Anger as Fujitsu awarded government contract, despite Post Office scandal

11 April 2024, 10:47 | Updated: 11 April 2024, 17:24

Fujitsu has been given a £155k contract by the National Nuclear Laboratory, LBC understands
Fujitsu has been given a £155k contract by the National Nuclear Laboratory, LBC understands. Picture: Alamy
Henry Riley

By Henry Riley

Fujitsu has been awarded its first government contract of the year, despite the company being embroiled in the Post Office scandal, LBC understands.

Listen to this article

Loading audio...

The Liberal Democrats have called for the contract to be “paused immediately”, whilst Labour’s Ed Miliband has told LBC it “raises concerns”.

The National Nuclear Laboratory, which is owned and operated by the government, has awarded the firm a £155k contract for 'software support' until 2025.

Former Labour leader Ed Miliband said “we know the Post Office was an absolute scandal”, adding “we’ve got an inquiry going on and the government needs to be very cautious about handing out these kind of contracts”.

Christopher Head, who was the youngest victim of the Post Office Horizon scandal said he found the news “frustrating”.

Read more: 'Ideology trumped children's interests', Health Secretary says, as she orders review of 9,000 young trans patients

Read more: Property billionaire sentenced to death for swindling nearly 3% of Vietnam’s GDP in one of the biggest frauds in history

Mr Head told LBC “When there is a pledge not to bid for contracts you kind of expect them to adhere to that. But the problem is these companies have shareholders, and these shareholders demand profitability. It is frustrating”

“Fujitsu made this pledge that they wouldn’t voluntarily bid for contracts within the government while the inquiry is going on – but we all know the size of these companies makes it difficult”

The contract, published by procurement data provider Tussell, is for “software support” and is due to run until 31 March 2025.

It marks the first government contract with Fujitsu in 2024, and the first since the ITV drama ‘Mr Bates vs the Post Office’ – this is in contrast to last year where the company had already been awarded six contracts.

Liberal Democrat MP for Richmond Park Sarah Olney told LBC “this contract needs to be paused immediately whilst the Post Office inquiry continues.”

Olney, who is the Lib Dem treasury spokesperson added “this company is embroiled in the Post Office's industrial scale lies, which saw over two decades of misjustice."

Imran Hussain, the Labour MP for Bradford East, posted on X “once again the Tories prove that they believe that failure is something to be rewarded, and that they believe no scandal is too great to be a barrier in getting a government contract”.

He added “is it really any wonder that people think the government is broken and corrupt”.

A government spokesperson said: "The National Nuclear Laboratory requires bespoke software to ensure its work remains compliant with operationally critical regulations.

"There are currently no other suitable suppliers and without re-awarding this contract, the NNL would be unable to fulfil its regulatory duties.

"The NNL will consider all options once the contract comes to an end in March 2025, including exploring in-house solutions.

"We welcome Fujitsu’s own decision to pause bidding for work with new government customers until such time as the Horizon inquiry concludes."

A spokesperson from the National Nuclear Laboratory said: "This award notice simply represents a short, fixed-term extension of 12 months to ensure continuity of service as we consider our future options."

More Latest News

See more More Latest News

Heathrow will expand two terminals ahead of a third runway.

Heathrow to expand two terminals in multibillion-pound investment ahead of controversial third runway

Donald Trump has ordered the release of the last classified files surrounding the assassination of John F. Kennedy on Thursday, vowing that ‘everything will be revealed’.

FBI uncovers thousands of secret JFK assassination files - as task force head says she believes there were 'two shooters'

A large police presence remains in place

Police continue 'challenging' negotiations with 'armed' man in Sheffield apartment block

People continue their daily life under difficult conditions at Jabalia Refugee Camp, located in the north of the Gaza Strip, as they struggle to survive among the rubble of buildings destroyed by Israeli attacks

Gazan family allowed to settle in UK under Ukrainian scheme - as Home Office warns of 'floodgates opening'

John Tuckett

Labour's new borders watchdog 'to work from home in Finland', 1,200 miles from London

President Donald Trump speaks with Jordan's King Abdullah II in the Oval Office at the White House, Tuesday, Feb. 11, 2025, in Washington. (Photo/Alex Brandon)

Trump doubles down on pledge to 'take over Gaza', as Netanyahu threatens return to war if Israeli hostages not freed

The Princess of Wales, Patron of Action for Children, during a visit to a mother and baby unit inside HMP Styal in Wilmslow

Kate met with wolf-whistles and cries for 'more funding' as she visits women's prison

Domestic cat balancing on garden fence, Bavaria, Germany, Europe

Police hunt mystery cat coiffeur after felines in rural Lincolnshire village return home missing patches of fur

Liam Payne and Maya Henry

Liam Payne 'smoked heroin and sexted fans': Bombshell revelations as ex-fiancee breaks silence on star's death

Exclusive
Bridget Phillipson has said Yvette Cooper will 'make sure' vetting of Metropolitan Police officers is 'overhauled'

Home secretary will ensure 'overhaul' of Met vetting process following controversial High Court ruling, Phillipson says

Exclusive
James Cleverly

James Cleverly slams 'Orwellian' assisted dying bill as High Court judge sign-off to be scrapped

The Church of England's governing body has voted against a fully independent safeguarding body

Church of England vote 'a punch in the gut for victims' as Synod rejects independent safeguarding

Oliver Ryan and Andrew Gwynne have been suspended

Eleven Labour councillors suspended for being part of offensive WhatsApp group after two MPs also punished

A major travel agent has urged families to go on holiday during Easter rather than the summer

Save thousands by going on holiday at Easter instead of summer, British families told

Benjamin Netanyahu has threatened to tear up the ceasefire deal

Netanyahu’s ultimatum to Hamas: Return hostages by Saturday deadline or ceasefire gives way to 'intense fighting'

Sir Alex Ferguson and Wayne Rooney were in attendance at Denis Law's funeral

Stars pay final respects to Denis Law as Manchester United legend laid to rest