London mayor Sadiq Khan has blocked a £50 million deal between the Metropolitan Police and the US technology company Palantir, citing a "clear and serious breach" of procurement rules. The contract would have seen Palantir's artificial intelligence used to automate intelligence analysis in criminal investigations.
Khan Intervenes to Halt Contract
The Mayor's Office for Policing and Crime (Mopac) withheld approval, stating that Scotland Yard had engaged seriously with only one potential supplier, Palantir. Khan's office also expressed concerns that the Met risked becoming locked into Palantir's technology and that the proposed deal did not ensure or demonstrate value for money. A spokesperson for Khan said Londoners expect public money to be paid only to companies that "share the values of our city."
No Permanent Block on Palantir
There is no permanent ban on Palantir bidding for future contracts. Mopac indicated it would work with the Met to develop a new procurement process "at pace." The decision comes amid rising public and political concern over Palantir's expanding role in UK public services, where it holds over £600 million in contracts with the NHS, Ministry of Defence, and other bodies.
Palantir was co-founded by tech billionaire Peter Thiel, a supporter of Donald Trump, and has worked with the Israeli military and US immigration enforcement. The company has faced criticism for its ethics, though procurement rules currently prevent consideration of a company's ethics in awarding contracts. Khan has said he will raise the issue with the government.
Procurement Process Breach
City Hall's reasons for blocking the two-year contract included the Met's failure to obtain Mopac's approval for its procurement strategy. In a letter to Met Commissioner Mark Rowley, Deputy Mayor for Policing and Crime Kaya Comer-Schwartz stated: "I have not been provided with any acceptable explanation for this failure, which I regard as a clear and serious breach of the applicable procedural requirements." She noted that the process created legal and reputational risks for both the Met and the mayor.
The proposed contract was valued at £15 million to £25 million per year, at the top of the original cost estimate. A recent trial of Palantir's AI to monitor staff behaviour was awarded directly without open competition, with a value just below the threshold requiring City Hall approval. The trial led to investigations of hundreds of officers for misconduct.
Public and Political Reactions
Hundreds of thousands of people have signed petitions calling for an end to contracts with Palantir, including its £330 million deal with NHS England. MPs have described the deal as "dreadful" and "shameful," and the government has admitted it is "no fan" of the company's politics. Palantir's UK chief executive, Louis Mosley, has defended the company, claiming its NHS system has enabled 110,000 additional operations and reduced discharge delays.
Other police forces using Palantir AI have reported transformative results, such as rapidly processing evidence from mobile phones and helping to dismantle organized crime gangs. However, Khan's move is a setback for the Labour government's push to use AI in policing. Home Secretary Shabana Mahmood recently called for police to "ramp up use of AI" and adopt the technology "at pace and scale."
The Met and Palantir have been approached for comment.
