§ Mr. VazTo ask the Secretary of State for Defence if he will make a statement on the Government's proposals in respect of the Army Base Storage and Distribution Agency at Old Dalby, Leicestershire; what representations he has received in respect of these proposals; what is the cost to the Exchequer of keeping the ABSDA open; and 761W what assessment he has made on the potential impact of the closure of the ABSDA, for firms based in Leicester. [23183]
§ Dr. ReidI have accepted, as the basis for consultation, the recommendation of the Quarter-Master General's Storage Rationalisation Study recommendation that the sub-depot of the Army Base Storage and Distribution Agency (ABSDA) at Old Dalby should close. Consultation with all relevant parties on this proposal ended on 23 January.
The saving expected from the implementation of the study's recommendations, including the closure of Sub-Depot Old Dalby, is £17.5 million in net present value terms over 10 years.
A number of representations against the proposed closure have been received from both individual employees and other organisations. All the points raised including those relating to its economic and other effects are, of course, being taken fully into account as part of the consultation process.