Major Ministry of Defense projects face review
1 min read
The Ministry of Defense won't be able to afford as much as half of the equipment it plans to buy in the next decade, according to a report into procurement last year by Bernard Gray, a former government advisor on defense.
No political party has guaranteed defense spending and major projects are expected to fall victim to efforts to cut the UK's budget deficit after the general election, whoever wins.
According to Bloomberg, the building of two aircraft carriers, for which BAE Systems is the lead contractor, does seem to have made it onto the safe list. Companies working with BAE on the carriers include Thales, Electronic Data Systems LLC, Lockheed Martin Corp., Qinetiq Group, Rolls-Royce Group and VT Group.
The two carriers will cost about £1 billion more than the planned £3.9 billion, because of delays and changes in design, the ministry said last June.
"We're already cutting the steel. That, to some degree, cuts down our options," said Bob Ainsworth the Defense Secretary, about the carriers last week.
However Mr Ainsworth refused to guarantee any other projects, which include the Joint Strike Fighter which the US are considering axing, as Machinery.co.uk reported yesterday.
