Question to the Ministry of Defence:

To ask the Secretary of State for Defence, what contractual penalties will Boeing face if it fails to deliver the Royal Air Force’s E-7 Wedgetail aircraft to the agreed capability standards; and how will these penalties be enforced.

There is no additional cost to the Authority (MOD) due to the late delivery of the aircraft, as Boeing are contracted to deliver a fleet of three Wedgetail under a Firm Price contract. The contract does include incentivisation milestones which are subject to enforcement measures based on contractor performance.