Aramark loses out to Booker and DHL on prison contract (UK)

Booker and DHL win Prison Service contract to supply goods to 128 prisons across England and Wales.

Contract caterer Aramark has lost a lucrative prison shop contract worth an estimated GBP 40m in annual turnover to a consortium involving wholesaler Booker, Caterer has learnt.

Although the contract did not involve catering, one insider described the deal as “a real money maker” for the firm. The deal, which had gone out to tender, was thought to be netting Aramark an estimated £5m in annual profit, and saw it providing about 1,000 product lines, such as shampoo, chocolate and phone credit, to inmates via a “pick and packaging” service.

In a statement, the Prison Service said: “DHL/Booker have won the contract to supply the Prison Service with goods for prisoners which began rolling out in October. The DHL/Booker bid combines expertise in delivery and logistics with extensive retailing experience and was the most economically advantageous in terms of cost and resilience.”