Covid-19: NAO Report on Government Procurement

Justin Madders Excerpts

Wednesday 9th December 2020 Westminster Hall

[Justin Madders (Ellesmere Port and Neston) (Lab)]

It is a pleasure to see you in the Chair, Ms Eagle. As one of the people who originally asked the NAO to look into the handling of PPE contracts, I was of course extremely interested in what its report had to say. I asked for that because throughout the summer, suppliers contacted me as they were angry about being overlooked, especially given that they had put in many hours of work to get some of the contracts. Their anger turned to rage when they saw that some of the companies to which contracts had been awarded had no background in PPE and sometimes no background as a company at all. In fact, their chief qualification was a connection to the Tory party.

How did we get into that position in the first place? Of course, there was unprecedented demand, but it seems that the Government failed to heed their own warnings about the readiness of this country to deal with a pandemic. They ignored the recommendations of Exercise Cygnus and allowed the PPE stockpile that we did have to go out of date and dwindle—a dwindling stockpile, by the way, that we were paying a private company £11 million a year to sit on.

The way in which warnings were ignored created the conditions for the get-rich-quick specialists to thrive and for the taxpayer to foot the bill for overpriced PPE from people who had never sold as much as a pair of gloves the previous year. At the same time, companies with the contacts, experience and even the stock were given the run-around, so we had the scandal of doctors and nurses bringing homemade PPE to protect themselves, while British companies were selling their stock abroad because they could not get their own Government to take an interest in it. We then saw the absurd spectacle of a Secretary of State proclaiming on national television that help was on the way with a shipment of PPE from Turkey, most of which never arrived or turned out to be unusable. That was an international embarrassment that we must never let happen again.

When the Minister responds, will she set out exactly how many millions of items of PPE that were purchased either never showed up or were found to be unusable? Will she tell us how much of that has already been paid for and whether we have received any refunds? So far, I have not heard any contrition from the Government about the way in which procurement has been handled, and we need to hear some today, because the public will not forget the arrogance until long after the last person has been vaccinated.