Source · Select Committees · Public Accounts Committee

Recommendation 7

7 Accepted

In response to Russia’s invasion, the Government has decided to review its 2021 Integrated Review.

Recommendation
In response to Russia’s invasion, the Government has decided to review its 2021 Integrated Review. This work has been led by the Cabinet Office. The Government published its Integrated Review Refresh 2023 in March 2023.15 The Department now expects to publish its own refreshed plans in a new Defence Command Paper, which in turn will have implications for its Equipment Plan.16 The Department anticipated that the core of the Equipment Plan would still hold good but that there would be some noticeable changes to reflect lessons from Ukraine and other recent announcements, such as the combat air partnership with Japan and Italy. It also thought that further decisions, such as on the AUKUS partnership with the United States of America and Australia announced in March 2023, and on the programme to replace the nuclear warhead, would be reflected in the 2023 or 2024 planning rounds.17 The Department cautioned it would take time to firm up Integrated Review plans and address the challenges of deliverability.18
Government Response Summary
The department has worked with HM Treasury to set out the implications of the Defence Command Paper Refresh including any specific commitments ahead of its publication and will continue to work with HM Treasury as it develops its plans. The details of the implications for the equipment plan will be explained in the next update to the committee.
Government Response Accepted
HM Government Accepted
2. PAC conclusion: The refreshed Integrated Review may revise judgements about operational requirements and identify new priorities which are not currently funded in the Equipment Plan. 2. PAC recommendation: The Department should clearly set out to HM Treasury as soon as it can what capability requirements and priorities arise from the refreshed Integrated Review, the funding requirements to provide these, and the risks arising from any shortfall. We expect to see the Department reflect these decisions in the next Defence Command Paper and its 2023 Equipment Plan and will challenge the Department on the changes next year. 2.1 The government agrees with the Committee’s recommendation. Target implementation date: Summer 2023 (Defence Command Paper Update) and Winter 2023 (update to the Committee) 2.2 The department has worked with HM Treasury to set out the implications of the Defence Command Paper Refresh including any specific commitments ahead of its publication. The department will continue to work with HM Treasury as it continues to develop its plans in response to the priorities set out in the Integrated Review Refresh. 2.3 The details of the implications for the equipment plan will be explained in the next update to the committee.