Select committee: Public Accounts Committee

Conclusion 16

Fiftieth Report - Defence Equipment Plan 2020–2030 Published 16 Mar 2021 Addressed to HM Treasury
Conclusion (the committee's words)
The Department claimed it has fulfilled previous Committee recommendations, albeit that it accepted that some improvements were on-going.42 The National Audit Office has found that the Department has made improvements to its analysis and reporting, for example improving the presentation and transparency of its Equipment Plan report.43 However, the Department could not demonstrate that its quality assurance work had ensured that the Plan was based on consistent and fully documented data and assumptions. In addition, the Department found errors in its 2017–2027, 2018–2028 and 2019–2029 reports after publication.44 38 C&AG’s report, para 2.13 39 C&AG’s report, para 18 40 Qq 84, 92 41 Q 90 42 Q 9 43 C&AG’s report, para 2.16 44 C&AG’s report, para 18 Defence Equipment Plan 2020–2030 13 2 Managing the funding shortfalls Re-balancing the equipment programme

From: Public Accounts Committee, Fiftieth Report - Defence Equipment Plan 2020–2030 (HC 693), 16 March 2021

Government response

The government responded to the whole report on 31 August 2021 (deadline 16 May 2021).

Summary written by Accountability Index from the government's response. It is not the government's own words.

The government states that it agrees with the Committee's recommendations that are set out in the response, each with a stated target implementation date, and sets out related work already under way.

  • On affordability, it agrees that the next Equipment Plan report must demonstrate affordability, and says that report (Autumn 2021) will set out the implications of the 2020 Spending Review settlement and the Integrated Review.
  • On transparency over the additional funding, it agrees and says it "will write to the Committee before summer recess" with a summary of investment and savings decisions, with a target date of June 2021.
  • On defence cost inflation, it agrees and says it will write to the Committee alongside the Autumn 2021 Equipment Plan report, and states it "is committed to changing attitudes and behaviours within the Defence acquisition system".
  • On finance capability, it agrees with a target date of March 2023, noting that "It takes time to both train and recruit professionally qualified staff, but numbers will increase over time."

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