The British House of Commons Defence Committee has released a new report on the UK Ministry of Defence’s (MoD) acquisition and procurement of equipment.
The ‘Gambling on Efficiency: Defence Acquisition and Procurement’ report states that the MoD had not been able to achieve cost-saving efficiencies.
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Defence committee chairman Dr Julian Lewis said: “It is extremely doubtful that the MoD can generate even more efficiencies from within its already stretched budget on the scale required to deliver its equipment plan.
“This will inevitably lead either to a reduction in the numbers of ships, aircraft and vehicles or to even greater delays in their acquisition.”
The MoD relies on previously agreed savings to design, build or buy new ships, aircraft and combat vehicles.
The recently set-out £7.3bn efficiency savings plan has yet to be achieved, along with £7.1bn of previously announced savings.
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By GlobalDataThe UK Government committed to spending £178bn on defence equipment and support over the next ten years, including eight Type 26 Global Combat ships, new mechanised infantry vehicles, and nine new Boeing P–8A maritime patrol aircraft.
Changes implemented by MoD were examined by the committee, including devolution of responsibilities to the front line commands, a transformation programme within Defence Equipment and Support and the creation of a Single Source Regulations Office as a statutory regulator for certain contracts.
It also encourages the MoD to invest more in research and development.
