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FUTURE DEFENCE REVIEW

Options for Britain's Defence and Security

The Battle to Reform
UK Defence
Acquisition
Changing the Dinosaurs Spots

By Bill Kincaid
Foreword by Lord Robertson of Port Ellen
Cartoons by Jim Potts
£20.00 (plus £5.00 P&P), 404 pages
ISBN: 0855161388
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Defence and the Growing Financial Challenge

By RUSI Acquisition Focus
3 Mar 2010

RUSI Acquisition Focusbmp

The Gray Report,1 followed by the latest Major Projects Report from the National Audit Office (NAO),2 have confirmed that the financial needs of the MoD’s Equipment Procurement Plan far outstrip the financial resources likely to be available. As we have argued before in this column, the MoD is in great and growing financial difficulty. The original Smart Procurement guidance was that the Equipment Plan should be built on an assumption of level funding in real terms for the ten-year period involved. However, according to the Gray Report, the MoD has got itself into a situation in which, as a minimum, the equipment budget would need to increase by about 6% a year in cash terms (or 4% in real terms) for a decade to pay for plans in place.

The members of the RUSI Acquisition Focus are: John Weston (Chairman), Tim Banfield (NAO), Bob Barton (member of NDIC TLCM strategy group, BAE Systems), Vice Admiral (retd) Sir Jeremy Blackham (formerly EADS UK President, now independent defence commentator), Sir Brian Burridge (Senior Military Adviser, Finmeccanica), Hugh Colver (Public Affairs consultant, formerly MoD and BAE Systems), John Dowdy (Director, McKinsey), Professor Christopher Elliott (GD UK), Graham Jordan (formerly S&T Director, MoD), Gerry Paulus Managing Director, SVGC Ltd), Major General (retd) Bill Robins (formerly DGICS, MoD), Professor Trevor Taylor (Cranfield University and Professorial Fellow at RUSI), Bill Kincaid (Editor RUSI Defence Systems)



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