ORAC
7th Sep 2003, 16:55
The Sunday Times: Billions at stake in defence study
BILLIONS of pounds in contracts face the axe in a budget review carried out for a new white paper on defence policy.
Reductions in the numbers of heavy tanks, nuclear submarines, frigates and fighter aircraft are expected. Conclusions were to have been announced in 10 days’ time. But delays and the distraction caused by the Hutton inquiry mean an announcement is not expected until next month.
Defence-industry sources said scrutiny of all big projects by Sir Peter Spencer, who took over as head of defence procurement earlier this year, had run in tandem with the white paper review. A Ministry of Defence source said: “Since Spencer arrived he has been looking at all major contracts to make sure they are affordable.”
In order to focus on “network-enabled” warfare strategies, up to £2 billion a year will have to be trimmed from spending plans. At risk are the new Astute class nuclear attack submarines, Type 45 frigates, the Joint Strike Fighter and the Eurofighter Typhoon. The money saved will be diverted into transport aircraft, light armoured vehicles, and high-tech communications.
The Joint Strike Fighter order may be cut from 150 to about 110, while the Typhoon order may be cut by about 50 aircraft..........
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The cuts in the JSF and Typhoon have been on the cards for a while. The numbers haven't matched the planned force structure for a while. The savings will help fund the rumoured 5 additional C-17s required and the A-400M.
We now know where the funds for the new CV and their CEC and comms kit will come from. The decision about Astute* isn't a surprise, but the inclusion of the T45s seems out of line with future plans.
(* I'm surprised that the MR4 isn't mentioned, I'd been expecting a reduction in both orders as a result of the recent debacle. Anyone want to take a bet on it being mentioned in the final paper?) :hmm:
BILLIONS of pounds in contracts face the axe in a budget review carried out for a new white paper on defence policy.
Reductions in the numbers of heavy tanks, nuclear submarines, frigates and fighter aircraft are expected. Conclusions were to have been announced in 10 days’ time. But delays and the distraction caused by the Hutton inquiry mean an announcement is not expected until next month.
Defence-industry sources said scrutiny of all big projects by Sir Peter Spencer, who took over as head of defence procurement earlier this year, had run in tandem with the white paper review. A Ministry of Defence source said: “Since Spencer arrived he has been looking at all major contracts to make sure they are affordable.”
In order to focus on “network-enabled” warfare strategies, up to £2 billion a year will have to be trimmed from spending plans. At risk are the new Astute class nuclear attack submarines, Type 45 frigates, the Joint Strike Fighter and the Eurofighter Typhoon. The money saved will be diverted into transport aircraft, light armoured vehicles, and high-tech communications.
The Joint Strike Fighter order may be cut from 150 to about 110, while the Typhoon order may be cut by about 50 aircraft..........
-------------------------------------------------------------------------------
The cuts in the JSF and Typhoon have been on the cards for a while. The numbers haven't matched the planned force structure for a while. The savings will help fund the rumoured 5 additional C-17s required and the A-400M.
We now know where the funds for the new CV and their CEC and comms kit will come from. The decision about Astute* isn't a surprise, but the inclusion of the T45s seems out of line with future plans.
(* I'm surprised that the MR4 isn't mentioned, I'd been expecting a reduction in both orders as a result of the recent debacle. Anyone want to take a bet on it being mentioned in the final paper?) :hmm: