Tony Baldry
Main Page: Tony Baldry (Conservative - Banbury)Department Debates - View all Tony Baldry's debates with the Ministry of Defence
(10 years, 3 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Mr Hammond
No. The contract notices for the procurement of the managed service providers will be published shortly. We are finalising the terms of the memorandum of understanding between the Treasury and the MOD, but the broad parameters have been agreed. The freedoms will be very broad, but there will be some constraints, as I hope the hon. Lady would expect. There will be an overall envelope of resources for operating costs, which will be subject to a downward trajectory over time, representing efficiency. Within that envelope, there will be very broad freedom to tailor pay and conditions to the requirements of the marketplace.
Sir Tony Baldry (Banbury) (Con)
Did the shadow Secretary of State for Defence not say in December of last year that we all wanted to see the best of the public sector alongside the best of the private sector? If everyone is in agreement on this—from the shadow Secretary of State for Defence to Lord Levene—it must be a good idea. Presumably, the only really important thing here is ensuring value for money for taxpayers.
Mr Hammond
My right hon. Friend is exactly right: it is about ensuring that the armed forces get the kit they need and have been promised when they need it, and that the taxpayer gets a fair deal. By creating DE&S as a trading entity with freedoms and flexibilities to enter the marketplace and hire the people it needs to do the job properly and effectively, we will ensure that outcome.