Source · Select Committees · Public Accounts Committee
Recommendation 25
25
The condition of the Department’s estate is set to continue to decline despite an additional...
Conclusion
The condition of the Department’s estate is set to continue to decline despite an additional £500m to be spent on ‘preventative’ maintenance until March 2025.55 Service accommodation remains in a very bad way which risks harming recruitment and retention of personnel with key skills. The Department told us it recognised the need for investment in the estate and that it was a priority. It said that the imminent accommodation strategy would include a clear articulation of standards for service personnel and families.56 55 NAO report, paragraph 2.33 56 Q16, Q24 Ministry of Defence Equipment Plan 2021–31 15 3 Financial capability and Departmental culture
Government Response
Not Addressed
HM Government
Not Addressed
4.1 The government agrees with the Committee’s recommendation. Target implementation date: Autumn 2022 4.2 The department recognises the importance of managing risks to affordability, particularly from challenges in areas such as workforce and estates. 4.3 The EP21 set out an affordable plan for 2021-2031, providing detail of levers in place to protect against the risk of overspend and unaffordability. The 2020 Spending Review uplift, alongside savings measures, enabled the department to address a pre-existing deficit whilst also holding contingency to mitigate against unforeseen risks. 4.4 A major focus of the EP22 will be the affordability picture for 2022-32, how the department is ensuring a sustainable plan and the reliability of data and assumptions behind this. The department will describe the range of risk factors, whilst setting out how it plans to address these to maintain an affordable Plan. 4.5 However, the scope of the Plan and associated report will remain focused on equipment procurement and support, not on defence spending as a whole.