The UK Ministry of Defence (MoD) stands accused of wasting "hundreds of millions of pounds" annually on equipment procurement, a newly published Whitehall report reveals.
The Commons defence committee goes so far as to accuse the MoD of taking steps to obscure the scale of the department's current funding gap, which was estimated at £21bn gap.
"The report gives a damning assessment of progress on several of the MoD's big programmes. It concludes its armoured vehicle strategy is in disarray, noting there has been a change of direction but 'but is not evident whether this is just a change of priorities and programme name or whether there has also been a more fundamental shift in strategy.' The £16bn Future Rapid Effects System (Fres) programme, an ambitious plan to design a family of vehicles from scratch, has been beset by long delays and changes in design," the Financial Times reported.
"While the MoD still plans to buy thousands of vehicles under Fres, it bears little resemblance to the original programme. Industry concerns have also mounted that a decision to select the winners of two new vehicle competitions, for the Scout reconnaissance vehicle and an upgrade of the Warrior infantry fighting vehicle, could be delayed by the funding gap."
The FT went on to list a catalogue of procurement problems including a delay in ordering carriers whcih has achieved short term savings but could incur bigger long term cost increases. Questions were also voiced over how the MoD intends to retain the ability to upgrade and maintain its fleet of helicopters.
By: Brant
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