MINISTRY OF DEFENCE
News Release (272/2008) issued by COI News Distribution Service. 11
December 2008
MOD announced
today the outcome of its equipment examination, reprioritising
programmes to better support current operations.
Support to operations is a key priority and we can today announce
a significant increase in helicopter capacity in Afghanistan.
Measures include a £70 million investment to upgrade 12 Lynx Mark
9 helicopters with new engines, which will free up other aircraft
for other tasks.
There are also plans to redeploy Merlin helicopters from Iraq to
Afghanistan next year, making significantly more aircraft and
flying hours available to commanders.
On top of that, the new Future Lynx helicopters will provide even
greater operational capability when they come into service in 2014.
Secretary of State for Defence John Hutton also announced there
would be a review to examine progress with implementing reforms
through the MOD's Acquisition Change Programme and make any
further recommendations to secure better value for money in the
delivery of major acquisition programmes. The review will be led
by the businessman and journalist Bernard Gray.
Mr Hutton said:
"Putting our forces on the frontline at the heart of
everything we do is my priority. Crucial to that, is making sure
that we get the best kit to the people who need it, when they need
it - both in the short and long term. That is why we recently
announced £700M for nearly 700 more protected vehicles for
Afghanistan. Investing £70M to get more helicopters out to
Afghanistan is similarly about prioritising the right equipment
for troops on operations.
"And that is why for the longer term we are investing in the
new aircraft carriers, Future Lynx helicopters, and according the
highest priority to delivering the Warrior Capability Sustainment
Programme and the FRES Scout Vehicle - investment totalling some £6.5Bn.
"Nevertheless, tough decisions needed to be made and with
future value for money in mind, I have asked Bernard Gray to
conduct a review into our processes for procuring and delivering
major equipment programmes to make sure we deliver projects on
time and on budget."
Getting the right mix of vehicles to our commanders has been at
the top of our equipment agenda to date. The recent announcement
of £700M for nearly 700 more protected patrol vehicles for
Afghanistan is evidence of that commitment. Based on that
considerable investment the equipment examination has concluded
the highest priority for current operations is the Warrior
Capability Sustainment Programme and the FRES Scout vehicle.
In addition, the new Aircraft Carriers will be brought more
closely into line with the introduction of the Joint Combat
Aircraft, which will result in a change to the delivery schedule.
Construction on the ships is already under way and will continue
with minimal implications to jobs and industry. The programme will
still provide stability for the core shipyard workforce, including
10,000 UK jobs.
We remain committed to doing more for our people, here and on the
front line - improving their support and welfare, pay, medical
care, rehabilitation services and accommodation.
NOTES TO EDITORS:
1. The WMS on the outcome of the Equipment
Examination was laid in the house at 1200, 11 December 2008. The
text is available from the MOD Press Office.
2. We have approved £4Bn to spend on Urgent Operational
Requirement programmes for Iraq and Afghanistan, and the delivery
of some 240 such programmes in the last financial year. £5.7
billion worth of new equipment was delivered to the Armed Forces
in 2007/8.
3. The review to examine progress with implementing reforms
through the MOD's Acquisition Change Programme and to make
any further recommendations to secure better value for money in
the delivery of major acquisition programmes will be undertaken by
Bernard Gray, a former Special Adviser to George Robertson. He has
also been Defence Correspondent at the Financial Times and has
held a number of positions, including Strategy Director, Chief
Executive and Executive Chairman, at a number of successful businesses.
4. £700M for 700 new vehicles was announced 29 October 2008 http://www.mod.uk/DefenceInternet/DefenceNews/EquipmentAndLogistics/NewArmouredVehiclesForAfghanistan.htm
5. The Comprehensive Spending Review settlement in July 2007 gave
the MoD an average annual increase of 1.5% until 2010/11 (an
additional £7.7 billion). The Defence Budget will be 10% higher in
real terms than in 1997, marking the longest period of sustained
growth since the 1980s.
6. The expenditure for operations in Iraq and Afghanistan is new
money over and above the core Defence budget to ensure our Forces
are properly trained, equipped and supported for operations. That
includes significant levels of spending on new equipment and
upgrades through the Urgent Operational Requirements (UOR)
process. Since 2001 £9.5Bn has been provided to fund operations
and this will have risen to approximately £13.2 billion by the end
of the financial year.