To ask the Chancellor of the Exchequer whether the standard terms and conditions of purchase used by his Department in the procurement of goods and services from the private sector prohibit the assignment of debt. (172435)

There is no express provision prohibiting the assignment of debt in the standard terms and conditions of purchase. However, there is a provision prohibiting the contractor from assigning any portion of the Contract without the prior written consent of the Lords Commissioners of HM Treasury (or such other person or persons duly appointed by them). On the basis that a prohibition on ‘assignment of debt’ includes a prohibition on the contractor from assigning money owed to it under a contract to a third party, the legal team take this provision to mean that under HMT’s standard terms and conditions of purchase a contractor may not assign its debts without HMT’s prior consent.