Recommendation 22

Over the three-year period of the pharmacy scheme with Taulia and Greensill Capital as subcontractor, a cumulative transaction value of £3.32 billion of pharmacy loans passed through the supply chain finance. Taulia received in the region of £840,000 over the three-year period. We asked CCS whether it felt at any point that it had a role in advising other parts of Government about the marginal benefit to any company of running the scheme and, therefore, the potential risk. CCS stated that it had been asked to deliver on a framework and to procure someone to deliver it. CCS highlighted that it proceeded on the basis that it thought it was the right thing to do and that it was not technically CCS’s role to question the approach to supply chain finance but to consider the request from its customers. The consideration in this case, led to CCS thinking that it could bring dynamic discounting into the agreement as well and offer that service more widely to the public sector.23