Source · Select Committees · Defence Committee
Recommendation 19
19
Deferred
Paragraph: 103
We welcome the uplift to the MOD’s budget in 2020 and the four-year budget commitment.
Recommendation
We welcome the uplift to the MOD’s budget in 2020 and the four-year budget commitment. However, inflationary pressures and an increase in the scale of threat means that it is no longer enough. At the same time, serious concerns persist around a number of procurement programmes. The Department now needs a strategy to regain both Parliament’s and the public’s trust in its procurement abilities. We are The Integrated Review, Defence in a Competitive Age and the Defence and Security Industrial Strategy 61 concerned that a real terms fall in sustainment funding (RDEL) up to 2024–25 will erode the Armed Forces’ ability to maintain and train on military equipment. We recommend a further, long-term increase to the budget but the MOD must ensure that money is not wasted. We recommend a further, long-term increase to the budget but the MOD must ensure that money is not wasted.
Government response summary AI-generated
The government acknowledges the conclusion and states that further details regarding spending plans will be announced in the Autumn Statement on 17 November, declining to provide these in advance.
Summary of the government's response below — read the verbatim text to verify.
Paragraph Reference:
103
Government Response
Deferred
HM Government · verbatim extract
Deferred
The Government understands the rationale behind this conclusion. The defence and security of the UK will always remain the Government’s number one priority. At the last Spending Review Defence received £24 billion over 4 years - cementing our position as the biggest defence spender in Europe. UK defence spending is projected to reach 2.3% of GDP this year due to additional UK defence industry investment and £2.3 billion of support for Ukraine - clearly exceeding the 2% of GDP target. At the time, this provided a firm platform for Defence to deliver the commitments set out in the Command Paper up to the next Spending Review. Further details regarding the Government’s spending plans are currently due to be announced in the Autumn Statement on 17 November. It would not be appropriate for the Ministry of Defence to provide these in advance. Conclusion/recommendation 20 There are significant challenges to integration but none that concerns us as much as the MOD’s procurement difficulties. For instance, the MOD has made it clear that in order to achieve integration and utilise new technologies, it needs an effective digital network. Without that network, few of the suggested benefits are accrued. Yet its track record in large and complex programmes is abysmal. We recommend that the Government identify those programmes which are critical enablers and ensure there is additional scrutiny of them. Furthermore, it needs to identify international partners with whom it can collaborate on the technologically advanced equipment that the UK Armed Forces require.
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