I spent the most miserable seven years of my life as a Quality Manager of an 05/21 registered company supplying parts and services to the Defence industry. In that time I went thorough a variety of audits by the MoD (PE) and some of them were corrupt, slapdash and slovenly. The first one was a new experience for me as, before lunch, the auditor did about 20 minutes work and, after lunch, he was drunk and argumentative. I passed the audit with three minor defects which, I was later told, he always found. I was both relieved and disgusted.
Haddon-Cave has effectively carried out a representative Quality Audit on the MoD and it's supply chain (look at the supply chain for rubber seals). It has been found seriously wanting and, if this had happened to one of it's suppliers, the supplier would have lost any approvals it had. He has named some names but, just as a defect in a quality sample rejects the whole batch, the whole of the MoD should be considered to be below par until it proves otherwise. It cannot heal itself, the only answer would seem to be the urgent setting up of an independent MAA. Where you will find enough suitably qualified engineers who have not already been corrupted by the MoD system I do not know.