Substitution of regulation 3 (meaning of “defence purposes”)
4. For regulation 3 substitute—
“Meaning of “defence purposes” and “substantially for defence purposes”
3.—(1) “Defence purposes” means the purposes of defence (whether or not of the United Kingdom), or related purposes.
(2) A contract will be substantially for defence purposes if the contract fulfils a requirement for goods, works or services for defence purposes and paragraph (3) or (4) applies.
(3) This paragraph applies if the value of the goods, works and services for defence purposes is more than £5,000,000 and more than 30% of the total value of the contract.
(4) This paragraph applies if the value of the goods, works and services for defence purposes is more than £25,000,000.
(5) For the purposes of paragraphs (3) and (4), the value of goods, works and services for defence purposes is the difference between the total value of the contract and the value of the contract if it did not contain a requirement for such goods, works or services.”.