February 13, 2012 defpro.com
Various media report that according to the Public Accounts Commitee, the UK's 15 largest defence projects are expected to cost £6 billion more than first estimated and will be delayed by a combined total of 26 years.
Responding to the report, Defence Secretary Philip Hammond said: "Through a radical reform programme we have taken firm steps to grip the equipment programme and halt the trend of vast cost increases of the past.
"We are now close to eliminating the black hole in the MOD's finances and will soon set out an affordable, deliverable programme. This will see us invest more than £150 billion in the right equipment for our Armed Forces while achieving value for money for UK taxpayers.
"Scrapping the ill-fated Nimrod MRA4 was one of many tough but necessary decisions we had to take to deal with an equipment programme that was out of control. The aircraft were more than eight years late, almost £800 million over budget, and the unit cost of each aircraft had soared by 200 per cent, with no guarantee they would ever be fit to fly. The Astute programme is now on a much firmer footing with the first boat in service and the second due to leave Barrow soon."