Procurement report raises questions: NAO Major Projects Report analysed

摘要

The latest Major Projects Report (2012) released by the UK's National Audit Office in January as usual offered a fascinating walk around the key areas of Ministry of Defence (MoD) procurement. The report looked at the 16 largest procurement programmes, and found that for the financial year 2011-12 the annual cost increase for these was ￡468 million. Significantly, the report raised concerns and particular attention regarding capability gaps in tactical air transport and air-to-air refuelling in the light of delays to the introduction of the Airbus Military A400M Atlas and A330 Voyager respectively. These projects, along with the manufacture of the two new Queen Elizabeth-class aircraft carriers, are identified as experiencing the biggest cost increases. The Voyager and its associated Future Strategic Tanker Aircraft (FSTA) contract increased in cost by some ￡257 million between 2011 and 2012, according to the report, while A400M costs rose by ￡163 million during the same period. However, the report was quick to point out that these costs were respectively caused by higher fuel prices and contributions to export levy facilities.