Richard Granger, the director general of NHS IT, is warning iSoft and CSC that if they don't sort out their differences he will consider ripping up contracts and finding alternative suppliers.

Regardless of how possible this would be, the comments will increase pressure on the two to get talks settled quickly.

iSoft has put its legal action against CSC on hold while the two discuss their differences. CSC previously said it would block a takeover offer for iSoft from Aussie firm IBA Health. CSC said yesterday that it may make a bid for iSoft.

A spokesman for iSoft told the Reg: "Clearly, this is a concern for us as we want to remain focused on Connecting For Health. We're not talking to anyone else and we hope to get this resolved quickly.

"We've kept our staff absolutely up-to-date with what is going on and obviously having a solid offer from IBA on the table as a way forward is reassuring."

At this stage iSoft's board of directors is still recommending the offer from IBA. ®