Mike's explanation is very interesting, but it does not address the point, which is they run out of licences for their software
(assuming it's a bespoke system, why didn't they just bought it outright?)
This is where the Data Protection jobsworths come in
Well, to be fair, data protection laws are there for a very good reason. It's hardly their problem if the various UK governments in the last couple decades have decided to go flogging off the entire State infrastructure.
Plus, as has been hinted, there appear to have been plenty of other solutions with more of a chance to actually work. Both OLIVIA and Homebriefing have been mentioned, and I could add simply picking up the phone and speaking to any ARO in France or Spain works a charm too, even if you're flying nowhere near their respective countries.