So a couple of guides I used to tackle the S40 V40 ignition lock assembly fix.
First a Youtube video.
2003 Volvo S40 - Ignition Lock Assembly Cylinder Ramblings
And second a guide for the internals at Matthews
How to start engine when ignition key won't turn?
This method is not removing and replacing the entire ignition barrel assembly. It is merely disassembling the ignition barrel (while still in the car) and removing the broken pieces that are jamming the ignition. The steering lock function will be lost if you use this method.
On the plus side, you don't have to drop the steering column and deal with some deeply recessed security bolts.

1: Disconnect the battery
2: Remove the three Phillips screws holding in the lower shroud (2)
3: If your car is automatic you will need to remove two screws holding the transmission interlock cable cover

3: Remove the screw fixing the transmission interlock cable and move the transmission interlock cable out of the way.

4. There is a small tumbler behind the transmission interlock cable that will more than likely fall out. The above video cryptically informs you "There's only one way it can go back in". Wasn't 100% what he meant but turns out it's difficult to explain but true. Only one way it can go back when re-assembling.

5: Turn the key to position 1 or 2
6: Press in the brass looking button on the ignition lock cylinder (7). This is a spring pin in the key barrel.

7: Gently pull out the Key Cylinder, making sure the key remains in position 1 or 2.

8: A look inside the barrel. Rotate the steering lock barrel mechanism and pull it out with a pair of long nosed pliers.

9: There will be a small piece of metal that is a part of a steering lock armature. It was broken off.

Picture of a complete armature vs the broken one.

And another.

10: Choices now are to remove the broken armature and spring. There will be no steering lock from now on. Or a replacement armature can be sourced….but it's eventually going to break again. I just left it all out.
11 Assembly is in reverse order. Only tricky part I found was moving this plastic locking tab out of the way when sliding in the key barrel. I somehow manage to pull it out the way with a small screwdriver.

12. Another thing to remember and is a little bit tricky is to to replace the shift interlock tumbler. There's only one way to put it back.
