Friday, 3 March 2017

Deloitte and Public Procurement

Having had a very busy couple of months I find that I am still angry about Deloitte deciding not to bid for UK government contracts for 6 (or 18) months as a result of one of their staff leaking comments on UK government preparations for Brexit.

Let me just go over this again, now it has simmered gently.  Deloitte are a private company and are compelled to do what they think will create value for their shareholders.  They clearly think that NOT doing UK government contracts for 6 months will create value.  That MUST mean they think that there is more value coming as a result of this decision.

The awarding of UK government contracts is supposed to be an impartial process with contracts awarded to the best bidder.  If Deloitte believe that they will benefit from this approach they must believe that the process is open to external influence, otherwise whether they annoyed politicians or not would not matter.

Deloitte is a leading company that has won much government work in fair competition against others.  If they are not bidding then contracts are likely to go to organisations that are not as good as Deloitte would have been.  Potentially at higher prices.  The UK suffers because of Deloitte's decision not to bid.  And they have taken that decision to curry favour with politicians.

This is corruption just as much as if they were stuffing notes into brown envelopes.

I don't Deloitte.  I do blame our politicians.

In order to work effectively (whether in the EU, or not) public procurement must be open and fair, and be seen to be open and fair, with contracts going to the best bidder not people with the best contacts or relationships.  This business  damages all parties, and particularly taxpayers. 

If find myself getting more appalled not less.  Your mileage my vary.

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