The UK has no “credible” plan to buy all the weapons it needs after a huge jump in the cost of the nuclear deterrent helped to create a record funding gap, a group of MPs has warned.
Inflation and a weak pound also contributed to the hole of at least £16.9bn in a rolling, 10-year plan to procure equipment for the Army, Royal Navy and Royal Air Force, the Public Accounts Committee said in a scathing report.
The actual deficit is likely to be closer to £30bn if all the capabilities required by the Army – rather than only those it can afford – are included in the costs, the MPs said on Friday.
The committee accused the Ministry of Defence (MoD) of putting off painful decisions about what equipment programmes would have to be cancelled for the plan to be affordable.
Instead, defence chiefs were found to have been basing their sums around the optimistic belief that the government would boost defence spending to 2.5% of national income from around 2.1% – even though there is no guarantee when this will happen.
The findings came after MPs and military experts expressed dismay at a failure by the Treasury to increase defence spending in the Spring Budget despite mounting security threats and at a time when friends and foes are ramping up their own military investments.
Dame Meg Hillier, the chair of the Public Accounts Committee, said: “In an increasingly volatile world, the Ministry of Defence’s lack of a credible plan to deliver fully funded military capability as desired by government leaves us in an alarming place.”
More on Budget 2024
Related Topics:
She said this was not a new problem, with defence procurement characterised by ballooning costs and delays.
‘Clear deterioration in affordability’
Advertisement
“We’re disappointed that not only are the same problems we’re used to seeing on display here, but they also appear to be getting worse,” Dame Hillier said.
“Despite a budget increase, this year’s plan shows a clear deterioration in affordability. The MoD must get a better grip, or it won’t be able to deliver the military capabilities our country needs.”
The committee said the £16.9bn gap in affordability was the largest since the MoD started publishing its rolling 10-year equipment plan in 2012.
It came despite the government increasing planned spending on military equipment over the ten years to 2033 – the period that the MPs were examining – by £46.3bn to £288.6bn from 12 months earlier.
However, any hope of balancing the books was then sunk by a £38.2bn rise in funding over the same period for the Defence Nuclear Organisation – which is charged with renewing a fleet of nuclear-armed submarines and the missiles and warheads it carries.
Image: Royal Navy’s Astute Class nuclear submarine. Pic: PA
The MPs voiced concern the spiralling costs for what is the UK’s top defence priority could further squeeze the budget for its conventional military capabilities.
Adding to the pressure, the MoD said inflation would push up costs for the equipment programme by £10.9bn over the decade, while unfavourable foreign exchange rates – such as when buying equipment from US companies when the pound is weak against the dollar – would add a further £2.2bn.
“The MoD, however, is unwilling to address this deficit by making major decisions about cancelling programmes,” the report said.
“It asserts that such decisions should wait until after the next Spending Review, which is expected in 2024 but might conceivably be delayed by the forthcoming general election, the timing of which is also uncertain.”
Please use Chrome browser for a more accessible video player
There was also a shortage of skilled officials to oversee the delivery of complex procurement programmes – the equipment plan covers some 1,800 different projects to buy everything from communications gear to warships.
In a sign of strain, only two out of 46 projects included in the Government Major Projects Portfolio – so the most important equipment programmes – are ranked as being highly likely to be delivered to time, budget and quality.
By contrast the successful delivery of five other big projects – including new communications technology, nuclear submarine reactors and missiles – are rated as unachievable.
Asked about the findings of the report, a Ministry of Defence spokesperson said: “Our Armed Forces stand ready to protect the UK and as a leading contributor to NATO, we continue to defend our national interests and those of our allies.
“We are delivering the capabilities our forces need – significantly increasing spending on defence equipment to £288.6 billion over the next decade, introducing a new procurement model to improve acquisition, and confirming our aspiration to spend 2.5% GDP on defence.
“By maintaining part of our equipment plan as uncommitted spend, we have the flexibility to better adapt to changing technology and emerging threats.”
Britain should have access to the EU’s rearmament fund before the end of the year but “wounds of Brexit” mean some member states want it to be limited, the bloc’s foreign affairs chief has said.
Kaja Kallas told Sky News’ political editor Beth Rigby that the “technical details” of Security Action for Europe (SAFE) still need to be sorted out.
SAFE is a €150bn (£126bn) fund to provide loans to EU nations and other participants to bolster their defences.
As part of Sir Keir Starmer’s new reset deal with the EU, a new defence partnership was struck that will allow the UK to access it.
Asked when this might be, Ms Kallas said: “The SAFE instrument has just been finalised between the institutions but it also needs approval from the European Council. And when that is done, we also move on with the implementation of that, and that is in the coming months.”
Please use Chrome browser for a more accessible video player
2:33
Who wins from the UK-EU deal?
Asked about reports that some member states think there should be a limit on what the UK can access, she said: “Of course these discussions are there. We have the wounds from Brexit very clearly.
More from Politics
“I mean you wanted to exit the European Union and then there are many voices who say that you shouldn’t have the same benefits from the European instruments that the European Union countries have.”
According to The Times, France is pushing to freeze the UK out of 85% of the fund.
Image: Kaja Kallas, the EU’s high representative for foreign affairs. Pic: Reuters
Asked if Britain’s access should be higher, Ms Kallas said her personal view is that given the current climate “we should do both. We should invest more in European industry. But we should also cooperate with our outside partners like the UK”.
She added that the EU hasn’t had discussions in terms of percentage, because the fund is “down to the capabilities”.
“That is, I think, more important than numbers,” she said.
The UK government has said accessing SAFE will support thousands of British jobs.
Defence was one of the many areas that has been agreed as part of the newUK and the EU trade deal struck by Sir Keir Starmer – five years after Brexit kicked in.
A key part of the deal involves giving European fishing boats a further 12 years of access to British waters.
In return, there will be increased access to EU eGates for British passport holders in Europe, no health certificates every time pets travel to Europe and the removal of red tape from most UK food and drink imports and exports.
In a statement on Monday, Lineker said: “Football has been at the heart of my life for as long as I can remember – both on the pitch and in the studio.
“I care deeply about the game, and about the work I’ve done with the BBC over many years. As I’ve said, I would never consciously repost anything antisemitic – it goes against everything I stand for.
“However, I recognise the error and upset that I caused, and reiterate how sorry I am. Stepping back now feels like the responsible course of action.”
Image: Lineker has fronted Match Of The Day since 1999. PA
Lineker said he deleted the post when he learned about the rat’s symbolism, adding that he would “never knowingly share anything antisemitic”.
In a video posted to Instagram, the pundit added: “I’ve stood up for minorities and humanitarian issues and against all forms of racism all of my life, including, of course, antisemitism, which I absolutely abhor.
“There’s no place for it and never should be.”
He went on to thank the “brilliant, talented” people he has worked with and described his relationship with the BBC as “long and wonderful”.
He added: “But it’s the right time for the organisation and myself to go our separate ways.”
Lineker’s last appearance on the BBC will be on Sunday 25 May, the final day of the season.
What are the BBC guidelines on impartiality?
Gary Lineker signed a five-year deal with the BBC in 2020, under which he agreed to adhere to their impartiality rules.
The rules were then updated after his return to Match Of The Day in 2023.
The latest regulations say high-profile BBC presenters should be able to express their views on political issues as long as they stop short of campaigning.
It does not clarify what would constitute political campaigning for the big-name presenters.
The guidelines also stress the importance of “high standards of civility in public discourse”, which includes treating others with respect, even in the face of abuse and not using offensive or aggressive language.
The policy only applies to presenters outside of its news coverage. News presenters are still subject to stricter impartiality guidelines.
‘A defining voice in football coverage’
Also confirming Lineker’s exit, BBC director general Tim Davie said: “Gary has acknowledged the mistake he made. Accordingly, we have agreed he will step back from further presenting after this season.
“Gary has been a defining voice in football coverage for the BBC for over two decades. His passion and knowledge have shaped our sports journalism and earned him the respect of sports fans across the UK and beyond.
“We want to thank him for the contribution he has made.”
Image: Kelly Cates, Mark Chapman and Gabby Logan will share the role of presenting Match of the Day. Pic BBC/PA
The former England star announced in November he would step down from Match Of The Day this year, but was set to return to front the World Cup in 2026, as well as FA Cup coverage.
The presenter was temporarily suspended from the BBC in March 2023 after an impartiality row over comments he made criticising the then Conservative government’s asylum policy.
He will be replaced on Match Of The Day by Gabby Logan, Kelly Cates and Mark Chapman, who will share the presenting role from the next Premier League season.
He is also the co-founder of podcast producing company Goalhanger, which makes the popular The Rest Is History series and its spin-offs about politics, football, entertainment and money.
Lineker parting ways with the BBC also includes the licensing deal for Goalhanger podcast titles on BBC Sounds which ends this year, the PA news agency reported.
A “significant amount of personal data” of people who applied to the Legal Aid Agency – including criminal records – was accessed and downloaded by hackers, the Ministry of Justice (MoJ) has said.
The group that carried out the cyber attack says it accessed 2.1 million pieces of data, but the MoJ has not verified that figure, it is understood.
The government became aware of the incident on 23 April, but realised on Friday it was more extensive than first thought.
An MoJ source put the breach down to the “neglect and mismanagement” of the previous government, saying vulnerabilities in the Legal Aid Agency systems have been known for many years.
The Legal Aid Agency (LAA), is an executive agency, sponsored by the MoJ, which is responsible for administering legal aid funding – around £2.3bn in 2023/24.
The data accessed affected those who applied for legal aid in the last 15 years, and may include contact details and addresses of legal aid applicants, their dates of birth, national insurance numbers, criminal history, employment status and financial data such as contribution amounts, debts and payments.
The MoJ has urged anyone who applied for legal aid since 2010 to update any passwords that could have been exposed, and be alert to unknown messages and phone calls.
More on Cyberattacks
Related Topics:
The organisation’s digital services, which are used by legal aid providers to log their work and get paid, have been taken offline.
‘We needed to take radical action’
Legal Aid Agency chief executive Jane Harbottle has apologised for the breach and acknowledged the news would be “shocking and upsetting”.
“Since the discovery of the attack, my team has been working around the clock with the National Cyber Security Centre to bolster the security of our systems so we can safely continue the vital work of the agency,” she said.
“However, it has become clear that, to safeguard the service and its users, we needed to take radical action. That is why we’ve taken the decision to take the online service down,” she said.
Ms Harbottle said contingency plans are in place for those who need legal support and advice.
Please use Chrome browser for a more accessible video player
2:27
Retail disruption to ‘last months’
The Law Society, an organisation representing solicitors across the UK, blamed the attack on Legal Aid’s “antiquated IT system”.
“The incident once again demonstrates the need for sustained investment to bring the LAA’s antiquated IT system up to date and ensure the public have continued trust in the justice system,” said a Law Society spokesperson.
The Ministry of Justice (MoJ) said it is working with the National Crime Agency and National Cyber Security Centre to investigate the data breach.
The National Crime Agency said it was aware of the incident and was working closely with the MoJ to “better understand the incident and support the department”.
It comes after retailers Co-op, Harrods and Marks & Spencer were hit by cyber attacks, although there is no suggestion that they are connected to the incident at the LAA.