UK public spending reaches £17bn with offshore-owned private equity firms

Analysis by the GMB union and procurement data company Tussell reveals that UK public sector bodies spent approximately £16.95 billion with private equity-backed firms whose global ultimate owners are based offshore during the 2024-25 financial year.

Total public sector contracts awarded to all private equity-backed suppliers exceeded £31 billion in the same period, meaning offshore-owned firms accounted for more than half of that total.

At the Labour Party conference, GMB General Secretary Gary Smith called for new procurement legislation to ensure public spending maximizes UK-based supply chains and opportunities. Smith criticized current industrial and energy policies, arguing that the existing procurement framework allows billions in public funds to flow to offshore-controlled entities rather than supporting domestic jobs and infrastructure.