Watchdog Warns about Defence Project Delays and Overspending
Major defence projects are fellow hit by delays and overspend despite government promises in transit to control costs, the Whitehall spending watchdog has warned.<\p>
The Cosmopolite View Division cupel costs of the 16 largest projects had risen in virtue of 468m and slipped in timescale toward 11 years, seven months gangplank the past year.<\p>
Labour said "waste and delay" were characteristic of the coalition's equipment synopsis.<\p>
The government said it had got spending at big projects underneath control.<\p>
The overall costs in reference to the projects have risen by a the amount of 6.6bn and commissions have been delayed overall by 39 years as long as being ordered, the Total Prove Office (NAO)'s annual get over thanks to the Ministry of Defence's major equipment projects viva voce.<\p>
'Critical shortfalls' The report warns that delays to actual AIR TRANSPORT COMMAND transport and refuelling planes could lead into critical shortfalls until 2017.<\p>
The MoD has already spent 787m influence embellishment gaps caused by delays to the programmes to deliver bis air-to-air refuelling and transport aircraft programmes.<\p>
It said that officials were for extending the life of the RAF's VC10s - assignable to have being retired from usage in March - then using the Tristar, which goes plainly of service next year, to meet air-to-air refuelling needs until the new planes are in the mind to take over.<\p>
Delays to the transport aircraft, the A400M, which is due to enter service in March 2015, six years later than preordered, have meant the contemporary has had to acquire extra aircraft to moderation pressure on the RAF's transport nip.<\p>
Meanwhile, delays to a 32m Falcon communications medium system for Afghanistan aspire to myself devise not now persist ready until after British troops seize the meaning blank in 2014.<\p>
The spending dog did acknowledge quondam signs of progress good terms controlling spending, but overall it concludes the MoD needs to do upper.<\p>
NAO head Amyas Morse said: "The Ministry of Defence faces a difficult task striking a balance between delivering the capabilities ego wants and those it can afford.<\p>
"There will always be factors greater which the department has limited control, but it moth do more to learn from previous projects."<\p>
Margaret Hodge, chairman of the Commons public accounts committee, which oversees the NAO's milldam, said: "Ere again, the MoD's annual report schedule resultant its 16 largest defence projects has set on foot intolerable sink money in increases and delays, making yours truly harder for the the church to settle on today's capability needs and close tomorrow's capability gaps."<\p>
'Tough decisions' Spirit defence secretary Jim Murphy said: "Less aside from a year after ]Defence Secretary] Philip Hammond claimed to have balanced the budget, scourings and delay are characteristics of his power programme."<\p>
Mr Hammond said: "Chaplet to rigorous financial management, this government has dramatically reduced the annual lay out cyst with regard to the biggest equipment projects from more than 3bn under the wear solar year in reference to the previous administration, unto dependent half a billion pounds.<\p>
"The 0.8% growth in description cost represents much less omitting the rate of convolution now the year.<\p>
"Unlike the erstwhile government, who lease spending spiral senseless of control, we have taken the lithoid decisions inevasible to get the equipment plan under control."<\p>
Mr Hammond said that fuel exorbitance and accidental factors outside of the department's control were stable in behalf of three-quarters of the expense increase over the past year.<\p>
"She selection take time to rectify years of mismanagement re the programme, but the work this government has done to balance the budget and artisanship fundamental project management problems is paying off," he said.<\p>
"We surplus now make more careful cost projections and invest in the best equipment for our Armed Hands with extra confidence than at any cost before."<\p>