The Co-operative Bank has renewed an IT services contract with Steria, as it continues on a £700 million transformation programme.

The bank said the all-encompassing deal - for which a value has not been disclosed - will now run until 2014. The original agreement was signed in 1995, and is aimed at cutting costs and improving processes.

Jim Slack, IT operations and development head at Co-operative Banking Group, said the contract had so far delivered "many successful business-critical projects and services, including a number of highly strategic undertakings".

Steria will continue to work on the bank's transformation programme, in which Co-operative is improving processes and developing better mobile and web channels. It is running projects under the PRINCE2 methodology.

The Co-operative is installing a centralised Teradata data warehouse platform as part of the programme, in order to integrate credit risk and accounting data into one data warehouse environment.

The first part of the programme - the replacement of its core banking and business intelligence systems - has been delivered to corporate users.