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A company that was placed on the 'VIP' priority route for COVID contracts under the last Conservative Government, saw their profits soar to £178 million after successfully lobbying a senior Conservative peer to help them secure a contract for hundreds of millions of pounds worth of coronavirus tests that were later deemed mostly unusable.
Financial records reveal that Southampton based company Primer Design Ltd, owned by French parent company Novacyt, had a bumper year during the first year of COVID. Its turnover in 2019 was £5.5 million, but following the award of two huge VIP contracts from the Department for Health and Social Care (DHSC) in 2020, this ballooned to £273 million of which £178 million was declared as profit . Two of the firms' directors received bonuses of £8.5 million and £3 million.
Accounts filed by Primer Design brag that sales "grew by over 4,800%" driven "principally" by its UK Government contracts.
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Primer Design were awarded its first £63 million contract by the DHSC in April 2020, this was followed by a £406 million deal in September 2020 - a two year contract to supply PCR COVID tests.
According to analysis by Private Eye, Primer Design recorded a profit margin of 65.3% during the first COVID period, which led to them occupying the top spot in its league table of profitable pandemic contract winners.
Private Eye, noted that Primer Design's profit margins were "double the world's most profitable company and creator of the most in demand "intellectual property", Apple, and three times that achieved by Google".
The contracts ended in disaster, after the DHSC deemed the testing kits supplied by Primer Design to be "unfit for public use" and lacking the "robustness" required. The majority of the kits were never used - resulting in the UK Government attempting to seek a £145 million refund from Primer Design and its parent company, Novacyt, via the UK courts.
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Both firms rejected the claims made by the DHSC and tried to counter sue the Government, eventually reaching an out of court settlement in June last year.
Questions still remained about how the firm was able to secure its place on the VIP lane. However, documents released to Byline Times now shed new light on this matter.
Novacyt's cozy relationship with Lord Bethell.
Lord Bethell held three meetings with executives from Novacyt on 4 April 2020 and 6 April 2020 to discuss the firm's COVID-19 testing capabilities - meetings that the Conservative Peer failed to declare until June 2021, some 14 months later, as first reported by Byline Times.
However, emails disclosed to Byline Times via the Freedom of Information Act show that former Health Minister, Lord Bethell, was in regular correspondence with Novacyt and Primer Design in the days before the company landed its first VIP lane contract in April 2020.
Here's what the emails reveal:
Following a telephone meeting between Lord Bethell and Novacyt, the firm emailed Lord Bethell attaching a memo containing a series of requests where "the Government can help Novacyt" as it begins "scaling up of the COVID-19 testing requirements". The four-page doc...