Grenfell firms still receiving multimillion-pound public contracts, analysis finds

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Survivors of the Grenfell Tower fire have called on the government to stop companies implicated in the disaster from receiving public contracts, after it was revealed several were still in receipt of multimillion-pound deals.

New analysis found at least 87 contracts across the public sector in the government’s own database involve companies criticised in the phase 2 report into the Grenfell fire, published in September 2024, though some contracts may have since expired.

The Labour MP Joe Powell, who produced the analysis, said: “Grenfell bereaved, survivors and our community are still fighting for justice eight and a half years after this entirely preventable tragedy, and it’s extraordinary that public money is continuing to be spent with companies who were cited in the public inquiry.”

He said the government should urgently audit the remaining public contracts with the companies and at least provide guidance under the Procurement Act 2023 that the suppliers should not be used because of past misconduct.

Seventy-two people died and more than 70 were injured as a result of the blaze which broke out in the west London tower block on 14 June 2017. It was the UK ‘s worst residential fire since the Blitz in the second world war.

At the time of the report, Keir Starmer said he would debar the companies involved from any public contracts. However, the government later reversed plans for blanket exclusion, citing advice from the Crown Prosecution Service that action could prejudice criminal investigations.

Powell said: “I urge all public bodies to do a full audit of their contracts, including subcontractors and supply chains, and publish exactly what they find. It’s good news that the government have introduced new powers to exclude companies on grounds such as professional misconduct, and now is the time for procurement offices to start using them.”

The main survivors’ group, Grenfell United, said it would be a deep injustice to see some of the companies censured in the report still receive public funds. “While the criminal investigation limits formal sanctions, nothing stops the government taking a clear moral stance,” the group said in a statement.

“The Procurement Act already allows authorities to consider integrity and risk, so there is no excuse for inaction. At the very least, guidance should ensure that companies criticised for serious wrongdoing face the highest scrutiny before more public money is spent.

“Seeing the same companies continue as if nothing happened is a painful reminder of the lack of consequences. Justice has been delayed; it must not be denied. Public bodies must protect people and ensure Grenfell is never repeated.”

Two large companies linked to the disaster – Saint-Gobain and Rydon Maintenance – appear in the public contracts database with contracts worth millions in the public sector.

Rydon, the main contractor for the refurbishment, was heavily criticised. The inquiry concluded that the company “gave inadequate thought to fire safety” and failed to ensure subcontractors and consultants properly understood their responsibilities.

Rydon’s team was found to be inexperienced and relied on subcontractors to highlight errors.

But the company also appears on multiple public contracts, including facilities management services for NHS trusts worth millions. Confirmed contracts include £6.6m with Oxleas NHS foundation trust and £4.3m with Avon and Wiltshire mental health partnerships NHS trust. The trusts did not respond to requests for comment.

In total the database showed 14 contracts with Rydon with unspecified end dates worth more than £5.5bn – though some of the contracts may have since expired. Rydon did not respond to requests for comment.

Powell has written to the NHS trusts involved, as well as Scottish Water, asking them to review their contracts. In his letter to Penny Dash, the chair of NHS North West London, Powell said the trust should review its contract with Rydon.

“It is essential that while we wait for the criminal justice process to conclude, those companies cited in the inquiry are not benefiting from any public funds,” he wrote.

Another of the companies, Celotex, then owned by Saint-Gobain, was found to have marketed its RS5000 insulation as safe for use on high-rise buildings despite knowing it was combustible – and it was used for 95% of the insulation on the tower. The company has said it was intended for use with non-combustible cladding.

During the inquiry, a former Celotex employee testified that they were made to “lie for commercial gain” and described the company’s actions as “completely unethical”.

The procurement data shows that Saint-Gobain continues to hold a £17.6m contract with Scottish Water that runs until 2029. It is no longer the parent company of Celotex, but was at the time of the fire. Scottish Water declined to comment.

A spokesperson for Saint-Gobain Construction Products UK said it comprised “a wide range of businesses, including Saint-Gobain PAM, a manufacturer of high-performance ductile iron pipes for infrastructure and water projects.

“Those businesses had no connection with the refurbishment of Grenfell Tower, nor with Celotex Limited, which has not traded since December 2015. They were not referenced during the inquiry or subsequent government announcements, and their integrity has not been called into question.

“Saint-Gobain businesses have been manufacturing in the UK since 1846. They are a critical supply chain partner across numerous UK construction and infrastructure projects, valued employers, and contributors to the economic areas and local communities in which they operate.”

The Procurement Act 2023 gives local authorities, NHS bodies and other public organisations the power to exclude suppliers for poor past performance, including breaches of health and safety, labour or environmental law, or professional misconduct.

Powell said the powers needed to be used more proactively to protect public safety and public funds, rather than relying on voluntary caution by contracting authorities.

The Cabinet Office is understood to believe it has no legal basis to use the act to issue guidance on suppliers. A government spokesperson said: “We will never forget the 72 lives lost at Grenfell. While the wider public sector is responsible for its own procurement decisions, the government wrote to all organisations named in Sir Martin Moore-Bick’s report and launched investigations into seven.

“These have been paused to avoid any unintentional prejudice to criminal proceedings – but this does not prevent us from restarting them, or launching new investigations where appropriate in the future.”

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