Amidst the billions spent by government - from a failing Test & Trace system to scandalous PPE purchasing - one industry seems to have profited more than most from the chaos of Covid: consultancy firms. THREAD.
Public data shows that at least 50 UK or US consultancy firms have been brought in to advise the government on Covid projects, costing almost £200 million to the taxpayer:
92% went to 10 firms - Deloitte, Boston Consulting, PA Consulting, Accenture, Price Waterhouse Coopers, McKinsey, Ernst & Young, KPMG, Baringa Partners, and Cambridge Consulting - winning £184+ million contracts between them.
Many contracts, especially for smaller consultancies, focused on specific pandemic responses, like IT services. But the bigger contracts, critics argue, could often have been implemented more effectively and cheaper by civil service or NHS staff.
Consultancy Deloitte won £96m of contracts in total, including (as reported by @opendemocracy), £39 million for “services” relating to Test & Trace. That amount wasn’t even listed in public contracts, but was buried away in departmental spending figures.
On top of this, of the further £100bn being ploughed into the mass testing ‘Operation Moonshot’, it’s been reported that this massive sum ‘has been divided up among a number of private entities, including Boston Consulting Group and Deloitte’
Boston Consulting Group has also done well out of the pandemic. They won two contracts for almost £10 million to provide “digital” and “strategic” support. Their day rate fee? As much as £7,360.
Boston Consulting have also won £2.3m from the Dept for International Trade, ‘ensuring the continued supply of priority critical goods’ £4.5 million from DFID for ‘foreign economic-aid-related services”, work on the UK vaccine task force, and £1.6m from the Cabinet Office.
Cabinet Office has reportedly spent £120 million on consultants over the last three years. Between 2019 and 2020 this has risen by 190%, as the UK prepared for Brexit.
The Cabinet Office has given £21 million of Covid-related work to Deloitte, PA Consulting, McKinsey, BCG, Accenture, and PwC, to carry out things such as running the task force, a counter-fraud initiative, and logistical work as part of the ventilator challenge.
Under Michael Gove the Cabinet Office has, in addition to Covid work, also recently outsourced £180 million to six firms - McKinsey, Bain & Co, KPMG, Accenture, Deloitte, and PwC - for a “strategic programme management” of Brexit.
In September, Cabinet Office & Treasury minister Lord Agnew described Whitehall (in a leaked letter to senior civil servants) as being “infantilised” by consultants “depriving our brightest public servants… using similar people at a vastly inflated cost”
Such concerns have not held back the wave of consultancy contracts. McKinsey has won £7m in contracts, including advising HM Treasury...presumably on how not to waste public funds.
Meanwhile, the MoD - praised repeatedly by ministers for their response to the pandemic -spent £2m on management consultancies to help with that response, issued over 10 identical contracts awarded the same day. @allthecitizens obtained spending under FOI: contractsfinder.service.gov.uk/Notice/5e6b045…
Accenture Plc have also been awarded up to £14m, largely for overseeing Test and Trace and installing a Clinical and Digital Information System in the NHS, including two contracts valued at some £850,000 for 10 weeks work.
While the value of consultancy contracts seems high, the total is likely higher. Our figure doesn't include existing framework agreements, like a £200 million group award found by @allthecitizens, spent over 3 years with Deloitte, KPMG, and PwC involved.
It’s worth noting that, since 2010 80,000 civil service positions have been cut. MP Meg Hiller has described it as Whitehall outsourcing to consultancy firms “bread and butter work that the government should be doing” businessfast.co.uk/government-spe…
In recent years, the ‘Big Four’ consultancies, which dominate the UK (PwC, Deloitte, E&Y, and KPMG) have donated £5.7 million to the 3 major parties:
PwC- £2,466,743
KPMG - £2,425,649
Deloitte - £696,239
EY - £109,194
While such cash donations have dropped off in recent years, the major consultancy companies have pivoted to providing hospitality and giving remuneration for speaking engagements. With millions won in pandemic contracts, it seems they have much to speak about...
We are not suggesting anything done is illegal, but if this rise in government-by-consultancy concerns, follow @allthecitizens and read our thread below to find out how to help get involved with holding this government to account...
BREAKING: the UK government does "not intend to publish the list of suppliers who were awarded personal protective equipment contracts" following the high-priority lane VIP process "as there may be associated commercial implications”.
Lib Dem peer Lord Strasburger @LordStras asked the question in the House of Lords on whether the government would publish a list of all companies contracted to supply PPE via the high-priority lane used to assess and process potential procurement leads.
Lord Bethell, of the Department of Health & Social Care, said: "We do not intend to publish the list of suppliers who were awarded personal protective equipment contracts after having had their offers reviewed with more urgency as there may be associated commercial implications.”
BREAKING: Almost two thirds of known VIP Covid-19 contracts awarded through a VIP fast-track service came via the offices of Tory ministers. THREAD.
As @goodlawproject has revealed, a special VIP procurement channel was set up for Covid 19 contracts. @allthecitizens have explored the dedicated Cabinet Office email address to which VIP and invited companies could pitch for contracts.
The existence of this email was “publicised across the PPE procurement programme and to relevant private offices across government and Parliament”.
Over half a billion pounds of UK Covid-19 testing contracts awarded to multinational accused of supplying goods to China that assist ‘genomic surveillance’. THREAD:
US-based life science company Thermo Fisher Scientific owns several subsidiaries which have won 20 UK Coronavirus-related contracts since March 2020, totalling some £550 million.
These include a £331 million award to Life Technologies for Covid-19 testing equipment, the biggest Coronavirus contract we have found awarded to a single firm to date.
Have you heard of the Plymouth Brethren Christian Church (PBCC)? The Brethren is an evangelical Christian group that seems to have links to 21 UK companies that have won at least 49 Covid-related contracts since March, worth as much as £1.1 billion. THREAD.
We have no evidence that the companies involved do not have appropriate manufacturing expertise, but in light of the revelations about a VIP track to Covid contracts, should we be concerned about the high number of contracts awarded to companies with links to a religious group?
In October, @allthecitizens reported on contracts relating to the Conservative-linked religious group. We said then the total amount accrued by the network and its associated companies sat at over £951 million.
Billions in public funds have awarded in PPE contracts since the start of the pandemic, often to woefully unfit or politically adjacent entities, and without any official oversight.
Below we take a look back at 20 of the most shocking revelations uncovered since March:
1. Ayanda Capital - £252.5 million:
Eye-watering amount of money spent on 50 million FFP2 face masks bought from a "family office" investment firm based in a tax haven. None were usable.