The healthcare technology company at the centre of a major NHS software contract and political donor controversy has paid out a £50 million dividend to its owner following a year of surging profits.
Financial Surge for NHS Software Provider
TPP Group, which provides the widely-used SystmOne software to the National Health Service, saw its turnover rise to £97.1 million in the year to 31 March 2025. This marked a 13% increase on the previous year. More strikingly, its pre-tax profits soared to £47.4 million, up sharply from £17.4 million, according to annual accounts filed at Companies House.
The Leeds-based firm, founded by entrepreneur Frank Hester in 1997, states its software is used by 7,800 NHS organisations. This includes more than 2,600 GP practices and a third of acute mental health trusts, managing a vast database of 61 million electronic health records. The company has also expanded its operations internationally, with a presence in China, the Middle East, and the Caribbean.
Owner's Stake and Political Donations
The bumper profits enabled the company to issue a £50 million dividend, a significant jump from the £7 million paid in 2024 and £10 million in 2023. Frank Hester, who stepped down as a director of TPP in September 2024, remains the firm's majority owner, holding 75% or more of the shares. He received a salary of £520,000 from the company in the same financial year.
The filings, first reported by the Times, also revealed substantial political donations. TPP donated £10.2 million to the Conservative Party in the year to March 2024. Electoral Commission records show that Hester and his company have donated more than £20 million to the Tories since the start of 2023.
Controversy and NHS Reliance
Hester was embroiled in a political storm in March 2024 after the Guardian reported remarks he made in 2019 about Diane Abbott, Britain's first black female MP. TPP issued a statement saying Hester accepted he was "rude" but that his criticism was not based on gender or skin colour, adding that he "abhorred racism".
As a key supplier to the NHS, TPP's financial success is closely tied to public funds. Data from Tussell shows the company has received £591 million from public contracts since 2016. This includes £281.7 million from the Department of Health and Social Care and £56.1 million from NHS England.
Hester's success with the NHS contractor has helped him amass a personal fortune estimated at £415 million, according to the 2024 Sunday Times Rich List. He was awarded an OBE for services to healthcare in 2015.
