Current Edition

£70 Million Government PPE Contract for Small ‘Luxury Packaging’ Firm

The Government has awarded a £70 million contract for the supply of face masks to a small luxury packaging company.

Documents released in late September show that the Department of Health and Social Care (DHSC) struck a deal with Brandology Limited in June for this equipment. The contract started on 16 June and ended a day later – suggesting a single, bulk order of masks.

The contract was awarded without going through normal competition requirements, using a European loophole that allows for the rapid procurement of equipment in an “emergency”.

Company documents show that Brandology had only £46,000 in the bank at the end of its 2019 accounting period, and net assets of just under £450,000. The firm earned £2 million from debtors in the period, and paid out roughly £1.8 million to creditors.

This one Government contract for face masks therefore represents a 35-fold increase in revenue from the previous year.