The UK government has canceled an agreement for Valneva’s Covid-19 vaccine, according to the company.
After increasing its request by 40 million pills in February, the United Kingdom has around 100 million doses on order.
The UK government filed notice over accusations of a breach of the agreement, which the business “strenuously rejects,” according to a statement.
Trials for Valneva’s jab are currently ongoing.
Although regulators must be satisfied before a vaccine can be released, production has already begun at a facility in West Lothian, Scotland.
“Valneva SE, a speciality vaccine business, today disclosed that it has received a termination notice from the UK Government (HMG) in respect to the Supply Agreement for its Covid-19 vaccine candidate, VLA2001,” Valneva stated in a statement on its website.
“HMG has the right to terminate the relationship under the terms of the agreement. HMG claims that the firm is in breach of its supply agreement duties, while the company flatly rejects this.”
The company said on Monday that the findings of its phase three studies will be released later this year.
“Valneva has worked diligently, and to the best of its abilities, on the cooperation with HMG, including devoting substantial money and effort to respond to HMG’s demands for variant-derived vaccines,” it continued.
Initial clearance might still be given in 2021, depending on the findings of the company’s ongoing trials and permission from the UK’s Medicines and Healthcare Products Regulatory Agency.
Its vaccine will be administered in two doses and will include a dead coronavirus that will not cause sickness but will train the body’s immune system how to combat it.
However, because it has not yet been authorized for use by UK regulators, it will have no impact on the existing vaccination program.
Scotland’s Health Secretary, Humza Yousaf, told BBC Radio Scotland’s Good Morning Scotland: “Even for a booster program, we have enough supplies. I want to reassure anybody listening that we have all of the resources we need to continue vaccinating, especially with a booster program on the horizon.”
While the revelation would be a major setback for the Livingston facility, Mr Yousaf said he would speak with Valneva about the plant’s future.
Valneva said on Monday that it will check with other prospective buyers to make sure the vaccinations could still be used in the pandemic battle.
The Scottish Health Secretary also stated that he was awaiting more information from the UK government on Valneva’s apparent inability to satisfy the contract’s requirements.
The Department of Health did not reply to our request for comment right away.