Question to the Cabinet Office:

To ask the Chancellor of the Duchy of Lancaster and Minister for the Cabinet Office, whether his Department plans to launch an open competition for a replacement lease service when the lease through Corporate Travel Management of the A321 aircraft in Global Britain livery, registered G-XATW, expires in two years or at the end of its potential extension period of five years.

As has been the case under successive Administrations, non-scheduled air travel is necessary at times for undertaking Government and Royal Household official visits. This may be to the timing and flexibility needed, for security reasons, or due to the location being visited. It can also provide better value for money in the cases of larger delegations (which can include journalists).

The Government has procured a single A321 aircraft for use by Ministers and senior members of the Royal Family. The aircraft was procured through an existing Crown Commercial Framework (RM6016 PSTVS Lot 4) in order to achieve a timely, beneficial and cost-effective solution for the government. Early market engagement concluded that a wet lease was able to offer the best balance between value for money, availability and operational flexibility.

The Cabinet Office ran a competition through the Framework and the winning supplier then offered three best options to meet the requirement. Based on this, cost estimates for the procurement of the aircraft were considered against a range of options and it was assessed that an initial term of 2 years, with the opportunity for annual extensions to the full life of the contract, offered the best balance between value for money and flexibility.

The decision to procure an aircraft was based on a range of factors including guaranteed availability; a biosecure aircraft; UK branding; and an aircraft with a transatlantic range. Before the contract is extended beyond the initial 2 years, an assessment will be made on the most cost-effective option that will range from extending the contract to launching an open competition for a new contract.