§ Mr. David Walderasked the Secretary of State for Defence how much public expenditure has been saved as a result of standardisation of specific projects since March 1974.
§ Mr. William RodgersThe possibility of standardisation with its attendant economic and military benefits is always an important consideration in major equipment decisions, but it is not possible to identify savings attributable to it in isolation from other factors.
§ Mr. David Walderasked the Secretary of State for Defence how much public expenditure has been incurred, and sales potential forgone, in connection with United Kingdom defence projects which have been cancelled since March 1974.
§ Mr. William RodgersAbout £39 million of public expenditure has been incurred on the principal United Kingdom defence projects cancelled since March 1974. Sales potential is always taken into account when the future of a defence project is under consideration but no precise figures can be put on this.
§ Mr. David Walderasked the Secretary of State for Defence whether the annual saving of £3½ million resulting from the United Kingdom withdrawal from Gan is a net saving, taking into account the cost of alternative staging facilities.
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§ Mr. JohnThe figure of £3.5 million relates to the annual savings of manpower, works, utilities and ground equipments, which will eventually be achieved on withdrawal from Gan. These savings will, naturally, take time to realise because of the need to adjust manpower strengths. The withdrawal from Gan arises from the considerable reduction in flights to and from the Far East consequent upon the defence review. Alternative staging facilities for the small number of residual flights are at present under review. No precise estimate of this cost is therefore possible at this time, but it is unlikely to amount to more than a small fraction of the £3.5 million saving.