Select Committee on Defence Appendices to the Minutes of Evidence


APPENDIX 9

Letter to the Chairman of the Committee from the Secretary of State for Defence on the Investment Approvals Board (25 March 2002)

INVESTMENT APPROVALS BOARD

  I thought that you would like to know that the Ministry of Defence's Equipment Approvals Committee (EAC) is being replaced by an Investment Approvals Board (IAB) on 2 April.

  The IAB will have a broadly similar role to that of the EAC. Its membership, like that of the EAC, will consist of the Chief Scientific Advisor (Chair), the Vice Chief of the Defence Staff, the Second Permanent Under Secretary of State, the Chief of Defence Procurement and the Chief of Defence Logistics. Like the EAC, the IAB will advise Ministers on major equipment and other projects.

  The main change is that it will have responsibility for the scrutiny and approvals processes for investment decisions on all non-equipment projects as well as equipment projects. This will include those considered by delegated approving authorities. It will be a major part of the IAB's task to ensure that proposals for Defence investment are soundly based and deliverable through robust project management and Smart Acquisition processes.

  There are no changes to the existing arrangements under which Ministers take and announce decisions on major projects and explain them to Parliament.

  I shall be answering a PQ to this effect tomorrow.



 
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