The Future of the Equipment Plan

Public Accounts Committee Closed Inquiry
Opened: 26 Mar 2025 Closed: 21 Aug 2025 Parliament page
Historically, the Ministry of Defence (MoD) has published an annual Equipment Plan, where it sets out its spending plans on equipment procurement and support projects over the next decade to keep the nation secure. The Government revealed in 2024 that an Equipment Plan for that year would not be published, … Read more
2 Recommendations
31 Conclusions
1 Report
1 Oral session
3 Letters
1 Event
Activity timeline 7 events
1 Dec
2025
Correspondence
24 Nov
2025
Correspondence
16 Sep
2025
Report published
20 Jun
2025
Report published
19 May
2025
Correspondence
28 Apr
2025
Oral evidence
28 Apr
2025
Formal meeting (oral evidence session) · The Boothroyd Room, Portcullis House
Oral evidence sessions 1 session
28 Apr 2025
View on parliament.uk
Admiral Sir Tony Radakin KCB ADC · Ministry of Defence Andy Start · Ministry of Defence David Williams CB · Ministry of Defence Madelaine McTernan CB · Ministry of Defence
Title HC No. Published Items Response
32nd Report - The Future of the Equipment Plan HC 716 20 Jun 2025 33 Responded
Recommendations & Conclusions
33 results
2 Conclusion Accepted
32nd Report - The Future of the Eq…
Update Committee by June 2026 on operational improvements identified from Ukraine support.
Lessons learned from supporting Ukraine have made the Department examine its own decision-making and procurement processes, finding some of them in need of improvement. The Department has learned several lessons from its support for Ukraine. These include: the need for … Read more
Government Response
The government details ongoing reforms to procurement processes, including tailoring acquisition, early industry engagement, driving pace through spiral acquisition, and establishing UK Defence Innovation (UKDI) on 1 July 2025 to implement lessons learned from supporting Ukraine.
HM Treasury
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3 Conclusion Accepted
32nd Report - The Future of the Eq…
Provide Committee by June 2026 with evidence on defence procurement improvements and KPIs.
The Department’s defence reform programme sets out ambitious plans for improving defence procurement, but it is unclear how long it will take for these benefits to become fully embedded. In April 2025 the Department reorganised itself into four areas–the Department … Read more
Government Response
The government states it has brought teams together under the National Armaments Director (NAD) Group and implemented a new segmented approach to procurement. It is also developing key performance indicators and measures to track progress, with a target to agree these KPIs within the next three months.
HM Treasury
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4 Conclusion Accepted
32nd Report - The Future of the Eq…
Provide Committee with updates on Strategic Defence Review implementation progress by end of 2025.
The Strategic Defence Review (the SDR) has set out the government’s high-level policy and capability ambitions, but the Department will need to complete further work to prioritise what it must do to achieve them. The government launched the SDR in … Read more
Government Response
The government states it will develop and publish a new Defence Investment Plan (DIP) in the autumn to convert the Strategic Defence Review’s ambitions into a deliverable plan. It commits to providing updates on progress to the Committee as requested.
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5 Conclusion Deferred
32nd Report - The Future of the Eq…
Provide Parliament with proposal for annual equipment procurement updates by September 2025.
We are extremely disappointed that the Permanent Secretary did not have concrete suggestions for how the Department will provide Parliament with annual reporting on its plans. The Department last published a full Equipment Plan in November 2022. Since July 2023, … Read more
Government Response
The government agrees with the recommendation but states that officials cannot pre-empt Ministerial decisions, referring instead to the plans for the Defence Investment Plan (DIP) outlined in the Strategic Defence Review publication on 2 June 2025. It does not commit to providing the requested fully worked-out proposal to the committee.
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6 Conclusion Rejected
32nd Report - The Future of the Eq…
Provide Parliament with annual Defence Nuclear Enterprise costs, budget proportion, and variance explanations.
The ever-increasing cost of the Defence Nuclear Enterprise (the DNE) is likely to add pressure on the Department’s overall budgets. In 2024–25 the nuclear budget was £10.9 billion, around 18% of the whole defence budget (unchanged as a percentage from … Read more
Government Response
The government rejected the recommendation, stating that the annual update to Parliament is not the appropriate vehicle for detailed DNE financial reporting, as this information is already provided through wider MOD financial reports and the Parliamentary Estimates process.
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1 Conclusion Accepted
32nd Report - The Future of the Eq…
Global instability prompting increased UK defence spending and refreshed NATO operational plans.
Russia’s illegal invasion of Ukraine in February 2022, which followed its annexation of Crimea in 2014, has contributed to making the world more unstable. In response, the UK government has confirmed in its Spending Review on 11 June that it … Read more
Government Response
The government detailed its ongoing support for Ukraine, including providing £4.5 billion in capability support this financial year, a landmark agreement to integrate battlefield technology into UK production lines, and sustained close relationships with Ukrainian counterparts.
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7 Conclusion Accepted
32nd Report - The Future of the Eq…
Taskforce Hirst facilitates beneficial UK-Ukrainian defence industry collaboration on innovative equipment.
Through Taskforce Hirst, UK and Ukrainian industry are working together to design, build and support innovative and adaptable equipment. The Department said that both the UK and Ukraine are benefitting from this collaboration, including aligning how the defence industries in … Read more
Government Response
The government accepts the committee's point, reiterating its commitment to supporting Ukraine, including £4.5 billion in capability support this financial year, and implementing long-term solutions from the Strategic Defence Review by partnering with Ukraine's defence industry.
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8 Conclusion Accepted
32nd Report - The Future of the Eq…
International groups and capability coalitions effectively coordinate military support for Ukraine.
The Department said that there are two important but unheralded international groups working to assist Ukraine: the Ukraine defence contact group, and the conference of national armaments directors.11 The UK, Germany and Ukraine now lead the Ukraine defence contact group, … Read more
Government Response
The government accepts the committee's point, reiterating its commitment to supporting Ukraine, including £4.5 billion in capability support this financial year, and implementing long-term solutions from the Strategic Defence Review by partnering with Ukraine's defence industry.
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9 Conclusion Accepted
32nd Report - The Future of the Eq…
Future conflicts necessitate a mixture of high-end equipment and affordable, high-mass capabilities.
The importance of allies, discussed in the previous section, is one of the lessons that the Department has learned from its support for Ukraine.16 The Department also highlighted several other lessons. First, for future conflicts armed forces will need a … Read more
Government Response
The government agrees with the committee's observation and commits to fundamentally changing procurement processes by tailoring acquisition, engaging early with industry, adopting spiral acquisition, and has established UK Defence Innovation (UKDI) as of July 2025 to accelerate defence capability delivery.
HM Treasury
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10 Conclusion Accepted
32nd Report - The Future of the Eq…
Autonomy, including mixed crewed and uncrewed platforms, is increasingly crucial in modern warfare.
The Department said that autonomy is starting to really matter in warfare. The importance of having a mix of crewed and uncrewed platforms is now more apparent, such as by augmenting crewed helicopters with 11 Q 26 12 Qq 26, … Read more
Government Response
The government agrees with the implicit recognition of the strategic importance of autonomy and AI in warfare, stating it has implemented lessons from Ukraine into procurement reforms and established UK Defence Innovation (UKDI).
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11 Conclusion Accepted
32nd Report - The Future of the Eq…
Fewer, standardised systems and collaborative development with allies offer greater value.
The advantage of having fewer systems has also been reinforced. The Department explained that with more systems, it is more complicated to manage the logistics and more difficult to sustain warfighting operations, which reduces the deterrent effect. As a result, … Read more
Government Response
The government agrees with the committee's observation and commits to fundamentally changing procurement processes by tailoring acquisition, engaging early with industry, adopting spiral acquisition, and has established UK Defence Innovation (UKDI) as of July 2025 to accelerate defence capability delivery.
HM Treasury
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12 Conclusion Accepted
32nd Report - The Future of the Eq…
Resilient industrial capacity and supply chains are crucial for sustaining armed forces equipment.
The final lesson is the importance of having the industrial ability and capacity to sustain equipment if supply chains are disrupted. The Department said that this means making sure that the armed forces could continue to operate equipment, even if … Read more
Government Response
The government agrees with the committee's observation and commits to fundamentally changing procurement processes by tailoring acquisition, engaging early with industry, adopting spiral acquisition, and has established UK Defence Innovation (UKDI) as of July 2025 to accelerate defence capability delivery.
HM Treasury
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13 Conclusion Accepted
32nd Report - The Future of the Eq…
Defence procurement strategy now includes rapid deployment of inexpensive, innovative capabilities.
The Department has responded to these lessons by splitting its procurement into three segments. The top segment consists of large strategic programmes that provide long-term platforms, such as submarines, ships and aeroplanes. The second segment is for developing capabilities and … Read more
Government Response
The government agrees with the committee's observation, confirming it has already implemented a segmented approach to procurement based on lessons from Ukraine and has established UK Defence Innovation (UKDI) to drive faster, more agile capability delivery.
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14 Conclusion Accepted
32nd Report - The Future of the Eq…
Rapid capability development process involves industry proposals, expert selection, and field testing.
The Department explained that for the third segment, it has developed a process through its support for Ukraine whereby it provides industry with a problem statement and within a month gets proposals back from industry. It requires at least three … Read more
Government Response
The government agrees with the implicit recommendation to learn from Ukraine procurement methods, detailing ongoing reforms and the establishment of UK Defence Innovation (UKDI) on July 1, 2025, for faster capability delivery.
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15 Conclusion Accepted
32nd Report - The Future of the Eq…
Increased risk appetite facilitates faster procurement and streamlined decision-making processes.
The Department’s support for Ukraine has also led it to reconsider what level of financial and operational risk it is willing to tolerate. A higher risk appetite allows equipment to be delivered quicker as there is less checking for mistakes. … Read more
Government Response
The government agrees that lessons from Ukraine have prompted a reconsideration of risk appetite and procurement processes, confirming its ongoing reforms aim to streamline acquisition, increase pace, and empower agile decision-making.
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16 Conclusion Accepted
32nd Report - The Future of the Eq…
Rapid innovation requires quicker procurement and shorter equipment lifecycles for continued relevance.
The speed of innovation seen in Ukraine has highlighted that quicker procurement is important to ensure that new equipment is not already out of date by the time the armed forces deploy it.27 The Department explained that this requires a … Read more
Government Response
The government agrees with the committee's observation that quicker and more adaptable procurement is vital, confirming its ongoing reforms, including the NAD Group and segmented approach, are designed to address this.
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17 Conclusion Accepted
32nd Report - The Future of the Eq…
Defence reform significantly enhances National Armaments Director's control over acquisition processes.
On 1 April 2025 the Department’s defence reform programme reorganised it into four areas – the Department of State, a Military Strategic Headquarters, a National Armaments Director (NAD) Group and Defence Nuclear.29 The Department anticipates that defence reform will give … Read more
Government Response
The government agrees with the committee's observation regarding the departmental reorganisation and the NAD Group's role, confirming its ongoing procurement reforms build on this structure to enhance collaboration and acquisition processes.
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18 Conclusion Accepted
32nd Report - The Future of the Eq…
Department plans ambitious reductions in defence procurement and programme completion timescales.
The Department intends to build on procurement reforms begun under the previous government to procure faster. It has identified that the biggest problem is that it takes too long to get programmes on contract.31 24 Qq 22 and 40 25 … Read more
Government Response
The government confirms its ongoing procurement reforms are designed to reduce programme and contract award times, with progress expected by June 2026, and will establish key performance indicators within three months.
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19 Conclusion Accepted
32nd Report - The Future of the Eq…
New procurement approach seeks to prevent over-specification and increase defence exports.
The Department has set the five-year target for programme length to stop the armed forces over-specifying their requirements.34 It said that the troubled Ajax programme, for example, had been tremendously over-specified.35 The Department anticipates it can achieve this target by … Read more
Government Response
The government confirms it is already implementing procurement reforms, including the NAD Group and a new segmented approach, to achieve a five-year programme length target by June 2026, and will agree key performance indicators within three months.
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20 Conclusion Accepted
32nd Report - The Future of the Eq…
New defence procurement reforms require several years to reduce average programme times.
However, 2025–26 is a transitional year as the changes bed in. The Department has started to roll out new processes so that programmes beginning this year adhere to the faster timeframes. The Department’s senior leadership team will monitor progress using … Read more
Government Response
The government accepts the committee's point and will develop a new Defence Investment Plan (DIP) to implement the Strategic Defence Review's recommendations, publishing the plan in autumn 2025 and providing updates.
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21 Conclusion Accepted
32nd Report - The Future of the Eq…
Government published the Strategic Defence Review in June 2025 charting future defence direction.
The government launched the Strategic Defence Review (the SDR) in July 2024 and said it would publish it in the first half of 2025.41 The Department told us that the SDR would try to balance ambition and resource, but also … Read more
Government Response
The government accepts the committee's point and will develop a new Defence Investment Plan (DIP) to implement the Strategic Defence Review's recommendations, publishing the plan in autumn 2025 and providing updates.
HM Treasury
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22 Conclusion Accepted
32nd Report - The Future of the Eq…
Department reaffirms NATO's growing strategic importance, emphasising standardisation and interoperability among members.
At our evidence session the Department had reiterated the importance of NATO to its strategic outlook and noted that one theme of the SDR’s terms of reference is thinking ‘NATO-first’, when considering policy, capability requirements and procurement .43 The Department … Read more
Government Response
The government confirms its "NATO-first" strategic outlook and states it has endorsed the Strategic Defence Review's vision and recommendations, which will be implemented via a new Defence Investment Plan published in Autumn 2025.
HM Treasury
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23 Conclusion Accepted
32nd Report - The Future of the Eq…
SDR aims to develop ambitious equipment programme and strengthen identified areas of weakness.
The Department said that the SDR would build upon and develop the current equipment programme. The Department described the existing programme as “ambitious” and an “extraordinary list” of “massive programmes” which includes renewing the nuclear warhead, spending £40 billion to … Read more
Government Response
The government confirms its endorsement of the Strategic Defence Review (SDR) and commits to developing a new Defence Investment Plan (DIP) by Autumn 2025 to implement its recommendations, which will build upon and strengthen the current equipment programme.
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24 Conclusion Acknowledged
32nd Report - The Future of the Eq…
Department is still determining investment priorities for increased defence spending until late 2025.
In March 2025, the government announced that it will increase defence spending to 2.5% of gross domestic product from April 2027.48 However, the Department told us it is only midway through the process of deciding how to invest the additional … Read more
Government Response
The government acknowledged the increase in defence spending to 2.5% of GDP from April 2027.
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25 Conclusion Accepted
32nd Report - The Future of the Eq…
Department previously published annual Equipment Plans to assess affordability and inform Parliament.
The Department published an Equipment Plan (the Plan) each year from 2012 to 2022, setting out its 10-year spending plans for equipment procurement and support projects. The Department’s aim was to produce a reliable assessment of the affordability of its … Read more
Government Response
The government commits to publishing a new Defence Investment Plan (DIP) in Autumn 2025, which will replace the previous Equipment Plan and allow thorough scrutiny of the department's spending and procurement plans.
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26 Conclusion Accepted
32nd Report - The Future of the Eq…
Department did not publish full 2023 Plan, revealing a £16.9 billion budget deficit.
In July 2023, the Department’s Permanent Secretary wrote to the Chair of the previous Public Accounts Committee to say that it would not provide a full Plan that year as it needed “to work through the direction from the 46 … Read more
Government Response
The government commits to publishing a new Defence Investment Plan (DIP) in Autumn 2025, which will be affordable and allow thorough scrutiny of spending, implicitly addressing past issues with the Equipment Plan's affordability.
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27 Conclusion Accepted
32nd Report - The Future of the Eq…
Department declined to publish 2024 Equipment Plan due to ongoing spending plan uncertainty.
In November 2024, the Minister for Defence Procurement & Industry wrote to the Chair to say that the Department would not publish a Plan for 2024 because “it would not provide an accurate reflection of this Government’s spending plans and … Read more
Government Response
The government agrees with the implicit recommendation, committing to publish the Defence Investment Plan (DIP) in Autumn 2025 to allow for thorough scrutiny of the department’s evolving spending plans.
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28 Recommendation Accepted
32nd Report - The Future of the Eq…
Ministry of Defence provides unsatisfactory proposals for parliamentary scrutiny of future spending plans.
We held this inquiry in the sincere hope that by its end we would have heard clear proposals from the Department as to how this Committee, and by extension Parliament, would be able to scrutinise annually the crucial issue of … Read more
Government Response
The government agrees to provide clear proposals for parliamentary scrutiny of its spending plans, committing to publish the Defence Investment Plan (DIP) in Autumn 2025, which will allow thorough scrutiny of the department's evolving spending.
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29 Recommendation Accepted
32nd Report - The Future of the Eq…
Ministry of Defence fails to outline precise methodology for annual spending plan updates to Parliament.
At the end of our evidence session, we asked the Department to write to us setting out a satisfactory and precise methodology for providing Parliament with an update on its spending plans at least once a year.62 The Permanent Secretary … Read more
Government Response
The government accepts the recommendation, committing to publish the Defence Investment Plan (DIP) in Autumn 2025, which will provide a framework for Parliament to scrutinise the department's evolving spending plans.
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30 Conclusion Rejected
32nd Report - The Future of the Eq…
Department of Defence highlights nuclear budget importance and efforts to improve management.
The Department said the UK’s status as a nuclear nation is crucial for keeping the country safe.64 In 2024–25 the nuclear budget was £10.9 billion, around 18% of the whole defence budget (up from £9.433 billion in 2023–2465). The Department … Read more
Government Response
The government rejects the committee's implicit recommendation for specific DNE financial reporting, stating that DNE financial information is already provided through existing parliamentary processes and will be included in the Defence Investment Plan.
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31 Conclusion Rejected
32nd Report - The Future of the Eq…
Defence Nuclear Enterprise costs show significant increases, exceeding previous forecasts and budget allocations.
However, costs of the DNE are rising, driven by various factors.69 The Department is seeking to quicken the pace of delivering its nuclear programmes. The Department noted, however, that there is a very strong correlation between speeding up the schedule … Read more
Government Response
The government rejects the implicit recommendation for separate reporting, stating that DNE financial information is already provided through broader MOD financial reporting, Annual Report and Accounts, and the Defence Investment Plan.
HM Treasury
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32 Conclusion Rejected
32nd Report - The Future of the Eq…
Ringfenced nuclear budget creates unresolved questions about balancing investment with conventional capabilities.
The prioritisation of the DNE has led to government creating a ringfence which prevents the Department from using elsewhere money allocated to delivering the DNE, but which allows money to flow the other way.73 The Department recognises that one of … Read more
Government Response
The government rejects the committee's implicit recommendation for specific DNE financial reporting, stating that DNE financial information is already provided through existing parliamentary processes and will be included in the Defence Investment Plan.
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33 Conclusion Rejected
32nd Report - The Future of the Eq…
Rising nuclear costs may restrict funding for critical non-nuclear defence needs, like military accommodation.
The increase in nuclear costs may restrict the money available for other important needs.76 For example, improving poor accommodation is crucial in addressing the military’s recruitment and retention problems.77 The Department recognises that this is an area where there has … Read more
Government Response
The government rejects the implicit recommendation, stating that detailed DNE financial reporting is already provided through wider MOD financial reporting and other existing documents, to avoid inconsistency.
HM Treasury
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Government Response AI assessment · 33 of 2 classified
Accepted 26
Acknowledged 1
Deferred 1
Rejected 5
Total 2 recs + 31 conclusions
Correspondence 3 letters
1 Dec 2025 To committee Letter from the Permanent Secretary at the Ministry of Defence relating to recommendations of the Committee’s Report on The Future of the Equipment Plan, 20 November 2025
Parliament page
24 Nov 2025 To committee Letter from the Permanent Secretary at the Ministry of Defence relating to the MoD’s Equipment Plan 2023-2033, 20 November 2025
Parliament page
19 May 2025 To committee Letter from the Permanent Secretary of the Ministry of Defence relating to the Future of the Defence Equipment Plan, 13 May 2025
Parliament page