Not Enough Cash For MoD Equipment Plan

The Ministry of Defence does not have enough money to buy all the equipment it needs, says a report released by the Public Accounts Committee.

In the report, MPs conclude budget restrictions are affecting the MoD’s ability to make informed decisions about defence with the committee Chair, Meg Hillier, saying the department needs more money.

Ms Hillier said: "The Strategic Defence and Security Review laid out what the country needs and what the MoD needs to deliver, but didn’t provide the money."

"The list of things that are needed gets longer, but there isn’t the extra money needed to do that…

"I don’t usually go out there saying we need more money... but defence of the realm has to be a top priority."

The Public Accounts Committee had a number of criticisms surrounding the MoD’s Equipment Plan, saying it was unrealistic, inflexible and increasingly reliant on optimistic savings.

The current estimated affordability gap sits somewhere in the region of £4.9bn to £20.8bn, with a further £9.6bn unaccounted for. The cost of Type 31e frigates has been completely left out.

Meg Hillier told Forces News she thinks the Department needs to make it clear how it plans to fill that gap, particularly in a rapidly changing defence landscape.

"There is a real issue that once you’ve committed to a large piece of kit... if the threat changes or there’s a problem with the budget that goes out of kilter, it’s difficult to claw that back," she said.

"Then you add to that the future risks... Russia is just one example, and the cybersecurity challenges could be immense if things aren’t done right there.

"Many people are pinning their hopes on the Modernising Defence Programme... four strands of the five are asking for savings, so that’s not going to be a panacea either."

The Ministry of Defence says it will review the Committee’s recommendations, with a spokesperson saying it is "committed to delivering large, complex and technologically challenging defence programmes" to give the military the very best equipment.

The Department added that it is ‘on track’ to meet its £16bn savings target, and the Modernising Defence Programme aims to strengthen the Armed Forces in the face of intensifying threats.