6 As a result of letting this contract, MOD is likely to secure significant benefits. MOD expects to achieve its objective of accommodating a reduced number of Head Office staff, with staff numbers falling by 29 per cent (Figure 2), in two buildings. Following the rationalisation, MOD will be able to dispose of five of its seven existing central London sites resulting in annual operating cost savings of £18 million. The improved usage of floor space should enable MOD to increase the number of staff working in Main Building by 26 per cent (Figure 2). In addition, there will be significant unquantified benefits to working efficiency arising from the improved accommodation.
2 |
| Planned changes to MOD Head Office staff numbers in London | |||
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| 1 April 1999 | By 30 Nov 2004 | % change |
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| Main Building | 2,623 | 3,300 | +26% |
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| Other buildings (six at 1 April 1999; one, Old War Office, by 30 November 2004) | 3,397 | 1,000 | -71% |
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| 6,020 | 4,300 | -29% |
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| Source: Ministry of Defence |
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