Report Investigates Corruption in Contracts as COVID-19 Inquiry Resumes
A recent report highlights concerns of corruption regarding 135 contracts awarded during the lockdown period, totaling £15.3 billion, with ‘corruption red flags’ that merit further investigation.
Campaigners are drawing attention to corruption worries surrounding multi-billion-pound contracts granted for PPE and related services as the ongoing UK Covid-19 Inquiry restarts.
The report indicates: “Our research discovered 135 high-risk COVID-19 contracts with three or more corruption red flags, amounting to £15.3 billion, which require further investigation. While these red flags may have individual explanations, when viewed together and supported by growing evidence from legal action and public interest reporting, they indicate potential improper spending of public funds.”
The organization, described as “a non-governmental, anti-corruption agency,” highlights at least 28 contracts, totaling £4.1 billion, that were awarded to entities with close ties in Westminster, particularly with the Conservative Party, which held power at the time.
‘VIP Lane’ Deemed Unlawful
The research raises concerns about contracts awarded through the VIP lane, a system deemed illegal by the High Court, where 15 contracts worth £1.7 billion were given to suppliers with political connections.
Additionally, the report raises alarms about contracts made by the government with “new inexperienced suppliers” and uncompetitive tender processes. Eight contracts worth a total of £500 million were awarded to suppliers that were no more than 100 days old.
This analysis coincides with the Inquiry resuming for its third module, focusing on the impact of COVID-19 and the response to it on the UK’s health services.
Daniel Bruce, chief executive of Transparency International UK, stated, “The extent of corruption risk in the former government’s handling of public expenditure during the COVID pandemic years was significant.”
He emphasized, “The procurement response to COVID was characterized by systemic weaknesses and political decisions that facilitated cronyism, all made possible by inadequate public transparency.
“To our knowledge, no other country implemented a system similar to the UK’s VIP lane in their response to COVID.”
‘COVID Corruption Minister’ to Be Appointed
He urged authorities to “ensure complete accountability,” with plans by the government to appoint a COVID “corruption commissioner.”
Titled “Behind the Masks,” the report was set to debut in Parliament Monday afternoon, urging ministers to thoroughly investigate the concerns and strengthen procurement practices and safeguards against future impropriety.
The report details: “By assessing publicly available data on over 5,000 UK contracts, in addition to official reports, court litigations, and investigative journalism, we identified 135 high-risk contracts totaling £15.3 billion. These contracts, representing nearly one-third of total spending, raise serious concerns warranting further investigation by relevant authorities.”
Official government data indicates that £48.1 billion related to the COVID-19 response involved over 400 public bodies and 5,000 contracts. The report found that over 85% (£41 billion) of this amount passed through five bodies: the Department of Health and Social Care, Collaborative Procurement Partnership LLP, the UK Health Security Agency (including its predecessor, Public Health England), NHS England, and Crown Commercial Service.
A Conservative spokesperson asserted, “Government policy was not influenced by the donations received by the party–they are entirely separate.”
Chancellor Rachel Reeves announced in July in the Commons that a COVID anti-corruption investigation would proceed to recoup funds from fraud surrounding PPE and related sectors.
A Treasury spokesperson, now leading efforts to investigate COVID-era corruption, declared, “The chancellor has made it clear that she will not tolerate wastage and will appoint a COVID corruption commissioner to recover owed funds to the British public.
“The commissioner will directly report to the chancellor, collaborating with the secretary of state for health and social care, and the findings will be presented to Parliament for review by all members.”
The public hearings for Module 3 of the Inquiry will span 10 weeks until Nov. 28, with testimonies expected this week from leaders of the Health and Safety Executive and Unison.
PA Media contributed to this report.