NYC Hospitals Drop Palantir as UK Faces NHS Data Privacy Fears
NYC Hospitals Drop Palantir as UK Faces NHS Data Privacy Fears

New York City's public hospital system has announced it will not renew its contract with Palantir, as the data analytics and AI firm faces growing scrutiny over its deals with the UK government and the National Health Service (NHS). Dr Mitchell Katz, president of NYC Health + Hospitals, testified before the city council that the agreement, focused on recovering money for insurance claims, would expire in October. He stated there was an 'absolute firewall' preventing Palantir from sharing information with US Immigration and Customs Enforcement, and that no incidents had occurred.

The contract, revealed by the Intercept and shared with the Guardian by the American Friends Service Committee, shows NYC Health + Hospitals has paid Palantir nearly $4 million since November 2023. It allowed Palantir to review patient health notes to help claim more public benefits, including Medicaid. The contract also included a clause permitting Palantir to 'de-identify' protected health information for purposes other than research, with permission from the city agency. NYC Health + Hospitals confirmed it will transition to in-house systems and share no data with Palantir after the contract ends.

In the UK, Palantir's £330 million NHS agreement faces similar privacy concerns. Health officials worry controversy may halt nationwide rollout, despite Prime Minister Keir Starmer's efforts to speed deployment. As of last summer, less than half of health authorities had adopted the technology, amid community and doctor opposition. A March 12 briefing by health charity Medact warned Palantir's software could enable 'data-driven state abuses of power', including US-style ICE raids. Palantir denied this, citing illegality and contractual breach.

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Palantir also contracts with the Ministry of Defence and is expanding UK influence. The Guardian revealed it is seeking access to sensitive financial regulation data from the Financial Conduct Authority to root out financial crime, sparking outcry from MPs. Liberal Democrats have called for a government investigation. Starmer dismissed suggestions of over-reliance on US tech firms but expressed preference for more domestic capability. Medact argued NHS data privacy protections are insufficient, though NHS England maintains data is de-identified.

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