London Daily

Focus on the big picture.
Wednesday, Jan 21, 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
Prince William to Make Official Visit to Saudi Arabia in February
Prince Harry Breaks Down in London Court, Says UK Tabloids Have Made Meghan Markle’s Life ‘Absolute Misery’
Malin + Goetz UK Business Enters Administration, All Stores Close
EU and UK Reject Trump’s Greenland-Linked Tariff Threats and Pledge Unified Response
UK Deepfake Crackdown Puts Intense Pressure on Musk’s Grok AI After Surge in Non-Consensual Explicit Images
Prince Harry Becomes Emotional in London Court, Invokes Memory of Princess Diana in Testimony Against UK Tabloids
UK Inflation Rises Unexpectedly but Interest Rate Cuts Still Seen as Likely
AI vs Work: The Battle Over Who Controls the Future of Labor
Buying an Ally’s Territory: Strategic Genius or Geopolitical Breakdown?
AI Everywhere: Power, Money, War, and the Race to Control the Future
Trump vs the World Order: Disruption Genius or Global Arsonist?
Trump vs the World Order: Disruption Genius or Global Arsonist?
Trump vs the World Order: Disruption Genius or Global Arsonist?
Trump vs the World Order: Disruption Genius or Global Arsonist?
Arctic Power Grab: Security Chessboard or Climate Crime Scene?
Starmer Steps Back from Trump’s ‘Board of Peace’ Amid Strained US–UK Relations
Prince Harry’s Lawyer Tells UK Court Daily Mail Was Complicit in Unlawful Privacy Invasions
UK Government Approves China’s ‘Mega Embassy’ in London Amid Debate Over Security and Diplomacy
Trump Cites UK’s Chagos Islands Sovereignty Shift as Justification for Pursuing Greenland Acquisition
UK Government Weighs Australia-Style Social Media Ban for Under-Sixteens Amid Rising Concern Over Online Harm
Trump Aides Say U.S. Has Discussed Offering Asylum to British Jews Amid Growing Antisemitism Concerns
UK Seeks Diplomatic De-escalation with Trump Over Greenland Tariff Threat
Prince Harry Returns to London as High Court Trial Begins Over Alleged Illegal Tabloid Snooping
High-Speed Train Collision in Southern Spain Kills at Least Twenty-One and Injures Scores
Meghan Markle May Return to the U.K. This Summer as Security Review Advances
Trump’s Greenland Tariff Threat Sparks EU Response and Risks Deep Transatlantic Rift
Prince Harry’s High Court Battle With Daily Mail Publisher Begins in London
Trump’s Tariff Escalation Presents Complex Challenges for the UK Economy
UK Prime Minister Starmer Rebukes Trump’s Greenland Tariff Strategy as Transatlantic Tensions Rise
Prince Harry’s Last Press Case in UK Court Signals Potential Turning Point in Media and Royal Relations
OpenAI to Begin Advertising in ChatGPT in Strategic Shift to New Revenue Model
GDP Growth Remains the Most Telling Barometer of Britain’s Economic Health
Prince William and Kate Middleton Stay Away as Prince Harry Visits London Amid Lingering Rift
Britain Braces for Colder Weather and Snow Risk as Temperatures Set to Plunge
Mass Protests Erupt as UK Nears Decision on China’s ‘Mega Embassy’ in London
Prince Harry to Return to UK to Testify in High-Profile Media Trial Against Associated Newspapers
Keir Starmer Rejects Trump’s Greenland Tariff Threat as ‘Completely Wrong’
Trump to hit Europe with 10% tariffs until Greenland deal is agreed
Prince Harry Returns to UK High Court as Final Privacy Trial Against Daily Mail Publisher Begins
Britain Confronts a Billion-Pound Wind Energy Paradox Amid Grid Constraints
The graduate 'jobpocalypse': Entry-level jobs are not shrinking. They are disappearing.
Cybercrime, Inc.: When Crime Becomes an Economy. How the World Accidentally Built a Twenty-Trillion-Dollar Criminal Economy
The Return of the Hands: Why the AI Age Is Rewriting the Meaning of “Real Work”
UK PM Kier Scammer Ridicules Tories With "Kamasutra"
Strategic Restraint, Credible Force, and the Discipline of Power
United Kingdom and Norway Endorse NATO’s ‘Arctic Sentry’ Mission Including Greenland
Woman Claiming to Be Freddie Mercury’s Secret Daughter Dies at Forty-Eight After Rare Cancer Battle
UK Launches First-Ever ‘Town of Culture’ Competition to Celebrate Local Stories and Boost Communities
Planned Sale of Shell and Exxon’s UK Gas Assets to Viaro Energy Collapses Amid Regulatory and Market Hurdles
UK Intensifies Arctic Security Engagement as Trump’s Greenland Rhetoric Fuels Allied Concern
×