Maria Eagle – 2016 Parliamentary Question to the Ministry of Defence

The below Parliamentary question was asked by Maria Eagle on 2015-12-16.

To ask the Secretary of State for Defence, what expenditure his Department was on (a) temporary agency staff, (b) consultants, (c) non-payroll staff, (d) administration and (e) marketing and advertising on making the Defence Infrastructure Organisation government-owned in (i) 2011-12, (ii) 2012-13, (iii) 2013-14 and (iv) 2014-15.

Mark Lancaster

The Defence Infrastructure Organisation (DIO) has been led by a Strategic Business Partner (SBP) since September 2014. The SBP contract allowed for the Ministry of Defence (MOD) to instruct the incorporation of DIO as a Government-owned company (GovCo), subject to a value for money review.

I announced the conclusions of the review in my written statement of 10 December 2015 (Official Report, columns 55-56WS). The GovCo model would have been led by the SBP but 100% owned by the Secretary of State for Defence. A GovCo is distinct from a Government-owned contractor-operated organisation (GOCO) which has a different legal construct. The MOD has never proposed for the DIO to become a GOCO.