Members of Parliament have launched a scathing attack on the Ministry of Justice, branding a costly prison lease deal a 'catastrophic failure' that could saddle the public with a bill exceeding £100 million for a facility deemed 'unusable'.
A Costly and Uninhabitable Lease
The controversy centres on HMP Dartmoor, a historic prison owned by the Duchy of Cornwall. Despite the site being known to be contaminated with dangerous levels of radon gas, HM Prisons and Probation Service (HMPPS) signed a new lease for the property in 2022. The contract commenced on Christmas Day 2023.
Under the terms, the government is obligated to pay £4 million per year to lease the building, even though it was closed in August 2024 and remains uninhabitable. On top of the annual rent, business rates, and security costs, the taxpayer faces additional 'improvement costs' of £68 million over the first decade of the lease.
'An Absolute Disgrace' and a Panicked Decision
Sir Geoffrey Clifton-Brown, Chairman of the Commons' cross-party Public Accounts Committee, did not mince his words. He labelled the entire affair an 'absolute disgrace' and a 'catastrophic failure'.
In a damning new report, the committee rejected HMPPS's defence that the deal was driven by the urgent need for prison places during the overcrowding crisis. The report stated: 'Dartmoor appears to the committee a perfect example of a department reaching for a solution, any solution, in a blind panic and under pressure. This is, obviously, not how policy should be delivered.'
Critically, the MoJ signed the lease before conducting comprehensive radon testing. Even with prior knowledge of the radon issue, officials failed to negotiate a rent reduction from the £1.5 million annual rate or secure financial safeguards against increasing radon levels.
Long-Term Consequences and Legal Fallout
The financial implications are severe. With the first break clause in the contract not exercisable until 2033, the taxpayer could be locked into ten years of payments for an empty jail. The total cost from the prison's closure in August 2024 until the break clause could be activated exceeds £104 million.
The future of the site remains uncertain. The MoJ and HMPPS are awaiting a Health and Safety Executive review before deciding if reopening represents value for money. Meanwhile, hundreds of former prisoners and staff potentially exposed to the carcinogenic gas are taking legal action against the government.
This scandal follows a separate report criticising the Home Office for 'squandering' billions on asylum hotel contracts, painting a picture of profound financial mismanagement within government departments. The committee has demanded the government explain what it has learned from this failure to ensure it is never repeated.
