Conclusion on value for money

16  Success in all three elements in the Department's strategy to reform defence acquisition is necessary to improve long-term value for money. The Department has made progress in improving the affordability of the equipment programme and clarifying roles and responsibilities. Reforming DE&S remains the most challenging of the three, but is essential nonetheless.

17  The failure of the GoCo competition and shelving of that option has cost time and money, but it has yielded some learning. If realised, the Department expected it to have given more rigour through the direct involvement of the private sector, with mutual obligations defined by contracts, as well as the capacity to offer enhanced reward packages to attract and retain key skill groups. Many of these benefits appear achievable through the bespoke trading entity. As the entity remains within the Department, a greater level of sponsorship and continuous rigour in measuring DE&S's progress against clear goals will be required from the Ministry of Defence's leadership, if the entity is to be a successful vehicle for acquisition reform.