13
Accepted
We asked the Department for an update on the current position of contracts it had...
Conclusion
We asked the Department for an update on the current position of contracts it had entered into in response to the COVID-19 pandemic. The Department has now identified 17 Q 43 18 Q 79 19 Q 88; DHSC 2020–21 ARA, page 123 20 C&AG’s Report, The supply of personal protective equipment (PPE) during the COVID-19 pandemic, Session 2019–21, HC 961, 25 November 2020 21 C&AG’s Report, The supply of personal protective equipment (PPE) during the COVID-19 pandemic, Session 2019–21, HC 961, 25 November 2020 22 DHSC 2020–21 ARA, page 16, paras 66–67, page 132, paras 683–684 23 C&AG’s Report, paras 6, 7 24 Q 67 25 Q 65; DHSC 2020–21 ARA, page 115 12 Department of Health and Social Care 2020–21 Annual Report and Accounts issues of concern on 176 of the 364 (48%) PPE contracts it entered into. The 176 contracts total £3.9 billion. 59 of these contracts have moved to commercial discussions with 27 under legal review and 3 in mediation.26
Government Response Summary
The government agrees with the implied recommendation to address problematic contracts. It has established a Dissolution Team to work through contracts in dispute and commits to providing regular quarterly updates to the Committee on progress, including amounts reclaimed and commercially sensitive information, with a target implementation date of August 2023.
Government Response
Accepted
Government Response
Accepted
HM Government
Accepted
2.6 The government agrees with the Committee’s recommendation Target implementation date: August 2023 2.7 The department has established a Dissolution Team to work through the contracts in dispute to maximise the value obtained from taxpayer’s money. The Dissolution Team is expected to be in place until at least March 2023. 2.8 The department will provide regular updates to the Committee as part of quarterly reporting as laid out in Treasury Minute 13. This will include information about the amount that has been reclaimed against the ‘value at risk’. There will be some instances where the information is commercially sensitive and could impact the department’s ability to successfully pursue cases to completion. Where this is the case, the department will consult with the Parliamentary Clerk to determine how best to provide the information to the Committee in confidence. The information will be made publicly available in due course.
Source
Committee
Public Accounts Committee
Report
Sixth Report - Department of Health and Social Care 2020–21 Annual Report and Accounts
10 Jun 2022
HC 253
Addressee Bodies
HM Treasury
Timeline
Recommendation age
4.1 yrs
Report published
10 Jun 2022