I had seen a post from the official element account that said something along the lines of "we send encrypted data to the government. If you don't like that, element isn't for you." Not word for word accurate but you get the gist. I didn't know if that statement only applied to the official matrix.org server or self hosted instances as well.
I understand that message so that they are providing a messaging service for a fee to police forces. I don't think they meant that they send encrypted data to them for money.
"Yes, we fund Matrix dev by selling encrypted messaging to governments, which includes police: if you don’t like that then please feel free to use a different app."
Idk that seems pretty clear to me that they are selling encrypted messages to governments and police. Not only that all the comments interpret it the same way.
EDIT: The more I read it the more I become unsure. Hopefully they elaborate. To me I am confused at the service they are selling. Matrix is open source these organisations could dedicate their own employees to spin it up. Do they have somewhere you can purchase the same service? The phrasing is what gets me. It feels like they are referring to already sent messages and data. If they were referring to a service they provide, that should be clearly stated.
You can see Element's paid service offerings at https://element.io/pricing; their use cases for police is at https://element.io/sectors/interoperable-blue-light-emergency-services. Yes, it's a bit confusing to have both b2b and b2c under the same brand, but they do mean "the ability to encrypt communication within" and not your messages, similar to Slack's model. I'd also expect the community to catch any call-home attempt.