Defence Equipment and Support Debate

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Department: Ministry of Defence

Defence Equipment and Support

Lord Walney Excerpts
Tuesday 17th July 2012

(11 years, 10 months ago)

Commons Chamber
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Nick Harvey Portrait Nick Harvey
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My hon. Friend makes good points on the difficulties that SMEs believe they currently have in some of our big procurement projects. Since the move to the MOD contracting directly with prime contractors, which then handle subsidiary contracting, it would be true to say that the MOD has rather lost the skill set of managing SMEs. By the time the reforms are complete, I hope that a GOCO of the sort I have described will reinvest in those skill sets and that we will be better able to manage SMEs directly.

Lord Walney Portrait John Woodcock (Barrow and Furness) (Lab/Co-op)
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In the light of what the Minister has said on sovereign capabilities, and the fact that Aldermaston is already a GOCO, how will the successor deterrent programme be different if it is transferred into a GOCO?

Nick Harvey Portrait Nick Harvey
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There will be very little difference. The fact of the matter, however, is that the project management undertaken on behalf of the MOD by DE&S will—I say this with considerable confidence—be better, because there will be a higher level of skills in DE&S. It will bring in a variety of new commercial skill sets of which it is currently short. That will secure better value for money and more efficient delivery of the contract.