§ 32. Mr. Yeoasked the Secretary of State for Defence if he will take steps to introduce a greater climate of competition into the arrangements for awarding defence contracts.
§ Mr. LeeWe have already taken steps in the Ministry of Defence to increase the use of competition in the placing of defence contracts. The whole thrust of our procurement policy is to go for the maximum of competition whenever and wherever it is possible.
In particular, we remind purchasing staff to lay even greater emphasis on the opportunities which already exist for competition under our established procurement procedures; we are tightening up authorisation levels for dispensing with competition and in certain cases reference to Ministers, and revising contract conditions to enable the Department to resort to competition, wherever practicable, under as few constraints as possible. We are also taking steps to encourage greater use of competition in the placing of sub-contracts by MOD contractors.
The principles of this policy are set out clearly in Defence Open Government Document No. 83/01 "Value for Money in Defence Equipment Procurement".