ianstone
09-16-2010, 03:30 PM
MoD 'Made Huge Errors' In £10bn Fleet Deal
16, 2010
Andy Winter, Sky News Online
The Ministry of Defence has been slammed for "astonishing" failures in its purchase of a new £10.5bn fleet of tankers and transport aircraft.
MPs on the influential Public Accounts Committee (PAC) have said the MoD (http://indepth.news.sky.com/InDepth/topic/Ministry%20Of%20Defence) agreed to sign up to the deal even though it had no idea whether or not it was getting value for money.
According to a PAC report, despite the vast cost the aircraft are not even equipped to fly on missions in Afghanistan.
To kit them out with sufficient protection for combat zones would cost the taxpayer hundreds of millions more.
The deal was struck as a Private Finance Initiative (PFI), which means a private company covers the initial cost and is then gradually reimbursed by the taxpayer - with a premium added on top.
PFI has been criticised in the past because although it allows infrastructure projects to be carried out quickly, it obliges the taxpayer to pay back much more than the initial cost for years - sometimes decades - to come.
Committee chair Margaret Hodge (http://indepth.news.sky.com/InDepth/topic/Margaret%20Hodge) said: "It is simply astonishing that it took until 2006 to recognise that the new aircraft should be able to fly into high-threat environments like Afghanistan.
"Four years later, (the MoD) has still not decided whether to fit the necessary protective equipment... because of the implications this would have for the cost of the PFI."
It comes amid a growing row over the cost of the UK's nuclear capability. (http://news.sky.com/skynews/Home/Politics/Trident-Tory-MPs-Express-Alarm-Over-Delay-Of-Decision-On-Renewal-Of-Nuclear-Deterrent/Article/201009315730742)
Senior Tories have expressed alarm at reports that the Government could put off the final decision on whether to go ahead with the replacement of the four missile-carrying submarines - due to be announced in 2014 - until after the election in 2015.
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Dannatt's Warning On Spending Cuts http://news.sky.com/sky-news/app/img/chv_12_red.gif (http://news.sky.com/skynews/Home/Politics/General-Sir-Richard-Dannatt-Speaks-To-Sky-News-About-Ministry-Of-Defence-Cuts/Article/201009315729344?lpos=Politics_Article_Related_Cont ent_Region_1&lid=ARTICLE_15729344_General_Sir_Richard_Dannatt_S peaks_To_Sky_News_About_Ministry_Of_Defence_Cuts)
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See The MoD's New Unmanned Aircrafthttp://news.sky.com/sky-news/app/img/chv_12_red.gif (http://news.sky.com/skynews/Home/video/Taranis-MoDs-New-Aircraft-Capable-Of-Flying-Deep-Into-Enemy-Territory-Unmanned-And-Undetected/Video/201007215663859?lpos=video_Article_Related_Content _Region_2&lid=VIDEO_15663859_Taranis%3A_MoDs_New_Aircraft_Ca pable_Of_Flying_Deep_Into_Enemy_Territory_Unmanned _And_Undetected)
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RAF Tornados Face Axe To Save Cash http://news.sky.com/sky-news/app/img/chv_12_red.gif (http://news.sky.com/skynews/Home/UK-News/RAF-Set-To-Ditch-Tornados-As-Part-Of-MoDs-Efforts-To-Find-Cash-To-Pay-For-Trident-Nuclear-Deterrent/Article/201007415673539?lpos=UK_News_Article_Related_Conte nt_Region_3&lid=ARTICLE_15673539_RAF_Set_To_Ditch_Tornados_As_ Part_Of_MoDs_Efforts_To_Find_Cash_To_Pay_For_Tride nt_Nuclear_Deterrent)
16, 2010
Andy Winter, Sky News Online
The Ministry of Defence has been slammed for "astonishing" failures in its purchase of a new £10.5bn fleet of tankers and transport aircraft.
MPs on the influential Public Accounts Committee (PAC) have said the MoD (http://indepth.news.sky.com/InDepth/topic/Ministry%20Of%20Defence) agreed to sign up to the deal even though it had no idea whether or not it was getting value for money.
According to a PAC report, despite the vast cost the aircraft are not even equipped to fly on missions in Afghanistan.
To kit them out with sufficient protection for combat zones would cost the taxpayer hundreds of millions more.
The deal was struck as a Private Finance Initiative (PFI), which means a private company covers the initial cost and is then gradually reimbursed by the taxpayer - with a premium added on top.
PFI has been criticised in the past because although it allows infrastructure projects to be carried out quickly, it obliges the taxpayer to pay back much more than the initial cost for years - sometimes decades - to come.
Committee chair Margaret Hodge (http://indepth.news.sky.com/InDepth/topic/Margaret%20Hodge) said: "It is simply astonishing that it took until 2006 to recognise that the new aircraft should be able to fly into high-threat environments like Afghanistan.
"Four years later, (the MoD) has still not decided whether to fit the necessary protective equipment... because of the implications this would have for the cost of the PFI."
It comes amid a growing row over the cost of the UK's nuclear capability. (http://news.sky.com/skynews/Home/Politics/Trident-Tory-MPs-Express-Alarm-Over-Delay-Of-Decision-On-Renewal-Of-Nuclear-Deterrent/Article/201009315730742)
Senior Tories have expressed alarm at reports that the Government could put off the final decision on whether to go ahead with the replacement of the four missile-carrying submarines - due to be announced in 2014 - until after the election in 2015.
http://news.sky.com/sky-news/content/StaticFile/jpg/2009/Oct/Week1/15401422.jpg (http://news.sky.com/skynews/Home/Politics/General-Sir-Richard-Dannatt-Speaks-To-Sky-News-About-Ministry-Of-Defence-Cuts/Article/201009315729344?lpos=Politics_Article_Related_Cont ent_Region_1&lid=ARTICLE_15729344_General_Sir_Richard_Dannatt_S peaks_To_Sky_News_About_Ministry_Of_Defence_Cuts)S ep 15,2010
Dannatt's Warning On Spending Cuts http://news.sky.com/sky-news/app/img/chv_12_red.gif (http://news.sky.com/skynews/Home/Politics/General-Sir-Richard-Dannatt-Speaks-To-Sky-News-About-Ministry-Of-Defence-Cuts/Article/201009315729344?lpos=Politics_Article_Related_Cont ent_Region_1&lid=ARTICLE_15729344_General_Sir_Richard_Dannatt_S peaks_To_Sky_News_About_Ministry_Of_Defence_Cuts)
Video
http://news.sky.com/sky-news/content/StaticFile/jpg/2010/Jul/Week2/15663874.jpg 1:26 (http://news.sky.com/skynews/Home/video/Taranis-MoDs-New-Aircraft-Capable-Of-Flying-Deep-Into-Enemy-Territory-Unmanned-And-Undetected/Video/201007215663859?lpos=video_Article_Related_Content _Region_2&lid=VIDEO_15663859_Taranis%3A_MoDs_New_Aircraft_Ca pable_Of_Flying_Deep_Into_Enemy_Territory_Unmanned _And_Undetected)
Jul 12,2010
See The MoD's New Unmanned Aircrafthttp://news.sky.com/sky-news/app/img/chv_12_red.gif (http://news.sky.com/skynews/Home/video/Taranis-MoDs-New-Aircraft-Capable-Of-Flying-Deep-Into-Enemy-Territory-Unmanned-And-Undetected/Video/201007215663859?lpos=video_Article_Related_Content _Region_2&lid=VIDEO_15663859_Taranis%3A_MoDs_New_Aircraft_Ca pable_Of_Flying_Deep_Into_Enemy_Territory_Unmanned _And_Undetected)
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RAF Tornados Face Axe To Save Cash http://news.sky.com/sky-news/app/img/chv_12_red.gif (http://news.sky.com/skynews/Home/UK-News/RAF-Set-To-Ditch-Tornados-As-Part-Of-MoDs-Efforts-To-Find-Cash-To-Pay-For-Trident-Nuclear-Deterrent/Article/201007415673539?lpos=UK_News_Article_Related_Conte nt_Region_3&lid=ARTICLE_15673539_RAF_Set_To_Ditch_Tornados_As_ Part_Of_MoDs_Efforts_To_Find_Cash_To_Pay_For_Tride nt_Nuclear_Deterrent)