Elephant in room...... MoD 2 & 4 Stars, successive Mins(AF) and Head of Civil Service (e.g. Sir Jeremy Heywood only last October) have trumped the ALARP and VPF principles by formally ruling such systems need not be functionally safe. They may be fitted, but they don't have to work. MAA are aware and are party to these rulings, two senior RAF officers having been named therein. Privately, I know they don't agree, but must do as they're told or resign. The trouble with the MAA being under the MoD thumb.
First things first. Sort that one out.
PeregrineW - good post. The figure in MoD used to be about £4M but is now the £1.7M you quote.