Anyone got a rough idea of the breakdown* of the defence budget, a brief bit of googling isn't revealing much?
* % on wages/equipment/infrastructure etc. I seem to remember equipment being ~1/3 of the overall expenditure.
Anyhoo, a 1% rise in equipment costs allied with an overall cut in expenditure of £1Bn is going to lead to some tough decisions (job cuts/equipment cuts/pay freezes). Hard to see much being saved by mere efficiency savings.