Government contractor axed over lost prisoner details
PA Consulting accepts its punishment for losing an unencrypted USB stick and causing the Home Office severe embarrassment.

The government has ended its 1.5 million with PA Consulting after the lost USB stick fiasco where the details of all 84,000 prisoners in England and Wales were lost.
Home Secretary Jacqui Smith said in a statement to parliament that there was a clear breach of the terms of the contract covering security and data handling. She also said the government were also reviewing its other contracts with PA.
The initial Home Office report said that data had been emailed via a secure link to PA Consulting and then downloaded onto the stick. Reuters claimed that investigators thought it may have been stolen by an opportunistic thief, due to its value and the fact it could be easily concealed.
In a statement released today, PA Consulting accepted its own responsibilities for the incident. Although it said it had a rigorous system of security procedures, the loss of data was caused by human failure by a single employee. It apologised unreservedly to the Home Office.
The work is now being taken in-house, with the other Home Office contracts with PA Consulting worth 8 million under review.
PA Consulting went on to claim that there was no risk with the other contracts it had with the government: "PA has conducted an examination of every one of our government and private sector projects that handle personal, sensitive or protectively marked material."
"Our review has confirmed that, apart from in this isolated incident, we are fully compliant with robust policies and procedures and are achieving high levels of information assurance across all of our work."
Get the ITPro daily newsletter
Sign up today and you will receive a free copy of our Future Focus 2025 report - the leading guidance on AI, cybersecurity and other IT challenges as per 700+ senior executives
Just this Monday, Electronic Data Systems - one of the companies supplying National ID cards - lost a hard drive containing the details of 5,000 prison workers.
-
RSAC Conference day two: A focus on what attackers are doing
From quantum to AI, experts discussed how new and experimental technologies could be used by hackers to access and decrypt sensitive data
-
The IT industry’s shift to circular, low-carbon solutions
Maximize your hardware investment and reach your sustainability goals with HP’s Renew Solutions
-
Starmer bets big on AI to unlock public sector savings
News AI adoption could be a major boon for the UK and save taxpayers billions, according to prime minister Keir Starmer.
-
UK government targets ‘startup’ mindset in AI funding overhaul
News Public sector AI funding will be overhauled in the UK in a bid to simplify processes and push more projects into development.
-
UK government signs up Anthropic to improve public services
News The UK government has signed a memorandum of understanding with Anthropic to explore how the company's Claude AI assistant could be used to improve access to public services.
-
The UK’s AI ambitions face one major hurdle – finding enough home-grown talent
News Research shows UK enterprises are struggling to fill AI roles, raising concerns over the country's ability to meet expectations in the global AI race.
-
US government urged to overhaul outdated technology
News A review from the US Government Accountability Office (GAO) has found legacy technology and outdated IT systems are negatively impacting efficiency.
-
Government urged to improve tech procurement practices
News The National Audit Office highlighted wasted money and a lack of progress on major digital transformation programmes
-
Government says new data bill will free up millions of hours of public sector time
News The UK government is proposing new data laws it says could free up millions of hours of police and NHS time every year and boost the UK economy by £10 billion.
-
Online Safety Act slammed by rights groups as bill gains royal assent
News The Online Safety Act has been described as a veiled attempt to secure access to encrypted messages