Government IT project that never started, let alone failed?

Last year, the Home Office and HM Prisons opened a new "National Shared Service Centre" in Newport. The idea, as the HMP website says, was that the centre would "improve [HMP's] finance, procurement and HR support services." As part of a programme called Phoenix it would introduce,

"new ways of working in finance, procurement and HR, to reduce costs while providing consistent, high quality support to the organisation. A new IT system will be implemented across the Prison Service to help achieve this."

However, in the time it has been up and running (almost a year) all invoicing that passed through the centre is still paper-based. According to information released under the FoI, it deals with approximately 400,000 paper based invoices per annum, and no plan exists for the introduction of an electronic system (although they are discussing having a plan). Currently they employ 34 people to deal with all the paper invoicing.

So much for reducing costs and implementing a new IT system across the Prison Service!