Investors and customers to judge ‘Me Too’ tycoon Lawrence Jones
Allegations of sexual misconduct and bullying could cost the UKFast founder more than his reputation

Peter Evans
October 27 2019, 12:01am,
The Sunday Times

In two decades, Lawrence Jones has turned UKFast into a British tech success story and a cloud computing rival to global giants such as Amazon and Google
In two decades, Lawrence Jones has turned UKFast into a British tech success story and a cloud computing rival to global giants such as Amazon and Google
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When Sale Sharks ran out to play London Irish in the Gallagher Premiership at Reading’s Madejski Stadium yesterday, the Manchester team had the name UKFast emblazoned across their jerseys.

The sponsorship deal, in place for three years, is worth an “undisclosed seven-figure sum”, according to Sale. The partnership is fitting: Sale punch above their weight as a northern rugby union club in a sport dominated by teams from the Midlands and the south. Similarly, from its Manchester HQ, UKFast has become a force in cloud computing, where giants such as Amazon and Google pack a hefty punch.

Yet UKFast has been smashed back by a heavy tackle during a torrid week. Its founder, Lawrence Jones, faced allegations of sexual assault, sexual harassment and bullying in an article in the Financial Times. Unnamed former employees interviewed by the paper claimed they had been harassed at work and molested on trips abroad.

Jones did not respond to a request for comment when contacted by The Sunday Times. In a previous statement, he said he categorically denied the allegations, which he said were “hurtful and damaging, especially to my wife, our family and the UKFast team”.

Many of the allegations, including claims of unwanted physical contact and verbal abuse, were made regarding Jones’s behaviour while at work. Jones founded UKFast with his wife, Gail, in 1998. The couple, who have four children, have worked closely together at the company since then.


Jones added in the statement: “The Financial Times’s claims of unlawful behaviour are wholly untrue. I have not been provided with any proper details of any of these allegations.”

Nonetheless, the allegations cast a shadow over one of Britain’s standout technology success stories of the past two decades. UKFast employs some 400 people and provides software services to customers including the National Health Service and the Cabinet Office.

People familiar with UKFast say a hard-driving culture and fast-paced sales operation have allowed the company to carve out a significant share of the cloud computing industry, despite competition from global tech giants.

Jones, 51, born in Denbigh, north Wales, is still at the centre of the operation after more than two decades. He has become a prominent figure in Manchester, amassing a £700m fortune and spending holidays on Necker Island with Sir Richard Branson. He has donated £100,000 to the Conservative Party in the past two years and was appointed MBE in 2015 for services to the digital economy.

That lifestyle could now be in jeopardy. Supporters and clients are known to be awaiting further statements from Jones and UKFast. A source at Sale said the club was waiting for its commercial director to return from a trip abroad last week. In July, the club extended the tie-up for another year.

Much of the focus has now shifted to Inflexion, the private equity investor that pumped £130m into UKFast at the end of last year. Irina Hemmers, an Inflexion partner, joined the board of UKFast. At the time of the investment, Inflexion managing partner Simon Turner said: “We look forward to working with management to support them to accelerate growth.” That enthusiasm may now be waning.

Employment lawyers and private equity sources said the deal was likely to have included provisions for directors departing the company as “bad leavers”. If Jones were to be forced out, there could be a compulsory transfer of shares, potentially at a discounted price.

“They could boot him out and he wouldn’t get the Adam Neumann treatment,” said one Manchester investor, referring to the creator of the office space provider WeWork, who left the company he founded with a package worth $1.7bn (£1.3bn).

Inflexion declined to comment on whether there was a bad leaver provision in its contract with UKFast.