Angus Robertson – 2014 Parliamentary Question to the Ministry of Defence

The below Parliamentary question was asked by Angus Robertson on 2014-06-26.

To ask the Secretary of State for Defence, how much of the £1.2 billion underspend in his Department’s equipment budget in 2012-13 arose as a result of programme slippage; what programmes were behind schedule; and for what reason those programmes were behind schedule.

Mr Philip Dunne

Our analysis of the £1.2 billion underspend in 2012-13 in our equipment programme shows that it has been caused by a combination of factors, including better than expected outcomes from contract negotiations; budget being allocated for risks that did not materialise; and the impact of programme slippage against plans.

A detailed analysis of programme slippage by programme is not currently available, but further work to improve our detailed understanding of variations against planned spending patterns and the implications for project costs in future years is nearing completion.

Due to our improved financial discipline the Treasury have allowed us to carry over in-year underspends into our future year budgets. The last National Audit Office Major Projects Report showed an 88% reduction in overall project delays.

We now have the assurance of a stable and well managed budget and confidence that defence programmes are affordable and deliverable.