Covid-19: Contracts and Public Inquiry

Jonathan Edwards Excerpts

Wednesday 7th July 2021 Commons Chamber

[Ian Blackford]

I will be generous to colleagues and the Prime Minister and for the purposes of this place I will respectfully do so.

The court cases highlighted that the covid contracts were not published on time, and poor records left big unknowns, such as why some companies won multi-million-pound contracts and others did not. Clarity on the latter has been provided through the revelation that civil servants were requested to triage contract proposals into high-priority lanes. That means that proposals from a supplier recommended by Ministers, Government officials, or MPs and Members of the House of Lords were given preferential treatment. That was crucial to the success of those seeking procurement deals: a National Audit Office report found that up to July 2020, one in 10 suppliers that had been put in the high-priority lane were awarded a contract, while the figure was less than one in 100 for those outside that lane. It is not what you know, or what you can provide: it is who you know in Government. These priority lanes created a tale of friends and family fortunes.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

I am extremely grateful to my right hon. Friend for giving way, and for outlining his case forensically. What does this so-called VIP lane indicate about the priorities of the British Government, when we compare it with the fact that when the Welsh Government, the Scottish Government and the Northern Irish Government together asked for extra borrowing capacity to deal with the covid crisis, they were turned down? What does that say about the priorities of the British Government, and—more to the point, perhaps—what does it say about the nature of the relationships among Governments within the British state?

[Ian Blackford]

My hon. Friend is quite correct. There have been a number of occasions on which all the devolved Administrations have sought support from the UK Government for borrowing, and have been frustrated in that, but for friends of the UK Government, it is a case of “Come in, there are contracts to be had.”

Let me give a few examples. There was the neighbour and local pub landlord of the former Health Secretary, the right hon. Member for West Suffolk (Matt Hancock), who supplied tens of millions of vials for covid-19 tests despite not having had any previous experience of providing medical supplies: off the street, no experience whatsoever, but he was a friend of the Government. There was the small Stroud-based company which, despite making a loss in 2019, was awarded a £156 million contract for PPE. Wait for it: the company was run by a Tory councillor, and no evidence—none whatsoever—was ever found of its supplying PPE previously.