Scope of the inquiry
The Royal Navy has operated a continuous at-sea nuclear deterrent
for 49 years. The UK’s current Vanguard-class submarines are due
to be replaced from the early 2030s by new Dreadnought-class
submarines. As of March 2018, the National Audit Office estimated
30,000 people were involved in the structures and industries that
support the deterrent, known as the Nuclear Enterprise.
A recent National Audit
Office report has evaluated the scale of the Nuclear
Enterprise and challenges it may face. It expects a total spend
on supporting the Nuclear Enterprise of £50.9 billion between
2018 and 2028—£2.9 billion more than the available budget. This
figure assumes the Department will manage to make £3 billion in
efficiency savings over the next decade.
The Department also must fill 337 important skills gaps to
support the Enterprise whilst managing a complex supply chain of
four main contractors (BAE Systems, Babcock, Rolls-Royce and AWE
Management Ltd) and approximately 1,500 subcontractors.
The Committee has previously expressed concerns about management
of the Defence budget. The Committee will take evidence from the
Ministry of Defence and Submarine Delivery Agency to explore
whether the Nuclear Enterprise is sustainable, and what they can
do to ensure that new submarines are delivered on time and on
budget.
Evidence given by , Permanent
Secretary, Kelly, Director General,
Nuclear, Ministry of Defence, Vice Admiral Tony Radakin, Second
Sea Lord, Royal Navy, and Ian Booth, Chief Executive, Submarine
Delivery Agency.
Ministry
of Defence nuclear programme inquiry - July 2
