We remain extremely concerned that the Department continues to manage a long- term spending programme on a year-by-year, cash-limited budget.69 Faced with funding shortfalls, the Department took a range of measures to balance its 2020–21 budget, including introducing commitment levels on commands’ budgets, restricting the introduction of new projects and closely monitoring in-year expenditure.70 Furthermore, the Department once again allocated all of its contingency budget at the start of the...

We remain extremely concerned that the Department continues to manage a long- term spending programme on a year-by-year, cash-limited budget.69 Faced with funding shortfalls, the Department took a range of measures to balance its 2020–21 budget, including introducing commitment levels on commands’ budgets, restricting the introduction of new projects and closely monitoring in-year expenditure.70 Furthermore, the Department once again allocated all of its contingency budget at the start of the year to reduce the funding shortfall in 2020–21, limiting its flexibility to respond to any unexpected cost pressures. It agreed with HM Treasury that t Type: conclusion | Number: 24 | Response status: under_consideration Government response: 3.3 Since the Committee's report, the department published the Defence Command Paper which sets out new policy aims and the capability decisions that were underpinned by the additional £16.5 billion investment from the 2020 Spending Review. The department h