Defence Estates: Cost Effectiveness

Dr. Fox
To ask the Secretary of State for Defence what the efficiency savings target is for Defence Estates in 2007-08.

Derek Twigg
Under the spending review 2004 efficiency programme, the MOD is required to achieve £2.83 billion of cumulative input and output efficiency savings by the end of 2007-08. We are on course to overachieve against our overall efficiency programme target. Defence Estates is expected to contribute at least £95 million of this target.

As part of the 2007 financial planning round, a further efficiency savings target of £2 million was agreed with Defence Estates for 2007-08.

Efficiency savings across the Department are reinvested to fund high priority areas of expenditure, such as support to operations and our personnel, including through sustained investment in accommodation.