London Daily

Focus on the big picture.
Saturday, Apr 11, 2026

Department of Health did £90,000,000 deal with firm listed in Chinese hotel room

Department of Health did £90,000,000 deal with firm listed in Chinese hotel room

The Department of Health (DHSC) signed two PPE deals worth more than £90 million with a state-backed Chinese firm listed at a hotel room in Beijing, newly-published documents show.

The heavily-redacted contracts have emerged as the Government is accused of signing off ‘secretive big money deals’ with foreign firms despite British companies having tendered their services.

Matt Hancock’s department spent an estimated £9.5 billion on vital PPE equipment during the first wave as it tried to rush supplies to the NHS supply chain, according to Tussell market intelligence.

The deals struck with Beijing Union Glory Investment Co. Ltd feature in documents which were released last week.

The largest amount was £69.9 million, paid for surgical theatre gowns in a contract that began in May 2020. Under the terms, 70% of the contract value was to be paid by transfer through China Everbright Bank within three working days of the deal being struck.

The company’s address is listed as Room 9401A, Guobin Hotel, No9 Fuwai Street, Xicheng District. The closest hotel is the opulent Presidential Beijing, also known as the Guobin, which lies in the business district, although the postcode is a few digits different.

The grand hotel has 486 bedrooms, including the Royal, Presidential and State suites, which offer a 24-hour butler service, and three executive floors which boast ‘bespoke facilities, business tools and complimentary services’.

Matt Hancock has said his department prioritised getting vital stocks of PPE to the frontline during the pandemic


The suites are billed as offering ‘an exclusive, discreet environment in which to fuse business or leisure with unsurpassed pleasure’, while guests can also make use of a grand ballroom.

A source familiar with the district said the address provided by Beijing Union Glory is the same as the location given on the hotel’s website.

The Presidential did not reply to a request for comment.

Another contract for gowns, which listed the same address, was signed off for £26.4 million the previous month.

Again, the terms included a 70% down-payment, this time within two working days. In this instance, the buyer was the British Embassy in Beijing on behalf of the UK Government.

Both documents are heavily redacted with quantities and unit prices blacked out, making it impossible to ascertain if the orders reflected value for money for the taxpayer. Although the award notices have been included on the Government’s online register since October, the corresponding documents were only added last week.

MP Matt Western said British companies which repurposed their operations to respond to the pandemic have been dealt a ‘kick in the teeth’ after being overlooked in favour of contractors mainly based in China and Turkey.

Mr Western has taken up the case of companies which say they were overlooked for PPE contracts despite spending hundreds of thousands of pounds answering a ‘call to arms’ during the first wave.

Mr Western, who represents Warwick and Leamington, said: ‘I have called for the firms in my constituency – and others across the UK that suffered financially after being overlooked for PPE contracts – to be reimbursed by the Government and prioritised for any future NHS contracts.

‘The secretive big money deals reached with foreign firms like Beijing Union Glory in China is a kick in the teeth for them.

‘Firms like Contechs in my constituency have taken a big hit as a result of this betrayal after the Government’s “call to arms” in April.

‘They invested heavily to develop and manufacture PPE here in the UK, expanding manufacturing space and sourcing capital equipment only to be told at the last minute they would not be successful.

‘It is infuriating to hear about the DHSC signing off contracts with Conservative Party donors, companies with no prior experience and chums of the Secretary of State – with the equipment purchased sometimes unusable.

‘And now profiteering “middle-men” dealing with Turkish and Chinese companies are granted contracts rather than the Government sourcing directly from our UK companies with UK employees making high quality products at similar or lower cost.’

A redacted contracts for PPE gear that does not include basic information to enable assessment of the merits of the order


Allegations of cronyism have repeatedly been denied by Government ministers.

A fast-track lane without the usual procurement and transparency requirements was used in the first wave in an effort to secure supplies for the health service, with the department saying it needed to act in ‘extreme urgency’ during ‘unprecedented’ events.

The Good Law Project (GLP) has been calling on the Department of Health to disclose further information relating to the deals.

The non-profit organisation secured a victory in the High Court last month when the Health Secretary was ruled to have acted unlawfully by not releasing Covid contracts within a 30-day deadline.

The DHSC maintains that its protocols specify that all PPE is quality assured, meets high standards and is only distributed if it meets strict standards in line with the Government’s technical specifications.

The department holds that it has ‘taken advantage of every avenue to get PPE into the country including working with companies that have established productions and delivery routes outside of their normal business’.

It also says that ‘proper due diligence is carried out for all Government contracts and we take these checks extremely seriously’, with ‘clear Treasury guidance to ensure value for money was achieved’.

Offers not offering value for money were rejected, according to the DHSC.

The department says it recognises ‘the importance of transparency in the award of public contracts and will continue to publish information about contracts awarded as soon as possible’.

The British Government came under intense pressure to supply PPE to the health service’s frontline during the first wave


A DHSC spokesperson said: ‘We have been working tirelessly to deliver PPE to the frontline.

‘Over 8.8billion items have been delivered so far and almost 32billion items have been ordered to provide a continuous supply, which will meet the future needs of health and social care staff.

‘Proper due diligence is carried out for all government contracts and we take these checks extremely seriously.

‘All offers were prioritised based on volume, price, meeting clinical standards and the time it will take from an offer being accepted by DHSC to the supplier delivering those items.’

On a website for the firm’s parent company, China National Complete Engineering Corporation, Union Glory says it acts with ‘creation, honesty, efficiency and co-prosperity’.

Newsletter

Related Articles

0:00
0:00
Close
Starmer and Trump Hold Strategic Talks on Securing Strait of Hormuz Amid Rising Tensions
Unofficial Australia Visit by Prince Harry and Meghan Expected to Stir Tensions with Royal Circles
Pipeline Attack Cuts Significant Share of Saudi Arabia’s Oil Export Capacity
UK Stocks Rise on Ceasefire Momentum and Renewed Focus on Diplomacy
UK to Hold Further Strategic Talks on Strait of Hormuz Security
Starmer Voices Frustration as Global Tensions Drive Up UK Energy Costs
UK Students Voice Concern Over Proposal for Automatic Military Draft Registration
Rising Volatility Drives Uncertainty in UK Fuel and Petrol Prices
UK Moves to Deploy ‘Skyhammer’ Anti-Drone System to Strengthen Airspace Defense
New Analysis Explores UK Budget Mechanics in ‘Behind the Blue’ Feature
Man Arrested After Four Die in Channel Crossing Tragedy
UK Tightens Immigration Framework with New Sponsor Rules and Fee Increases
UK Foreign Secretary Highlights Impact of Intensified Strikes in Lebanon
UK Urges Inclusion of Lebanon in US-Iran Ceasefire Framework
UK Stocks Ease as Ceasefire Doubts in Middle East Weigh on Investor Confidence
UK Reassesses Cloud Strategy Amid Criticism Over Limited Support Measures
UK Calls for Full and Toll-Free Access Through Strait of Hormuz Amid Rising Tensions
Starmer Signals Strategic Shift for Britain Amid Escalating Iran-Linked Tensions
UK Issues Firm Warning to Russia Over Covert Underwater Military Activity
OpenAI Halts Stargate UK Project, Casting Uncertainty Over Britain’s AI Expansion Plans
Starmer Voices Frustration Over Global Pressures Driving UK Energy Costs Higher
UK Deploys Military Assets to Protect Undersea Cables From Suspected Russian Threat
Canada Aligns With US, UK and Australia as Europe Prepares Major Digital Border Overhaul
Meghan Markle’s Planned Australia Appearance Sparks Fresh Speculation
Starmer Warns Sustained Effort Needed to Ensure US–Iran Ceasefire Holds
UK to Partner with Shipping Industry to Rebuild Confidence in Strait of Hormuz, Cooper Says
UK Interest Rate Expectations Ease Following US–Iran Ceasefire Agreement
Starmer Signals Major Effort Needed to Fully Reopen Strait of Hormuz During Gulf Visit
UK Fuel Prices Face Ongoing Volatility Amid Global Pressures and Domestic Factors
Kanye West’s Planned Italy Festival Appearance Draws Debate After UK Entry Ban
Smuggling Routes Shift Toward Belgium as Migrant Crossings to UK Evolve
Ceasefire Offers Potential Relief for UK Fuel and Food Prices Amid Ongoing Uncertainty
Iran Conflict Raises Questions Over UK’s Global Influence and Military Preparedness
Senator McConnell Visits Kentucky to Highlight Federal Investment in Local Projects
Kanye West Barred from Entering UK as Legal Grounds Come into Focus
UK Denies Visa to Kanye West After Sponsors Withdraw from Wireless Festival
Trump-Era Forest Service Restructuring Leads to Closure of UK Lab Focused on Kentucky Woodland Health
Foreign Students in the UK Describe Harsh Living Conditions and Financial Pressures
Reform UK Proposes Visa Restrictions on Nations Pursuing Reparations Claims
Public Reaction Divides Over UK Decision to Bar Kanye West
Calls Grow for UK to Review US Base Access Following Concerns Over Escalating Rhetoric
UK Indicates It Will Not Permit Use of Its Bases for Potential US Strikes on Iran’s Energy Infrastructure
UK Prime Minister Defends Decision to Bar Kanye West, Questions Festival Booking
UK Accelerates Efforts to Harmonise Medical Technology Rules with United States
Wireless Festival Cancelled After Kanye West Denied Entry to the United Kingdom
Australia’s most decorated living soldier was arrested at Sydney Airport and charged with five counts of war-crime murder for the killing of unarmed Afghan civilians
The CIA’s Secret Technology That Can Find You by Your Heartbeat Successfully Locates Downed Airman
Operation Europe: Trump Deploys Vance to Hungary to Save the EU
King Charles Faces Criticism From Some UK Christians Over Absence of Easter Message
Former UK Defence Secretary Raises Concerns Over Ability to Counter Iran Missile Threat
×