms to optimise energy consumption. This not only improves current operations but also lays the groundwork for integrating emerging technologies such as artificial intelligence.

Selecting the right providers is crucial for successful digital transformation. Beyond cost considerations, departments should evaluate potential providers based on their sustainability practices, contractual flexibility, and ability to deliver customised solutions. Working together can unify efforts, foster innovation, and overcome the fragmented approaches that have hindered progress in the past.

A practical path forward

With public finances under strain, adopting a gradual, scalable approach to infrastructure modernisation is both practical and necessary. Moving away from outdated, piecemeal systems not only yields immediate cost savings but also sets the stage for achieving long-term digital goals and easing the eventual shift to full public cloud solutions.

The hybrid model offers a balanced solution to the challenges facing public sector IT. By integrating efficient data centres with cloud services, departments can reduce costs, enhance sustainability, and maintain control over sensitive data. This approach ensures that digital transformation efforts continue to advance despite fiscal constraints.

By focusing on sustainability and leveraging economies of scale, the public sector can drive innovation and deliver improved services to citizens. Embracing hybrid solutions today paves the way for a more efficient, secure, and sustainable future.

by Jason Liggins
CEO, Crown Hosting Data Centres