IT supplier CSC has repaid £170m after the NHS voiced frustration at the progress of CSC's Lorenzo patient care records contract.
The NHS had paid a £200m advanced payment to CSC for the 2011 project costs when a memorandum of understanding was signed.
In a recent Public Accounts Committee report, the Department for Health was slammed for not informing MPs that the NHS had given CSC £200m in advanced payments for yet-to-be-delivered contracts.
CSC repaid £170m after the NHS said it was unhappy with progress. "Because completion of the MOU has been subject to delays in government approvals and, as a result, contract amendment negotiations have not progressed, the NHS required the company to repay approximately £170m," said a CSC statement.
The government recently decided to accelerate the dismantling of the NHS National Project for IT (NPfIT).
Meanwhile The Register reports US investors are suing CSC for allegedly making false statements about performance.
NHS IT contracts could cost more to cancel than complete >>