Procurement

(asked on 9th July 2014) - View Source

Question to the Ministry of Defence:

To ask the Secretary of State for Defence, how much and what proportion of his Department's budget was spent on activities which were contracted out in (a) 2009-10, (b) 2010-11, (c) 2011-12, (d) 2012-13 and (e) 2013-14; and how much and what proportion of his Department's budget he expects to be contracted out in 2014-15.


Answered by
Philip Dunne Portrait
Philip Dunne
This question was answered on 17th July 2014

Expenditure on contracted-out services is summarised in the Ministry of Defence's (MOD) Annual Report and Accounts and has been as follows since 2009-10:

Financial Year

Expenditure (£ billion)

Expenditure as a percentage of Defence Budget[1]

2009-10

2.1

5.3%

2010-11

2.2

5.5%

2011-12

2.5

6.6%

2012-13

2.7

8.0%

The audited outturn for 2013-14 will be published in the MOD's 2013-14 Annual Report and Accounts which are due to be laid before Parliament in mid September 2014. Our in-year forecast for 2014-15 does not identify expenditure on contracted-out services discretely.

This expenditure represents the cost of the MOD's Service Concession Arrangements (formerly know as Private Finance Initiative Service Charges), Contractor Logistic Support and Integrated Operational Support contracts, finance lease service charges and External Assistance. This expenditure does not include those contracted-out services not reported centrally.

[1] Total DEL: Annual Report and Accounts.

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