Fujitsu: Government Contracts

Lord Clement-Jones Excerpts

Wednesday 9th July 2025 Lords Chamber

[Baroness Anderson of Stoke-on-Trent (Lab)]

I want to put on record my personal thanks for the work that the noble Lord did in getting us to this point. Even with yesterday’s report, we would not have got as far as we have without his work and that of my noble friend Lord Beamish.

With regard to the role of Fujitsu and its contribution towards compensation and redress, it has accepted that it has a moral obligation to give funds, but the noble Lord will be even more aware than I am that we are yet to see a penny. The Secretary of State met the CEO of Fujitsu on 7 March. Fujitsu has agreed that it will have to make a financial contribution, but I am urged not to give a running commentary, although we will welcome any interim payment in due course.

With regards to ongoing contracts, the noble Lord will be aware that there have been 12 contracts in the last 12 months issued to Fujitsu. Some of that is to transition away from Fujitsu contracts, where we have to make sure there is a smooth transition process. I must remind and urge noble Lords that there are, as yet, no criminal proceedings against Fujitsu, and until then, we have to operate in a quasi-judicial way with regards to our approach to the contracts.

[Lord Clement-Jones (LD)]

My Lords, the noble Baroness will be aware that I have asked quite a number of questions about the Fujitsu contracts, and she has repeated, word for word, quite a bit of what she said in her Written Answers. The Treasury was particularly shocking in its response. When asked why HMRC had retendered to Fujitsu and given Fujitsu contracts this year, it said:

“Contract opportunities are available to any economic operator that is able to meet the requirements of the procurement in compliance with the Public Contracts Regulations 2015 or the Procurement Regulations 2024, as applicable”.


That is a totally dead-bat answer to something quite shocking in my view. In the light of the Horizon report yesterday, which condemned Fujitsu’s conduct as a key contributor to the suffering of thousands of innocent people, is it not already clear that Fujitsu should be nowhere near any new contract?

[Baroness Anderson of Stoke-on-Trent (Lab)]

The noble Lord makes an incredibly important point. Yesterday, we saw the first volume of Sir Wyn Williams’s 160-page report, based on 2 million pages of evidence, which included 19 recommendations, and we will come back to it in due course. The Government are committed to responding in full to the findings of the report by 10 October.

With regard to Fujitsu and the ongoing contracts, I believe that the Treasury contract is about the HMRC platform. Some of this is about continuity of service, to make sure that we are still able to have business supply secured. But I think everyone in your Lordships’ House would agree with the noble Lord’s sentiment that this is about how we operate in a way that is based on evidence going forward, so that we can ensure that those who need to be held accountable are held accountable and we do not make mistakes at the Dispatch Box, which I might by saying something that is unhelpful going forward as we progress after volume 2 is published.