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Independents' Day

CQC in trouble after handing £1.2m 'intelligent monitoring' contract to McKinsey

The CQC’s ‘intelligent monitoring’ has come under further criticism after it was found to have handed a contract to consultancy firm McKinsey & Co without proper tendering.

The CQC has been subject to a Department of Health audit after an internal whistleblower claimed the regulator had given preferential treatment to the management consultancy firm in awarding the £1.2 million contract for developing its ‘risk based intelligence’ approach to prioritising inspections.

As a result of allegations made by ‘senior staff’ in 2014, the DH commissioned an audit to look into the allegations.

It concluded that ‘pre-tender mistakes allowed McKinsey exclusive access’ to the risk based intelligence contract, although the procurement process was ‘otherwise conducted properly’.

But another contract awarded to McKinsey was found to give the firm ‘preferential treatment in the evaluation stage’.

The report, published today, added: ‘In relation to both procurements - CQC did not keep a full audit trail of documentation concerning the procurement exercises.’

The audit did not substantiate allegations of ‘bullying or harassment in relation to the procurements’ or ‘that CQC entered into a ‘verbal contract’ with McKinsey prior to the tender exercises’.

It also dismissed an allegation that CQC chief executive David Behan ordered the executive team to delete an email relating to McKinsey.

The CQC previously had to apologise for its publication of intelligent monitoring risk ratings for general practice after these were found to be unfair and crucially flawed.

In light of the audit, the DH has ordered the CQC to review all procurement processes and roll out staff training. Mr Behan said that the ‘CQC accepts the findings of the review and I regret that there were procedural errors in the way these procurements were handled’.



Readers' comments (15)

  • now if a practice had slipped up what do you think the CQC would do to them?

    accountability please !

    why does the CQC get a slap on the wrist but we get shut down?

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  • CQC should go into special measures 'immediately'

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  • Galling to have to be subjected to a regulation by a failing quango and then have to pay for them for the 'previlege'

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  • Total failure by the CQC.... again!
    Must be the 5th or 10th massive error by the CQC who have Prof Fields and David Behan survived this mess.

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  • So McKinsey are responsible for Intelligent Monitoring.

    Good work chaps. Really, really impressive stuff. £1.2 million for that piece of work is astounding.

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  • Oh my god. Words cannot express my need to vomit.

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  • Kinsey is a toxic organisation: They were the ones who recommended that GP consultations should only take 6 mins.

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  • again where is accountability?

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  • Dire need for an independent body to for healthcare in the UK. Free from political charlatan meddling.

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  • There's nothing to laugh at. The 1.2 million and payouts for the next Contracts will all be recovered from the healthcare system. Fish rots from the head and the process is on-going with all fraud agencies in the country having gone into hibernation mode.
    No hunt for culprits this time

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