§ Mr. Tim SmithTo ask the Secretary of State for Defence what progress his Department is making with the introduction of resource accounting and budgeting; and in respect of which financial year he expects to publish the first set of resource accounts. [4985]
§ Mr. SoamesIn keeping with the time scales set out in Cm 2929, my Department has launched Project Capital to integrate commercial-style accounting. output costing and management planning into a single financial regime.
In May of this year an accounting systems integration contract was awarded, following competition, to develop and build a core solution to meet all primary accounting, financial and planning requirements of MOD organisations; to implement new systems throughout the Department; and to provide new skills training to finance and planning staff.
The accounting systems integrator has completed a series of surveys to plan the roll-out of new systems. Early design work and setting detailed accounting policies are 695W being conducted in parallel, and studies into information technology infrastructure and procedures for stock valuation are under way. Work on the registration and valuation of fixed assets, supported by commercial valuers, is proceeding.
Some 800 staff have so far attended awareness training courses and the in-house facility for training candidates for the Chartered Institute of Management Accountants qualification has been expanded substantially.
The first year for which resource accounts are expected to be published and laid before Parliament is 1999–2000.