More than £1billion of outsourced government contracts have gone to firms run by Tory “friends and donors” since the pandemic took hold, an analysis reveals.
The figures include deals for PPE provision, testing and polling – as well as the Government’s much-maligned contact tracing system.
Some of the firms were awarded work under emergency procedures that allow public bodies to give contracts without asking other firms to bid for the work.
There is no suggestion of any wrongdoing. But the Good Law Project is challenging the Government’s decision to award contracts to a few firms run by “allies” without a competitive tender.
Shadow Cabinet Office minister Rachel Reeves, who analysed the contracts, told the Mirror: “It is outrageous that so much public money is being siphoned to Tory friends and donors. We need to know who agreed these contracts, when and why.”
Jo Maugham QC, director of the Good Law Project, added: “The way government chose to place these contracts threw open the doors to the politically well connected. And boy, did they take advantage.
“While tens of thousands of families mourn loved ones, in the Carlton Club the lucky few will be toasting the Government with vintage champagne, paid for with our money.”
The Department of Health said: “We have processes for carrying out proper due diligence for all government contracts and we take these checks extremely seriously.”
Here, we take a look at some of the contracts and their Tory links…
PA Consulting Services Ltd
Total – £13.75million
Contracts – Three
WHAT FOR: Consulting
LINK: Tory ex-leader of Kensington and Chelsea council Sir Merrick Cockell has been a senior adviser since 2014.
The bulk of the work was for consulting on the ventilator challenge. There is no suggestion Sir Merrick played any role in securing contracts with the Government.
Meller DesignsTotal
Total – £90.9million
Contracts: Four
WHAT FOR: Hand sanitiser, face masks
LINK: Co-owner is David Meller, who has given Tories £65,000 in 10 years.
Also gave £3,250 to Michael Gove’s failed bid for leadership in 2016. The firm usually supplies home and beauty goods but turned to PPE. Mr Meller has said he is “proud” of its role at the height of the crisis.
Randox Laboratories Ltd
Total – £133million
Contracts – One
WHAT FOR: Coronavirus testing
LINK: Northern Irish firm pays former Cabinet minister Owen Paterson almost £100,000 a year as an adviser.
But a spokesman insisted: “Owen Paterson MP played no role in securing any Randox contract with DHSC and any insinuation that he did would be misleading.”
Hanbury Strategy
Total – £819,000
Contracts – Three
WHAT FOR: Polling, focus groups and strategy for Cabinet Office and Treasury
LINKS: Set up by Dominic Cummings ally Paul Stephenson, part of the Vote Leave campaign and a Tory media adviser for 2019 election.
Legal campaigners are taking action over contract. Firm says it has top experts and is “proud” of its work.
Public First
Total – £1million
Contracts – 4
WHAT FOR: Public opinion surveys and strategic advice.
LINK: Owned by James Frayne – a close ally of Dominic Cummings who also worked for Michael Gove at the Department for Education – and wife Rachel Wolf, who co-wrote the Conservative Party’s 2019 manifesto.
PPE Medpro Ltd
Total – £203million
Contracts – Two
WHAT FOR: PPE
LINK: Specialist manufacturing firm won contracts to supply PPE to the NHS seven weeks after it was set up.
It was started by Anthony Page on the day he quit as secretary of the firm that provides branding services to Tory peer and lingerie entrepreneur Baroness Mone.
Mr Page is also a director of finance firm Knox Group, founded by Mone’s fiance, Doug Barrowman. Baroness Mone has said she had no involvement in PPE MedPRO.
She added Barrowman is also not involved in the firm. Page states the firm underwent a rigorous vetting procedure.
Ocean Footprint
Total – £5.2million
Contracts – One
WHAT FOR: Face masks
LINK: Julian Henry Malins is one of four directors. He is brother of Tory ex-MP Humfrey Malins, who, the firm says, has “nothing to do with it”.
P14 Medical
Total – £276m
Contracts – Three
WHAT FOR: Face shields
LINK: Director Steve Dechan is a Tory councillor in Stroud and campaigned for local MP Siobhan Baillie last year.
He said he had only met MPs and ex-ministers on the campaign trail and never talked of PPE. The medical supplies firm got the deals despite significant losses in 2019. It said these were due to investing in new technology.
Serco Group PLC
Total – £214million
Contracts – Four
WHAT FOR: Supports contact-tracing system and call centres, manages testing site.
LINK: Health minister Edward Argar was previously a senior executive. The firm’s CEO, Rupert Soames, is the brother of Tory ex-MP Sir Nicholas and his wife Camilla gave the Tories £4,995 last year. Serco said it was “awarded the vast majority of work… through competition”.
Topham Guerin
Total – £3million
Contracts – One
WHAT FOR: Coronavirus messaging
LINK: Creative agency worked on the Tory Party’s digital and social media campaign in last general election.
The firm said it was “proud” to work with New Zealand and UK governments on Covid.
Arcadis
Total – £1.5million
Contracts – One
WHAT FOR: Consultant
LINKS: Gavin Barwell, ex-No 10 chief of staff, became a non-exec director in June. There is no suggestion he played a role in securing contracts.
Clipper Logistics
Total – £1.3million
Contracts – One
WHAT FOR: Distributing PPE
LINK: Chairman Steven Parkin has donated £725,000 to the Tories since 2016 and has attended Leaders’ Group meetings which give him exclusive access to Tory prime ministers.
Dragontown
Total – £675,000
Contracts – One
WHAT FOR: PPE
LINK: One of the directors, Lady Xuelin Bates, is the wife of Tory peer and former Home Office minister Lord Bates. She has donated £30,000 to the Conservative Party since 2014.
Faculty AI
Total – £3.1million
Contracts – Four
WHAT FOR: Data analysis
LINK: Ben Warner, brother of CEO Marc, was recruited as a data scientist at No10 after work on Tories’ election campaign.
Until September, Cabinet Office minister Lord Agnew was a shareholder. The firm said “each and every” contract was “won through a fit and proper process”.
Globus Shetland Ltd
Total – £93million
Contracts – One
WHAT FOR: Respirators
LINK: Since 2016, the equipment firm, which claims 25 years’ experience in supplying industry and healthcare, has donated £365,668 to the Tories.
Its annual financial gifts rose to £150,000 in 2019, when Boris Johnson became PM.
Rachel Reeves, Labour Cabinet Office Minister, said: “This Government is obsessed. It cannot stop outsourcing.
“Since the pandemic began, we have seen it issue £11billion of contracts without competitive tender, meaning businesses that are experienced and qualified have been shut out.
“Of course, it’s important the Government took swift initial action to the virus. But why hand out these contracts to a handful of huge companies, many of them with terrible track records?
“Why rely on them without considering all the alternatives? Why, when we know how vital tracing contacts is in curbing the spread, hand the funds to Serco rather than local public health teams, as most successful countries have done?
“The failures on contact tracing bite especially deep when we see many of our councils picking up the pieces with a fraction of the resources.
“And what seems wasteful becomes troubling when we look closer at some of these contracts handed to people with clear links to the Tory Party.
“These top £1billion worth so far. This approach isn’t just shady it’s also not working, with tests voided, PPE unable to be used and a fortune spent on consultants doing who knows what.
“This wasteful government needs to learn from our local leaders and put communities above its political pals.”