To ask the Secretary of State for Defence how much the proposed merger of the Defence Procurement Agency and the Defence Logistics Organisation is expected to cost; what the purpose of the merger is; and if he will make a statement. (83412)

[holding answer 10 July 2006]: The detailed structure of the new organisation, formed by merging the Defence Procurement Agency and Defence Logistics Organisation, will be addressed during implementation. However, it is not expected that the merger itself will involve significant additional costs beyond those arising from the proposal to collocate elements of the two organisations. The purpose of merging the two organisations is to provide a greater unity of purpose in acquisition; to improve support to our armed forces; and to provide best value for them and the taxpayer.