HC Deb 26 July 1990 vol 177 c535W
Mr. O'Neill

To ask the Secretary of State for Defence what cancellation charges are attached to the contracts for production and development of(a) the Chieftain replacement, (b) the first auxiliary oiler replenishment vessel, (c) the first type 2400 submarine, (d) the Rapier field standard C missile, (e) the Trigat medium-range anti-tank missile, (f) the Trigat long-range anti-tank missile, (g) the naval version of the EH101, (h) the multiple launch rocket system phase III, (i) the advanced short-range air-to-air missile, (j) the NATO identification system and (k) the joint tactical information distribution system.

Mr. Alan Clark

Defence contracts usually contain provisions for a contractor to be paid for work done up to the date of cancellation and reasonable additional costs arising from the cancellation. The actual payments made to a contractor in the event of a cancellation would vary accordingly to the circumstances.