A High Court judge has ruled that PPE Medpro, a company linked to Tory peer Baroness Michelle Mone, must repay the Government almost £122 million. The ruling comes after the company breached a contract to supply 25 million surgical gowns during the coronavirus pandemic, with the court finding the gowns were not sterile and therefore unusable by the NHS.

Baroness Mone, known for creating the Ultimo bra company, has been embroiled in controversy for years regarding PPE Medpro, a firm ultimately owned by her husband Doug Barrowman. The company secured a lucrative contract, allegedly after improper lobbying by Baroness Mone without declaring an interest. The Department of Health and Social Care (DHSC) sued PPE Medpro, asserting that the supplied gowns failed to meet sterility requirements.

Mrs Justice Cockerill’s 87-page ruling explicitly stated that the gowns “were not, contractually speaking, sterile, or properly validated as being sterile,” rendering them unsuitable for use in healthcare settings. PPE Medpro had argued that the DHSC failed to mitigate its losses by not attempting to relabel the gowns for other uses. However, the judge dismissed this, clarifying that relabeling would only have been an option if the goods were sterile to begin with. She concluded that the DHSC was entitled to recover the cost of the gowns, as there was “no realistic identifiable route to selling or deploying these gowns.”

Evidence presented during the trial revealed several issues with the gowns. PPE Medpro claimed to have sterilized the gowns using radiation but failed to provide proof. Contaminants found on the gowns included a recently discovered organism from the Pacific Ocean, another previously found in a blood sample in Sweden, and a third from the Mojave desert. Furthermore, the gowns bore a CE mark but lacked the crucial notified body number required to certify compliance with European standards and sterility. No derogation from the Medicines and Healthcare Products Regulatory Agency (MHRA) had been sought, confirming their non-compliance with PPE safety laws.

The High Court trial, which spanned five weeks, primarily focused on the faultiness of the gowns, rather than the ethical or political implications of Baroness Mone’s involvement. However, court documents and witness testimonies illuminated her active role. Baroness Mone reportedly made the initial approach, contacting former ministers Michael Gove and Lord Agnew, which led to PPE Medpro being directed through the government’s “VIP lane.” This high-priority channel was established during the pandemic to handle offers from politically connected individuals, treating them as more credible. Correspondence showed Baroness Mone actively pressed Medpro’s case with senior officials, including after initial technical concerns were raised about the proposed Chinese factory.

The contract, signed on June 26, 2020, involved the DHSC purchasing 25 million sterile surgical gowns for £4.88 each, totaling £122 million. Reports indicate the gowns cost approximately £46 million to procure from the factory, suggesting a substantial profit margin for PPE Medpro and its intermediaries. While the DHSC successfully recovered the £122 million, its claim for an additional £8 million spent on storing the useless gowns was unsuccessful.

Doug Barrowman, Baroness Mone’s husband and the ultimate beneficial owner of PPE Medpro, strongly criticized the judgment, labeling it a “travesty of justice.” He maintained that the gowns were sterile and that the DHSC had received an “Establishment win.” Baroness Mone echoed this sentiment on social media, asserting that the case was about “politics and blame-shifting,” designed to cover up the government’s broader PPE procurement issues and scapegoat her and her husband. Chancellor Rachel Reeves, who has been working to claw back funds lost during the pandemic, welcomed the judgment, stating, “We want our money back. We are getting our money back. And it will go where it belongs – in our schools, NHS and communities.”

Both Baroness Mone and Doug Barrowman initially publicly denied their involvement with PPE Medpro for years, only admitting their roles in December 2023. It was revealed in November 2022 that Barrowman had received at least £65 million from PPE Medpro’s profits, with £29 million subsequently transferred to a trust benefiting Baroness Mone and her children. This High Court ruling is separate from an ongoing criminal investigation by the National Crime Agency, which commenced in May 2021, into potential criminal offenses by Mone and Barrowman concerning the contracts. A House of Lords inquiry is also ongoing. Baroness Mone has been on a leave of absence from the Lords since December 2022.