The Home Office has firmly denied allegations of a conflict of interest in awarding a £462.6 million contract to manage migrant processing facilities in the UK.
The dispute has emerged after Mitie Group, through its subsidiary Mitie Care and Custody, launched legal action challenging the decision. The contract—covering key sites including Western Jet Foil and the Manston processing centre—was awarded to MTC Definitive.
Court filings in the High Court claim the Home Office failed to “prevent, identify and remedy conflicts of interest.” The allegation centers on Dave Butler, head of development at MTC Definitive, who previously served as deputy director at the Manston processing centre.
Mitie argues that Butler’s prior role may have given MTC access to sensitive operational knowledge, potentially influencing the tender process.
However, the Home Office has dismissed the claims as “baseless” and without merit.
Representing the government, lawyer Azeem Suterwalla stated that although Butler had access to sensitive information during his time at Manston, he was not involved in procurement decisions.
He also highlighted that Butler was subject to a 12-month restriction after leaving his government role, preventing him from engaging in related commercial activities.
“There was no ‘serious risk’ of a conflict of interest,” Suterwalla told the court.
Mitie’s legal representative, Ewan West, argued that the company submitted its bid in September 2025 but was informed in January that it had been unsuccessful.
He claimed the Home Office failed to properly address concerns raised by Mitie and made “manifest errors” in awarding the contract. Among the allegations:
- Failure to provide sufficient justification for selecting MTC
- Claims that MTC’s bid did not meet minimum staffing requirements
Mitie is seeking to have the decision overturned, requesting the court either award the contract to them, rerun the tender process, or grant financial damages.
According to the UK government’s procurement portal, the six-year contract—valued at £521.3 million before VAT—was divided into two parts:
- £462.6 million: Covering catering, transport, and security services
- £58.7 million: Focused on healthcare provision
The tender was initially published in October 2024.
The Home Office maintains that MTC’s bid met all requirements and that it has since provided clear reasons for its decision.
“It is denied that Mitie is entitled to any of the remedies sought,” Suterwalla added.
The case highlights growing scrutiny over UK government contracts related to migrant processing, particularly as arrivals via small boats continue to put pressure on border systems.