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UK moves ahead with outsourcing MoD hardware procurement

Friday, July 12, 2013

Efforts to find savings have seen the UK government moving to privatise procurement processes within the Ministry of Defence.

While the move to outsource services routinely carried out by the Defence Equipment and Support (DE&S) unit have not yet been confirmed, nearly 20 business groups have already expressed interest in the potential contracts.

The contracts themselves would account for a significant proportion of the MoD’s £34.4 billion yearly budget.

The decision to proceed with a outsourced procurement program now rests with the outcome of talks between the public sector and selected business groups.

A move to an outsourced military procurement arrangement would represent a first of its kind, with private sector organisations working with major contractors such as BAE and EADS.

 

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