MPs asked Britain to drop Palantir from NHS data work. Ministers offered a review that could end in a two-year extension.
MPs on the Science and Technology Committee wanted Palantir Technologies out of the NHS Federated Data Platform, which links NHS health data.
They cited sovereignty and lock-in to one supplier. The relationship has drawn criticism over £60 million in earlier contracts awarded without competition, The Register reported on 22 October.
The government's answer was a review "in line with standard contract management processes" to inform whether to take the optional two-year extension. It did not commit to an early exit. Palantir says its technology gives value for money and helps the NHS work more efficiently.
The same response covered the wider budget. Britain's public sector spends more than £26 billion a year on digital technology, yet the government says its finance systems cannot show how much each department spends on digital transformation.
Committee chair Dame Chi Onwurah wants ministers to use the break clause and "reduce our dependence on a small number of large US tech firms".
The contract includes controls to support a transition, the government says. Whether an exit is costed before the extension decision, the response does not say.
Sources
Our file on Palantir
- 30 Oct
Britain's defence ministry paid Palantir £282 million in ten years, the FT found. Its published contracts showed £95.9 million.
- 20 Sept
Palantir's £330m NHS contract can be cancelled in February.
- 15 Sept
Nvidia limited Anthropic's models to less sensitive work. Palantir asked for written guarantees.
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