Treasury: Contracts

(asked on 4th September 2017) - View Source

Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, what the costs are of any break clauses in his Department's Project 395, GOGGS West.


Answered by
Andrew Jones Portrait
Andrew Jones
This question was answered on 11th September 2017

The contract includes voluntary termination provisions. Calculating this cost at any point in time would require an assessment of market rates for both debt and equity, an estimate of future equity cashflows and subcontractor termination costs. HM Treasury do not calculate this figure on an ongoing basis and to do so now would incur disproportionate cost.

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