MPs Dismiss Palantir's 'Ideological' Defence of NHS Data Contract
Claims by Palantir that concerns over its multimillion-pound NHS contract are "ideologically motivated" have been firmly rejected by the chair of a parliamentary committee. Chi Onwurah, a Labour MP who heads the science, innovation and technology select committee, stated that it was appropriate for the government to seek guidance on activating a break clause in the £330m deal with the US data analytics company.
Government Explores Exit from Controversial Deal
Ministers have sought advice on triggering a break clause in Palantir's contract to deliver the Federated Data Platform (FDP), an AI-enabled system designed to connect disparate health information across the NHS. This move comes amid growing questions over Palantir's expanding presence in the public sector, where it also holds contracts with the Ministry of Defence, several police forces, and the UK's financial watchdog.
Louis Mosley, the executive vice-chair of Palantir in the UK, had urged the government not to yield to "ideologically motivated campaigners" as officials explored ways to exit the NHS England agreement. However, Onwurah countered this narrative, emphasising that the committee's concerns are grounded in practical issues rather than fringe ideologies.
Key Concerns Highlighted by Committee
Onwurah outlined three primary areas of concern regarding Palantir's involvement:
- The transparency and awarding of the contract itself.
- The use of patient data and public distrust that could hinder the NHS's digital transition.
- Issues surrounding Peter Mandelson's role, as he co-founded Global Counsel, a firm that advised Palantir.
"Those three issues have not been fringe concerns," Onwurah told the Guardian. "There may be those who have an ideological concern about data and Palantir, but there are issues around contract transparency, vendor lock-in, value for money, and data security. They are not fringe ideological concerns, but ones that should concern all of us, particularly those who want to secure a shift from analogue to digital for the NHS."
Challenges in NHS Digital Transformation
Onwurah further noted that integrating innovation into the NHS is complicated by staff burnout from Covid-19 and austerity measures. Adding resentment due to trust issues makes this difficult transition even more challenging. She also pointed out that Palantir had initially worked with the NHS at a nominal cost, a strategy often used by large tech companies to position themselves for lucrative government contracts.
"I think it's right [the government] are exploring all options, including how to break with the contract, as there are ongoing concerns about the take-up of the FDP as long as it is being run by Palantir," she added.
Calls for Alternative Solutions
Martin Wrigley, a Liberal Democrat member of the committee, has advocated for terminating the contract and procuring a new consortium of UK tech experts to build a platform for the NHS. This suggestion aligns with broader calls for greater domestic involvement in critical public sector projects.
Mosley, in his committee appearance last July, accused British doctors of choosing "ideology over patient interest" after they criticised the company's data processing contract. He reiterated this stance in a recent interview, warning that ejecting Palantir from NHS data systems would harm patient care and impede efforts to address major healthcare challenges.
The cross-party committee is set to release a report in the coming weeks on its inquiry into the digital reorganisation of government and public services, including the role of AI. This report will incorporate evidence from experts, NHS leaders, and companies like Palantir, potentially shaping future policy decisions on data contracts and public sector partnerships.
