"When the Government decides to develop software using a restrictive licensing base, such as the GNU GPL, (it) should be aware that this would prevent it from deriving commercial gain from any subsequent derivative programs and prevent or severely limit the opportunities to work with commercial companies on such projects," says Intellect, an IT trade organisation, in its response paper. The story is at ZD Net.
You can download a copy of Open Source Software (OSS) As a Possible Default Exploitation Route for Government Funded Software - Intellect Response (pdf 82KB) from Intellect