Services that would be outsourced to BT include information technology, Telecare and Telehealth, payroll and employment support, invoice processing and document management.
Telehealth and telecare, which covers everything from specialist equipment to help a patient monitor their condition to sensors in the home to detect falls, has been piloted quite successfully in several areas.
The UK's National Health Service (NHS), which is hoping to slash the cost of caring for an ageing population, has tried to settle the question by backing the world's largest trial of telecare.