PracticePeople In PracticeMPs lambaste MoD over £41m wastage

MPs lambaste MoD over £41m wastage

The Ministry of Defence has been criticised by the House of Commons Public Accounts Committee for wasting up to £41m maintaining unwanted surplus family quarters.

MPs said the proportion of quarters that are currently vacant – 24% – was ‘disturbingly high’. Furthermore, the department’s target of a 10% margin to cope with moves was too high and was based on current management practices rather than what could be achieved.

And they were ‘not persuaded’ by the MoD’s claim that only £4m of the total spent on empty property was not cost effective. Nor were they convinced by the argument that a balance of £31m was an acceptable management margin.

They also expressed a concern that MoD funds, used to upgrade homes subsequently sold off, would result in a windfall profit for owners Annington Homes under a PFI arrangement.

Links

MoD’s resource accounts full of errors

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