Baroness Michelle Mone has denied buying a yacht with the profits from government contracts for PPE, but admits lying about her involvement in the controversial PPE Medpro firm.

Baroness Mone and her husband, Doug Barrowman, secured Government contracts worth more than £200 million to supply personal protective equipment after she recommended it to ministers.

By their own admission they made around a 30% profit from the contract, bringing in around £60m for Mr Barrowman - who is a resident of the Isle of Man, a tax haven.

Though masks provided by the company, PPE Medpro, were used the gowns supplied were found not to be up to the required standard.

Read More: Michelle Mone: The rise and fall of Scotland's bra queen

The Department of Health and Social Care (DHSC) has since issued breach of contract proceedings over the 2020 deal on the supply of gowns while the National Crime Agency is investigating.

A film about the affair, funded by PPE Medpro, was released last week and both Baroness Mone and her husband appeared on the BBC's Sunday with Laura Kuenssberg show.

In it the Baroness admitted she stands to gain from the £60m in profit made by the company, but denied having bought a yacht with the proceeds.

The money was put into a number of offshore trusts, including £28.8m transferred to one registered on the Isle of Man of which Mone and her children are beneficiaries.

The funds landed in Barrowman’s account just before he and Mone’s wedding and honeymoon, while The Sun reported in August 2021 that the bra tycoon’s children had spent more than £3m on property in Glasgow during the pandemic.

She said: "It's my husbands money, it's his money, it's not my money and it's not my children's money.

The Herald:

"I am being straightforward now, I am saying to you that I did not receive that cash, that cash is not my cash.

"That cash is my husband's cash, it's just like my dad going home with his wage packet on a Friday night and giving it to my mum.

"So she's benefiting from that as well, but that cash is not my cash and is not my children's cash.

"If one day, God forbid, my husband passes away before me then I am a beneficiary as well as his children and my children."

Questions have been raised about a £10m luxury yacht called the Lady M, which has been dubbed the 'Pandemic Profiteer' by activists.

Read More: Michelle Mone says she is 'ashamed' to be Tory peer and admits 'error'

Mr Barrowman denied when asked that money from PPE Medpro had been used to purchase the boat.

Baroness Mone said: "It's not my yacht, it's not my money. I don't have that money and my kids don't have that money."

Baroness Mone, who is a former Conservative peer, is also under investigation for failing to declare her interest in PPE Medpro to the House of Lords.

She claimed she had been told by the Cabinet Office that she was not required to do so, and only had to declare her interest to them, which she did.

Baroness Mone said: "I discussed it with the Cabinet Office, and you do not declare your interests in the House of Lords if you are not a director, you're not a shareholder, you're not financially benefitting."

She insisted she has no case to answer over the PPE and the contracts.

Baroness Mone said: "I don’t honestly see there’s a case to answer. I can’t see what we’ve done wrong.

“Doug and the consortium have simply delivered a contract, a delivery contract of goods.”

Baroness Mone and Mr Barrowman threatened defamation law suits when their involvement with the company first came to light, denying any connection between the peer and PPE Medpro.

Both now admit this was a lie.

Baroness Mone said: "We've only done one thing, which was lie to the press to say we weren't involved.

"Saying to the press I'm not involved to protect my family... it's not a crime.

"I was protecting my family and I think people will realise that with the press attacks I've gone through since I walked through that House of Lords.

"I was a very successful individual businesswoman and since I've walked through the House of Lords it's been a nightmare for my family.

"So that's not a crime to say to the press... to tell the press what I did. That's not a crime."