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Headquarter Contracts

Volume 203: debated on Monday 10 February 1992

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To ask the Secretary of State for Defence if he will list the total amounts paid by his Department in respect of headquarter contracts to United Kingdom-based contracts in each of the three years to 31 March 1991.

The Ministry of Defence paid the following total amounts to United Kingdom-based contractors for the financial years 1988–89 to 1990–91:

£ million
1988–897,776·38
1989–908,232·57
1990–919,132·48
Centrally held records do not differentiate between payments made under headquarters contracts and other types of payments. The precise information requested could be assembled only at disproportionate cost.

To ask the Secretary of State for Defence if he will list the precise amounts paid to each of the 10 contractors which received the largest shares of headquarter contracts awarded by his Department in each of the three years to 31 March 1991.

The 10 contractors that received the largest payments from my Department in each of the years specified were:

£ million
1988–89
British Aerospace plc1,085·94
The General Electric Co. plc902·04
Vickers Shipbuilding and Engineering Consortium plc409·31
Rolls-Royce plc329·20
The Plessey Co. plc308·74
Devonport Management Ltd.236·79
Ferranti plc209·71
Thorn EMI plc157·95
FKI Babcock plc151·08
GKN plc131·88
1989–90
BAe plc926·39
GEC plc785·43
VSEL Consortium plc561·88
Rolls-Royce plc319·73
Devonport Management plc277·22
Plessey plc248·44
Ferranti International plc220·96
FKI Babcock plc171·54
Thorn EMI plc163·11
Westland Group plc138·30
1990–91
BAe plc996·29
GEC plc799·92
VSEL Consortium plc591·35
Rolls-Royce plc399·86
The Weir Group plc293·36
GEC Siemens plc246·13
Ferranti International plc198·05
Babcock International Group plc183·90
Thorn EMI plc165·67
Vickers plc154·48
The proportion of these sums represented by headquarters contracts could only be identified at disproportionate cost.