Outsourcing

The deal would have been Palantir’s largest yet in British policing, after others worth £330m and £240m with NHS England and the Ministry of Defence.

The row has been inflamed by the fact that Khan has previously made clear that Londoners only wanted to see public money being paid to companies that “share the values of our city”.

[…]

The row has cast fresh light on Palantir’s record of winning public contracts in the UK. Scotland Yard previously appointed Palantir on a much smaller contract to use AI to monitor staff behaviour in an bid to root out corrupt officers. This contract was awarded directly, without advertisement or open competition, because its value was just below the £500,000 threshold required for City Hall’s approval.

Khan said on Thursday: “In general terms, what you’re allowing is these private companies to almost have a loss leader, so they give you a good deal or something for nothing for a short bit of time [and] you can become reliant upon them.”

In 2023 the government’s chief commercial officer raised concerns with Palantir about the practice of offering public services for a zero or nominal cost to gain a commercial foothold.

Donald Campbell, director of advocacy at the tech equity campaign Foxglove, said: “Palantir is notorious for its ‘land and expand’ approach, in which it wins small contracts or even offers free services at first, then uses those to build a much wider role in our public services.”.

He said Khan had “seen through this practice, and put a stop to it – while rightly highlighting Londoners’ concerns over Palantir’s ethical record”.

[…]

Martin Wrigley, a Liberal Democrat member of the Commons science and technology select committee said he was “delighted” by City Hall’s decision.

“To get another contract without competition would have been a disgrace,” Wrigley said. “Palantir have failed to deliver to their promises on too many projects. Buying projects through free trials to then write the contract spec should be banned from government procurement.”

Khan’s move will be a blow to the Labour government’s efforts to use AI to improve policing. In January, the home secretary, Shabana Mahmood, called for police to “ramp up use of AI” and to adopt the technology “at pace and scale”.

Shocked, but not surprised.

Australia's universities are paying external consultants and contractors an estimated $1.8 billion a year without disclosing which firms they are hiring and what the money is being spent on.

Consultancies have been accused of infiltrating universities, wasting scarce public funds on questionable advice about cutting courses and jobs, and undermining the sector's principles of public good.

[…]

When the University of Technology Sydney (UTS) embarked on a process in 2024 to reduce debt and balance its budget, it could have sought advice from its own Business School, which includes some of the finest minds in finance, accounting and economics.

Instead, it called in external consultants from KPMG, which charged about $7 million for what UTS academics have described as "cookie-cutter" advice on how to save money.

After winning the contract, KPMG embedded itself within UTS as it began assessing which courses and academic programs were generating revenue for the university and which were not.

At least 24 KPMG staff, including directors and partners, soon had UTS email addresses, could access the university's Microsoft Teams and SharePoint systems, and were attending staff meetings.

"That is the standard operating procedure: get into a client and look as much like you're a part of the client, infantilise the client, make them think that they can't do things without you," says former KPMG partner turned whistleblower Brendan Lyon.

Mr Lyon, now a professor of practice at the University of Wollongong, said when he was at KPMG, the education sector was seen as an area ripe for revenue growth.

"That was a real focus. They'd recently recruited a former vice-chancellor of an Australian university. From what I saw within KPMG, it was a real growth area and a real growth target," he said.

UTS staff had to use a freedom of information request to access the report KPMG wrote for the university. The document they were given was highly redacted.

Eventually, a handful of staff, including associate professor Paul Brown, were allowed to view a copy of the report under strict supervision.

[…]

Dr Brown said that while there were some suggestions that made sense around working capital, he was shocked to see that one section of the report suggested the university should change its organisational structure to be more triangle-shaped.

"We laughed because it was like a Woolworths-type organisational structure, not a university with all its complexities … where you're going to do serious research and have to do world-leading innovation," he said.

"Just the lack of understanding … was astounding," he said.

BOM launched its new website, which was also built by Accenture Australia, in October 2025 during an extreme weather event. It was widely criticised for its costs and poor design, including changes to its rain radar display.

Upon launch, BOM said the website cost $4.1 million to reconfigure. But it has since been revealed that the real cost was approximately $96.5 million, owing to the cost of upgrading and testing its back-end systems.

Much of the cost can be attributed to the $78 million contract signed with Accenture, which initially started as a $31 million contract and grew across nine extensions.

During a Senate estimates hearing late last year, Greens senator Barbara Pocock described the broader program as a "nightmare Harvard case study in contract failure and management of contracts", specifically citing Accenture in her criticism.

"This is a firm that is famous for 'land and expand'," she said.

[…]

In the US, President Donald Trump has taken the axe to the government workforce, with science and climate agencies taking major hits.

In Australia, the CSIRO is also facing significant cuts.

Most recently, it was announced that the organisation would lose up to 350 full-time equivalent jobs across its research units, including reports of over 100 job losses in their Environmental Research Unit.

Senator Whish-Wilson said, given this, Australian scientists would be "rightly questioning" what the government's priorities were.

"Scientists are going to be devastated if they hear that tens of millions of dollars are being spent on new web services when they're being told there's no money to pay for their salaries and for the critical science that they do," he said.

"[Science] which, by the way, feeds into Australian Climate Services and will be used on this website or updated web portal."