Question to the Ministry of Defence:

To ask the Secretary of State for Defence, pursuant to the answer of 6 October 2026 to question 22839 on Defence: Software, if the £4,739,000 loss related to a payment made in order to settle the contract.

The £4.739 million constructive loss did not relate solely to a payment made to settle the contract. The loss comprised £3.984 million of costs incurred on the project prior to its cancellation and a negotiated final settlement payment of £755,435 for work undertaken up to the point of cancellation.