DEFENCE DISCOUNT SCHEME

Bluelight Card Company own the current membership details, the contracts with high street retail providers and the ‘Defence Discount Service’ name. Other providers could build and operate a similar discount card service, but the Authority would require this to be built up rapidly so as to ensure that there would be no immediate drop in the service provided to the Defence community from an MOD contracted provider as a result of reduced range of discounts available. The Authority would also not be willing to experience in drop in the gainshare which is linked to the size of membership and retail and service companies offering discounts. Current membership of the Scheme is 568,828 with active members (clicked an offer in last 6 months) standing at 225,094. The Total active retail offers (online and High Street retailers) is 9,819. Any alternative supplier would have to be able to reach theses membership figures very quickly and be prepared to offer MoD a gainshare minimum of 15% of the DDS contract profits each year..   Any alternative Supplier will have to hold Cyber security and comply with the Authority’s IR35 Assessment and any Authority’s decision on Limiting the Supplier’s Liabilities. It is unlikely that any current contractor staff would be willing to transfer to any alternative supplier under TUPE.