Key facts
- Tom Watson, former Labour deputy leader, joined Palantir as senior vice-president.
- Watson warned against "mob rule" in awarding government contracts.
- Palantir has faced backlash over its work with the Israeli military and US immigration enforcement.
- Palantir is involved in a £330m NHS software deal and a £50m contract dispute with the Metropolitan police.
- Watson stated Palantir is not an Israeli company but is targeted due to its work in Israel.
- Watson indicated willingness to work with a Reform UK government on immigration.
Tom Watson, a former UK Labour deputy leader who recently joined Palantir as a senior vice-president, has cautioned against allowing public opinion to dictate the awarding of government contracts. He warned that ministers could face significant trouble if they allow "mob rule" to supersede the rule of law in procurement practices.
Watson's comments come amid scrutiny of Palantir's involvement in British public services. The company, co-founded by Peter Thiel, has faced criticism for its work with the Israeli military and US immigration enforcement, leading to a backlash from some politicians and unions. Prime Minister Andy Burnham is reportedly under pressure to reconsider Palantir's participation in contracts, including a £330 million software deal with the NHS.
Palantir is also engaged in a legal dispute with London Mayor Sadiq Khan over a £50 million contract for its AI technology in Metropolitan police investigations. The company currently has an annual turnover of £427 million in the UK and is seeking further public sector work.
Speaking on the BBC podcast "Political Thinking with Nick Robinson," Watson addressed concerns about Palantir's work, stating that while the company is not Israeli, its work in Israel has made it a target amid Gaza protests. He also indicated that Palantir would be open to working with a Reform UK government on immigration crackdowns, despite not typically operating in that sector.
Watson, who previously served as a defence minister and minister for digital engagement, described Palantir as "the most interesting company on the planet." His role is intended to deepen the company's social and economic value through public services, jobs, and skills. Palantir confirmed Watson has taken a leave of absence from the House of Lords and relinquished his parliamentary pass for his role in London.
However, Labour MP Chi Onwurah, chair of the science, innovation and technology committee, expressed concerns about over-reliance on a single US company, citing potential issues with data access under US legislation.