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This week's top stories

Report examines the MoD’s ability to deliver equipment programme

The ability of the Defence Equipment and Support organisation within the Ministry of Defence (MoD) to deliver the equipment programme is overshadowed by the existence of a funding gap which the National Audit Office (NAO) estimates could be as much as £36 billion over the next ten years.

Both the NAO's 'Major Projects Report 2009' (HC 85-I) and Bernard Gray's 'Review of Acquisition' for the MoD have confirmed that the MoD's ten year equipment programme is unaffordable. Furthermore the MoD's practice of delaying projects so as to reduce costs in the early years of a programme is adding to overall procurement costs and so further increases the funding gap.

Department for Transport neglected risk analysis when negotiating Metronet contract

In 2003, the Government entered into three innovative 30 year contracts with private sector contractors to upgrade London's underground rail system. Four years later, in 2007, two of the three contractors (Metronet BCV and Metronet SSL, known collectively as Metronet) went into administration when they could no longer meet their spending obligations.

'Department for Transport: The Failure of Metronet' (HC 390) reports that the loss to the taxpayer arising from Metronet's poor financial control and inadequate corporate governance is some £170 million to £410 million. The Department's oversight and management of risk on the Metronet contracts were inadequate, especially given that it provided a £1 billion a year grant, was ultimately responsible for delivery and carried the majority of the risk of failure.

Committee suggests that street availability of cocaine has not been affected by enforcement

Cocaine is a dangerous drug linked to heart disease, long-term erosion of cognitive brain function, and has extremely toxic effects when combined with alcohol. In 2008 some 235 sudden deaths were associated with cocaine.

Cocaine powder use in the UK has quintupled from 1996 to 2008-09, contrary to the overall trend in illicit drug use in the UK. Any successful policy against cocaine must address both supply-side enforcement and demand reduction.


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