Friday 18 May 2012

Defence Secretary balances MOD Budget - The MOD's budget deficit (the famous £38bn black hole) has been wiped out for the first time in a generation, Defence Secretary Philip Hammond has announced.    The committed core equipment programme amounts to just under £152bn over ten years, against a total planned spend of almost £160bn. That £152bn includes, for the first time, a centrally held contingency of over £4bn.     The programme also includes an additional £8bn of funding over the next ten years which is unallocated. This means that the budget will have guaranteed headroom to respond to emerging equipment requirements.   The announcement means the MOD can now guarantee the delivery of projects including:-
Royal Air Force
14 New CHINOOK Helicopters
The life extension and PUMA Helicopter upgrade
Introduction into service of the VOYAGER air-to-air refueller
Introduction into service of the A400M troop transporter
Introduction into service of the AIR SEEKER surveillance aircraft
An additional C-17 strategic transport aircraft
Continued investment in TYPHOON and Joint Strike Fighter
Army
A programme of new armoured fighting vehicles worth around £4.5bn over ten year
A £1bn upgrade of the WARRIOR armoured fighting vehicle
Royal Navy
The building of the ASTUTE Class and Successor nuclear submarines
The building of the two QUEEN ELIZABETH Class aircraft carriers
The remainder of the Type 45 Destroyers
The new Type 26 Frigates
The outright purchase of three RIVER Class offshore patrol vessels which are currently leased
Investment in new WILDCAT helicopters,
The MERLIN helicopter upgrade programme
The assessment phase for MERLIN Helicopter marinisation (the ex RAF airframes)
MODA £7bn sum invested in complex weapons - the smart missiles and torpedoes that give our Navy, Army and Air Force their fighting edge.     Balancing the programme means the MOD can now confirm the following projects will also be part of the core equipment programme:
A £4bn plus investment in intelligence, surveillance, communications and reconnaissance assets across the Cipher, Solomon, Crowsnest, Defence Core Network Services and Falcon projects

Notable from this statement was any reference to Maritime Patrol aircraft or Carrier Airborne Early Warning aircraft (replacements for NIMROD MR4 and the venerable SEA KING ASaC7) both serious capability gaps now and seemingly into the future.

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