MoD refuses to provide F-35 cost estimate

Work on the F-35, by a consortium led by the US-based Lockheed Martin, began in 1996 and was scheduled for completion in 2012 but has been beset by problems. The US estimate of the total cost of the programme jumped from £174bn in 2001 to £283bn this year.

The MoD has so far refused to provide the estimated cost to the UK of buying the F-35, beyond referring to a National Audit Office report that put the total UK cost of the programme through to 2026 at £9.1bn. The MoD declined to offer even a rough figure beyond 2026.

The defence committee said: “[We view] the MoD’s failure to provide adequate cost estimates, either on an overall programme basis or on a per-aircraft basis, as wholly unsatisfactory. It amounts to an open-ended financial commitment which can be quantified only in retrospect.”

The committee said it recognised the difficulties in arriving at an estimate. “However, it is simply not acceptable for the MoD to refuse to disclose to parliament and the public its estimates for the total cost of the programme and to suggest instead that we must wait until the mid-2030s (when all 138 F-35s have been procured) to be able to work out a full unit cost for each aircraft, once spares and upgrades are included.”

The committee launched its inquiry after the Times reported in July that the F-35 was way over budget and bedevilled by software glitches. Among the claims was that the broadband on the Queen Elizabeth was four times slower than that for the average UK household, a serious drawback given one of the advantages of the F-35 is billed as hoovering up data to relay back to the carrier. …

It also took a swipe at the minister for defence procurement, Harriett Baldwin, for sending a letter and briefing document about the F-35 only to Conservative members.

“In future, where the government is responding to claims made in public about defence projects, it should ensure that both sides of the house, rather than just members on its own side, are kept informed,” the committee said.

MoD failure to provide F-35 cost estimate is unacceptable, say MPs
https://www.theguardian.com/uk-news/2017/dec/19/mod-failure-to-provide-f-35-cost-estimate-is-unacceptable-say-mps

 

 

 

 

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