UK hopes that “efficiency savings” will free up money to buy new capabilities are “not an adequate basis for delivering major projects at the heart of the UK’s defence capability”, according to an influential committee of parliamentarians.
The report by the House of Commons Defence Committee, entitled “Gambling on ‘Efficiency’: Defence Acquisition and Procurement”, says that the UK Ministry of Defence (MoD) has not been able to meet its previous targets for efficiency savings and that there are “serious doubts” that the latest round launched by the 2015 Strategic Defence and Security Review (SDSR) will generate the required savings.
The ministry’s drive for efficiency savings, including the sale of surplus building and land, reductions in the head count of civilian personnel, outsourcing of services, and squeezing profit margins of defence contractors by reforming single source procurement has so far failed to meet its targets, according to the committee.
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