§ Mr. KeyTo ask the Secretary of State for Defence for what reasons he has delayed the implementation of the new pay structure for the armed forces until April 2000; and what will be the consequent saving to his budget. [99922]
§ Mr. SpellarI refer the hon. Member to the answer I gave to the hon. Member for Bolton, North-East (Mr. Crausby) on 19 November 1999,Official Report, column 14W, in which I stated that the new pay structure for the Armed Forces was to be delayed by one year to April 2001 because the process of implementing this major project has proved more complex than had been originally anticipated. This delay will ensure that there is no risk to the pay of our Service men and women. There will be no consequent saving to the Defence budget.
The transition to the new pay structure is expected to involve additional costs. The pay rates for the new system will be recommended by the Armed Forces Pay Review Body, and these will not be known until early 2001. Therefore I am withholding details of our planning assumptions under Exemption 2 of the Code of Practice on Access to Government Information.