Company providing NHS IT system is set to receive £1bn more despite failing to deliver

The government is set to pay a further £1.1bn (€1.3bn; $1.7bn) to the company that was meant to have delivered a care records system for NHS trusts in parts of England, though the system has not materialised in most areas, MPs have been told.

In addition, £110m is to be paid in compensation to the company in question, CSC (Computer Sciences Corporation), which secured a contract in 2002 to provide the Lorenzo care records system to trusts in the north, Midlands, and east of England.

To date CSC had received around £1.1bn from the government as part of a renegotiated contract, but MPs on the Committee of Public Accounts found out about additional costs during an evidence session held on 12 June as part of their inquiry into the NHS’s national programme for IT.

David Nicholson, chief executive of the …