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Former Labour deputy leader Tom Watson has joined Palantir as senior vice-president, with the appointment coming as the US AI software company faces pressure over its £330 million NHS contract and seeks to expand its UK public sector business.
Watson, who served as an MP for 18 years and was a digital minister under Gordon Brown, will work alongside Palantir’s UK and Europe chief executive Louis Mosley to support the company’s work with public and private sector organisations. He has been a part-time adviser to Palantir since 2024.
The appointment comes ahead of a decision by Greater Manchester mayor Andy Burnham on whether to end Palantir’s involvement with the NHS. The company was awarded a seven-year, £330 million contract to develop the NHS federated data platform (FDP) in November 2023.
Palantir’s software has been credited with supporting 110,000 additional operations, reducing discharge delays for long-stay patients by 15 per cent and improving faster cancer diagnoses by 6.8 per cent, according to figures cited by the Telegraph. Former health minister Dr Zubir Ahmed said in April that the FDP was “critical to the future of the NHS”, while acknowledging Labour was “no fan of Palantir’s politics”.
The company has faced opposition from Labour MPs and unions over its work with the Israeli military and US immigration authorities. The Telegraph reported in July that the Prime Minister was considering using a break clause next spring to terminate the NHS agreement two years into the seven-year contract.
Watson will take a leave of absence from the House of Lords while working for Palantir and has relinquished his parliamentary pass. Louis Mosley, Palantir’s UK head, said Watson would bring his “deep understanding of public policy and the digital landscape” to the company’s largest market outside the US.
Watson said his role would demonstrate Palantir’s “enduring commitment to Britain” through improving public services and increasing UK hiring. He said the company’s software could reduce the time taken for patients to be “diagnosed, treated and discharged” while supporting the military and police.
Palantir is also facing a dispute with London mayor Sadiq Khan after he blocked a proposed £50m Metropolitan Police contract in May. Khan’s office said there had been a “clear and serious breach” of procurement rules, while Palantir accused the mayor of putting “politics above public safety”.
The Guardian reported that the appointment forms part of a wider pattern of former British political figures taking roles with major technology companies. Tom Brake, chief executive of Unlock Democracy, said the “revolving door is proving very fruitful for big tech” and called for an enforceable five-year ban on former ministers and senior civil servants taking industry posts.
