Andy Burnham's government is searching for a UK alternative to Palantir, as the prime minister's "Buy British" push triggers a hunt for a homegrown replacement for the controversial US software group in the NHS and the Ministry of Defence.
Ministers have identified a handful of UK technology companies they hope might be candidates to take over the health service's Federated Data Platform, as they consider applying a break clause in Palantir's contract in March next year, people familiar with the matter told the FT. Meanwhile, a defence minister has told parliament that the government is sounding out alternative suppliers for its MoD contract.
Palantir won a £330mn contract from NHS England (NHSE) in 2023 to run the Federated Data Platform, but the project has been beset by controversy. One option under consideration is to offer Palantir a temporary contract extension of about 12 months to give more time to develop a British alternative. Quantexa, which was in the running for the FDP contract in 2023, is among three or four British tech companies being considered.
Tom Bartlett, former deputy director of data engineering and integration at NHS England, said it would be "hugely risky" to replace Palantir and "a leap into the unknown". At the Labour Party conference in Liverpool this week, first secretary of state Louise Haigh said the government wanted to build "sovereign capabilities" in AI and boost the UK tech sector.
Source: Financial Times Companies · Summarized by HeadlinesBriefing