Twelfth Report - Management of PPE contracts

The Department still lacks a stock management system that enables it to fully understand what PPE it has and where it is. The Department believes that it has now received nearly all of the 37.9 billion PPE items that it … Read more The Department still lacks a stock management system that enables it to fully understand what PPE it has and where it is. The Department believes that it has now received nearly all of the 37.9 billion PPE items that it has ordered, with 300 million items yet to be received. The management data on total stock numbers, however, has rarely been accurate. The Department blames inconsistencies between the volumes of PPE ordered and quantities shown in stock counts on the lack of a single end-to-end stock management system that captures all the stock it holds. This is exacerbated by the fact that the Department is still storing PPE in 70 locations across the UK, with items also held in China and also by suppliers. In order to make informed decisions about the appropriate amount of PPE to stockpile in future, the Department will need accurate and complete data on the stock it currently holds. Recommendation: The Department should set out in its Treasury Minute response to the Committee how it intends to work with SCCL to build and maintain an effective stock management system that is complete and accurate in its data collection. Show less

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The Department told us that factoring in consideration of profit margins before these PPE contracts were awarded was not possible. While it agreed that the best way to mitigate against excessive profiteering was to build such contingencies into the contract it argued that the reality of the global market at …

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