Ministry of Defence: Procurement

(asked on 28th April 2016) - View Source

Question to the Ministry of Defence:

To ask the Secretary of State for Defence, how many small and medium-sized businesses were direct suppliers to his Department during the years (a) 2015-16, (b) 2014-15 and (c) 2013-14.


Answered by
Philip Dunne Portrait
Philip Dunne
This question was answered on 4th May 2016

Small businesses are an important source of innovation and flexibility, as both direct and indirect suppliers, to meet our defence and security requirements. The estimated number of Small and Medium-sized Enterprises (SMEs) directly supplying the Ministry of Defence (MOD) during financial years 2013-14 and 2014-15 is provided below. The figures for 2015-16 are not yet available.

MOD Direct Expenditure with SMEs

Estimated Number of SME Suppliers

2013-14

7,000

2014-15

5,400

The MOD spent 19.4% (direct and indirect) of its procurement budget with SMEs in both 2013-14 and 2014-15. The MOD has a new 25% target for SME procurement spend by 2020.

The information has been taken from the Department's published Official Statistics on Trade, Industry and Contracts which summarises MOD contracting with industry. Further information about MOD expenditure with SMEs is available on the Gov.UK website at the respective links:

https://www.gov.uk/government/statistics/mod-industry-trade-and-contracts-2015 and https://www.gov.uk/government/statistics/mod-industry-trade-and-contracts-2014

The MOD does not hold information on the number of SMEs providing indirect supplies through the supply chain.

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