Twenty-Third Report - Delivering carrier strike

Select Committee
Public Accounts Committee HC 684 13 November 2020
Report Status Government responded
Conclusions & Recommendations 27 items (17 recs)
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Government Response (AI assessment · 27 of 27 classified)
Accepted 21
Accepted in Part 1
Deferred 1
Not Addressed 4
Government response
Treasury minutes: Government response to the Committee of Public Accounts on the Twenty-third report from Session 2019-21 · published 4 Feb 2021
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Recommendations & Conclusions

21 results
3 Recommendation Accepted
The Department still does not fully understand Carrier Strike’s support and operating requirements or costs.
Recommendation
The Department still does not fully understand Carrier Strike’s support and operating requirements or costs. In 2018, we highlighted that the Department must develop detailed estimates of the costs of supporting and operating Carrier Strike. This is even more important … Read more
Government Response Summary
The government accepts the recommendation, stating it will collect full information on carrier strike group operating costs during the 2021 deployment to improve understanding. It will also address support capabilities as part of the Integrated Review, evaluating outcomes to present a future investment plan.
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5 Recommendation Accepted
The Department’s failure to ensure the timely delivery of the Crowsnest radar system leaves the...
Recommendation
The Department’s failure to ensure the timely delivery of the Crowsnest radar system leaves the carriers with less protection than planned in its early years. The Department has regarded the Crowsnest project—which will provide a new airborne radar system to … Read more
Government Response Summary
The government accepts the recommendation, agreeing to provide a written brief by February 2021 on how it has addressed the Crowsnest system's delayed delivery and the timetable for enhancements. It also details improved oversight of sub-contractors, including through increased scrutiny and Earned Value Management.
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6 Recommendation Accepted
The Department’s failure to fund several key supporting capabilities will restrict how it can use...
Recommendation
The Department’s failure to fund several key supporting capabilities will restrict how it can use the carriers for many years. The operational freedom of a carrier group relies on support ships providing munitions and stores where and when they are … Read more
Government Response Summary
The government accepts the recommendation, agreeing to develop a plan for investing in essential supporting capabilities for the carrier strike group. This will be addressed through the Integrated Review by Q1 2021, including launching a new competition for Fleet Solid Support ships.
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7 Conclusion Accepted
The government is re-assessing its defence priorities in the Integrated Review of Security, Defence, Development...
Conclusion
The government is re-assessing its defence priorities in the Integrated Review of Security, Defence, Development and Foreign Policy (the Review), which, when we took evidence at the end of September, the Department expected would be published in November 2020.13 As … Read more
Government Response Summary
The government agrees with the observation, stating it will address carrier support capabilities as part of the Integrated Review, reporting in Q1 2021. A new competition for Fleet Solid Support requirements will be launched in Q1 2021 to allow for wider Carrier Enabled Power Projection.
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8 Recommendation Accepted
The Department told us that a key factor in its thinking going into the Review...
Recommendation
The Department told us that a key factor in its thinking going into the Review had been to ensure Carrier Strike has appropriate support to operate on a global scale.17 It said that the Prime Minister has given it a … Read more
Government Response Summary
The government states it agrees with the recommendation and will address carrier support capabilities as part of the Integrated Review, including launching a new competition for Fleet Solid Support requirements in Q1 2021.
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9 Recommendation Accepted
The Department assured us that Carrier Strike remains a vital component of the 9 Qq...
Recommendation
The Department assured us that Carrier Strike remains a vital component of the 9 Qq 13, 15 10 C&AG’s Report para 1.12 11 Qq 13–14 12 Q 14 13 Q 6 14 Q 49 15 Q 49 16 Qq 50–51 … Read more
Government Response Summary
The government accepts the committee's finding, reaffirming Carrier Strike as a vital UK military capability. It outlines steps through the Integrated Review and a new competition for Fleet Solid Support ships to ensure sovereign operational capability by 2023 and beyond.
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10 Recommendation Accepted
In 2018, this Committee recommended that the Department develop more detailed estimates of the costs...
Recommendation
In 2018, this Committee recommended that the Department develop more detailed estimates of the costs of supporting and operating Carrier Strike.24 This is even more important now given the pressure on the defence budget, as illustrated by funding shortfalls of … Read more
Government Response Summary
The government accepts the recommendation, stating it will address carrier support capabilities as part of the Integrated Review, which includes launching a new competition for Fleet Solid Support ships in Q1 2021.
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11 Recommendation Accepted
Support costs include the cost of maintaining, repairing and upgrading equipment.
Recommendation
Support costs include the cost of maintaining, repairing and upgrading equipment. Operating costs include items like fuel, port fees and stock.27 The Department is developing its understanding of the requirements of a carrier strike group when on deployment, and believes … Read more
Government Response Summary
The government accepts the recommendation, agreeing to use the 2021 operational deployment to understand carrier strike group costs. It will address supporting capabilities as part of the Integrated Review by Q1 2021 and launch a new competition for Fleet Solid Support requirements.
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12 Recommendation Accepted
The Department assured us that it did not have major concerns over its budget for...
Recommendation
The Department assured us that it did not have major concerns over its budget for sustaining a carrier strike group and that it could place the support contracts it needs.31 However, it admitted that it does not yet fully understand … Read more
Government Response Summary
The government accepts the recommendation and will address carrier support capabilities, including Fleet Solid Support requirements and intra-theatre lift, as part of the Integrated Review, with a new shipbuilding competition launching in Q1 2021.
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13 Recommendation Accepted
The Department depends on the availability of various supporting capabilities if it is to achieve...
Recommendation
The Department depends on the availability of various supporting capabilities if it is to achieve the full operational capabilities of Carrier Strike in 2023, and ultimately Carrier Enabled Power Projection in 2026.37 For example, the lack of inflight re-fuelling aircraft … Read more
Government Response Summary
The government accepts the committee's finding, agreeing to address the required supporting capabilities for Carrier Strike, including fleet solid support ships and intra-theatre lift, as part of the Integrated Review and a new competition by Q1 2021.
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14 Conclusion Accepted
The Lightning II is a sophisticated stealth jet that will be used for both land...
Conclusion
The Lightning II is a sophisticated stealth jet that will be used for both land and carrier-based operations. In 2015, the Department announced that it intended to purchase 138 jets. It is purchasing the jets in tranches under a memorandum … Read more
Government Response Summary
The government agrees with the associated recommendation, arranging a private briefing by January 2021 to provide a full and detailed breakdown of Lightning II expenditure, approved budget, and forecast whole life costs for the 48 F-35 aircraft.
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15 Conclusion Accepted
The Department told us that its intention to buy 138 aircraft was based on its...
Conclusion
The Department told us that its intention to buy 138 aircraft was based on its original plan that there would always be four operational squadrons and both carriers operating. The 2015 Strategic Defence and Security Reviews altered this expectation, and … Read more
Government Response Summary
The government agrees with the associated recommendation, arranging a private briefing by January 2021 to provide a full and detailed breakdown of Lightning II expenditure, approved budget, and forecast whole life costs for the 48 F-35 aircraft.
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17 Recommendation Accepted
As at April 2020, the Department had spent £6.0 billion on the Lightning II project,...
Recommendation
As at April 2020, the Department had spent £6.0 billion on the Lightning II project, 37 C&AG’s Report, para. 2.1 and Figure 6 38 Q 22; C&AG’s Report, paras. 1.14 and 1.15 39 Qq 20, 43–45; C&AG’s Report, para. 3 … Read more
Government Response Summary
The government accepts the recommendation, agreeing to provide a full breakdown of Lightning II expenditure and whole life costs. A private briefing has been arranged for January 2021 to cover the Whole Life Costs for the 48 F-35Bs.
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18 Recommendation Accepted
The Department told us that each plane currently costs approximately $100 million and that it...
Recommendation
The Department told us that each plane currently costs approximately $100 million and that it expected this price to fall by 13% over the next three tranches.46 Nevertheless, this basic purchase price is just one cost element, and other costs … Read more
Government Response Summary
The government accepts the recommendation regarding cost clarity for the Lightning II program and has arranged a private briefing session for January 2021 to discuss related expenditure and Whole Life Costs for the 48 F-35 aircraft.
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19 Conclusion Accepted
Crowsnest provides critical radar protection for Carrier Strike.
Conclusion
Crowsnest provides critical radar protection for Carrier Strike. It is fitted to the Royal Navy’s Merlin helicopters and provides long-range air, sea and land surveillance, detection and tracking to identify threats beyond the horizon. Crowsnest is designed to work alongside … Read more
Government Response Summary
The government agrees with the associated recommendation, committing to provide a written brief by February 2021 on how it addressed Crowsnest's late delivery, increase oversight of sub-contractors, and use Earned Value Management to track supplier performance.
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20 Conclusion Accepted
The Department agreed a fixed-price contract for Crowsnest in November 2016 with Lockheed Martin, which...
Conclusion
The Department agreed a fixed-price contract for Crowsnest in November 2016 with Lockheed Martin, which sub-contracted delivery of the project to Thales and Leonardo Helicopters. From the very start the Department regarded the project as a very high risk, having … Read more
Government Response Summary
The government accepts the recommendation and, despite delays to full capability, commits to providing a credible Crowsnest baseline with enhancements until FOC in 2023. It will also provide a written brief to the Committee and has increased oversight of subcontractors and improved performance tracking.
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21 Conclusion Accepted
The Department told us that an internal audit at Thales in January 2019 declared that...
Conclusion
The Department told us that an internal audit at Thales in January 2019 declared that it would be very late delivering the programme. As a result, the Department does not expect Crowsnest to achieve initial operating capability until September 2021. … Read more
Government Response Summary
The government agrees with the associated recommendation, committing to provide a written brief by February 2021 on how it addressed Crowsnest's late delivery, increase oversight of sub-contractors, and use Earned Value Management to track supplier performance.
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22 Recommendation Accepted
The Department acknowledged that Crowsnest will not provide the capability it had originally expected when...
Recommendation
The Department acknowledged that Crowsnest will not provide the capability it had originally expected when it deploys Carrier Strike operationally in 2021, but it assured us that there will be a credible baseline radar capability. It also said that some … Read more
Government Response Summary
The government accepts the committee's finding, agreeing that a credible baseline Crowsnest capability will be available for CSG21 and will be enhanced until Full Operating Capability in 2023. A written brief detailing how the late delivery is being addressed will be provided to the Committee by February 2021.
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24 Recommendation Accepted
The operational freedom of a carrier group relies on tankers supplying it with oil and...
Recommendation
The operational freedom of a carrier group relies on tankers supplying it with oil and water, and solid support ships providing food, ammunition and general stores, where and when they are required. The Department identified that it needed new solid … Read more
Government Response Summary
The government accepts the recommendation and will address support capabilities for carriers as part of the Integrated Review, launching a new competition for Fleet Solid Support ships in Q1 2021.
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25 Recommendation Accepted
In the meantime, the Department must rely on RFA Fort Victoria, which has limited cargo...
Recommendation
In the meantime, the Department must rely on RFA Fort Victoria, which has limited cargo capacity, to provide the carriers with stores and munitions. RFA Fort Victoria entered service in 1994 and is due to retire in April 2028, having … Read more
Government Response Summary
The government accepts the recommendation and will address carrier support capabilities as part of the Integrated Review, with a new competition for Fleet Solid Support ships launching in Q1 2021 involving international partners.
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26 Recommendation Accepted
The Department told us that, consequentially, it would have to think through how 51 Qq...
Recommendation
The Department told us that, consequentially, it would have to think through how 51 Qq 30–31, 35–37 52 Qq 17–18, 50, 78–79; C&AG’s Report, paras. 1.6–1.7 53 Qq 56–57; C&AG’s Report, para. 2.16 54 Q 56; C&AG’s Report, para. 2.17 … Read more
Government Response Summary
The government accepts the committee's finding, stating it will address carrier support capabilities, including Fleet Solid Support requirements, as part of the Integrated Review by Q1 2021, and will launch a new competition for support ships.
HM Treasury
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