Recommendation 15

The Department admitted that its Head Office was not providing sufficient challenge on the financial judgements made by the TLBs when compiling the Equipment Plan.37 Because of the way the Department is organised under the delegated model, Head Office cannot easily access the TLBs’ financial information to identify the reasons for changes 27 Committee of Public Accounts, Defence Equipment Plan 2018–28, 77th Report of Session 2017–2019, 1 February 2019; Committee of Public Accounts, Defence Capability and Equipment Plan, 10th Report of Session 2019–2021, 15 July 2020 28 Q 58; C&AG’s report, para 1.24 29 Q 66; C&AG’s report, para 14, 1.24 30 Qq 58, 59 31 Q 60 32 Qq 66, 67 33 Q 60 34 Q 81; Committee of Public Accounts, Defence Equipment Plan 2018–28, 77th Report of Session 2017–2019, 1 February 2019 35 Q 82 36 Qq 81 - 83 37 Q 84 12 Defence Equipment Plan 2020–2030 to the Plan’s costs.38 The National Audit Office also found that Head Office did not have the data, resources or remit to undertake the level of quality assurance we would expect.39 The Department told us that it was actively seeking to address the ability of its Head Office to provide an appropriate level of leadership and challenge to the TLBs.40 It is seeking to ensure that Head Office has the resource and capability it needs to understand what is going on in the Commands and make balanced investment decisions that take account of the full range of defence activities and priorities.41