The United Kingdom government has saved millions of pounds by replacing a technology system built by Palantir for the Homes for Ukraine scheme with a new platform developed in-house. The original system, created rapidly in 2022 to match Ukrainian refugees with accommodation, was initially provided free for six months before later contracts worth millions of pounds were awarded.

The Ministry of Housing, Communities and Local Government said the new internally built system is more flexible, meets high security standards and is already reducing annual running costs by millions. Officials said the move would also give the department greater control over its data and code while reducing reliance on external suppliers.

A report from the National Audit Office highlighted concerns about procurement practices after the initial no-cost offer, noting that such approaches can conflict with principles of open competition. Critics of Palantir have also questioned the company’s wider public sector involvement and its international activities, while supporters argue its technology is effective and was crucial in responding quickly to the refugee crisis.

The new system became operational in September 2025. The government said the shift demonstrates that complex live services can be successfully moved in-house when sufficient investment and expertise are available.