Source · Select Committees · Public Accounts Committee

Recommendation 17

17

Randox asked for government help within weeks of being awarded its first contract to enable...

Conclusion
Randox asked for government help within weeks of being awarded its first contract to enable it to deliver its contracted level of tests. Randox needed access to specialist testing equipment held in universities and other laboratory facilities, which it and other suppliers received after ministers requested equipment loans on their behalf. The Department said it was not surprised at the amount of help Randox needed from government. The Department noted that contracts were explicitly written to allow for suppliers to ask for assistance on various fronts, which it did not consider unusual at the time.33 However, the National Audit Office’s review of available contract documentation found that, prior to the award of its first contract, Randox had not specified it would need government support to secure testing equipment required to fulfil the contract. The Department was also unable to demonstrate how such help was factored into its negotiations with Randox on price.34