Oral question asked in the House of Commons, by Douglas Carswell (Conservative). It was answered by Lord Davies of Stamford (Labour) on Monday, 22 February 2010 on behalf of the Ministry of Defence.

Defence Equipment Budget (Cost Overruns)

Question: What his most recent estimate is of the level of projected cost overruns in the defence equipment budget; and if he will make a statement.

Answer: The most recent audited estimate of projected cost overruns in the defence equipment budget is a forecast increase of £1.242 billion in the financial year 2008-09, as reported in the 2008-09 annual report and accounts. These cost increases were virtually entirely attributable to two projects—the A400M aircraft and the Queen Elizabeth class aircraft carriers. I have no reason to suppose that this year there will be any such serious cost overruns. Nearly 90 per cent. of projects in the past two years have been delivered to cost.

Secondary information

Type: Oral question
Reference: 506 c3; 317437
Session: 2009-10
Oral question type: Lead
Chamber / Committee: House of Commons chamber
Related items: Defence Equipment Budget (Cost Overruns)
Monday, 22 February 2010
Proceeding contributions
House of Commons
Subjects: Defence Procurement
Link: View this Oral question on www.publications.parliament.uk