FCm Travel Solutions is the latest travel management company (TMC) to be appointed as a government provider.
The agreement with Buying Solutions, which appoints all government travel suppliers, means FCm can provide travel management for rail, air and conference bookings for all public sector bodies.
Debbie Carling, FCm's executive GM, said the agreement gives the TMC "an unprecedented opportunity to develop our public sector business".
FCm has worked with the Department of Health since 2004.
Carling said FCm hopes to drive efficiencies and deliver savings, to help reduce the government deficit.
"We understand the cultural nuances of local government," she said, "and by having offices the length and breadth of the UK, non-central government departments will benefit from the services of a local dedicated travel management team."
FCm plans to establish a new division to manage the public sector work, which will be headed up by director of sales David Thomas.
"The travel management requirements of public sector clients are very different to the private sector," said Thomas.
FCm will be encouraging the use of online booking tools to reduce costs, he said.
The TMC will also have the buying power of parent company Flight Centre, which will give government access to "the best possible fares and rates in the marketplace," said Thomas.
Carlson Wagonlit and BSI have also been appointed as travel providers by Buying Solutions.
www.uk.fcm.travel www.flightcentre.co.uk