Coining it in through Covid: The well-connected companies who’ve made a mint thanks to the pandemic
In the UK, government contracts worth millions of pounds have been awarded to companies without competitive bidding during the pandemic. Close scrutiny reveals many of the firms have close links to leading figures in Whitehall.
The Covid-19 pandemic has meant a miserable year for businesses of every size in every industry the world over.
However, shortfalls in vital Personal Protective Equipment (PPE) meant the UK government splurged well in excess of £5 billion on PPE procurement contracts from March to October this year, and in the process a number of private companies profited handsomely. With a ‘second wave’ of the pandemic now well under way in the UK and elsewhere, this lavish spending seems unlikely for the foreseeable future to peter out.
The shortfalls, and resultant mad dash to make up the numbers, stem at least in part from London’s rejection of an offer from the European Union to join a PPE-procurement sharing scheme, under which member states pool their resources to purchase high-quality equipment in bulk at competitive prices for use throughout the bloc. Nonetheless, Whitehall has taken advantage of EU rules introduced during the pandemic to award contracts for the supply of PPE, among other goods and services, to private businesses, without competition.
https://www.rt.com/uk/505280-uk-covid-companies-ppe-contracts/