Defence: Energy
(asked on 5th September 2022) - View Source
Question to the Ministry of Defence:
To ask Her Majesty's Government what is their estimate of the effect of increases in energy costs on the defence budget; and what effect they anticipate such increases will have on defence procurement programmes.
This question was answered on 21st September 2022
High energy costs, which drive inflation, will reduce the Ministry of Defence's spending power over the Spending Review period and beyond. However, due to its volatility, a precise estimate of the impact of inflation is challenging. Our existing controls will substantially limit exposure and we keep our programmes under constant financial review, using our contingency to manage risks if they materialise.