Annual Report and Accounts 2019–20 HC 811 Ministry of Defence Annual Report and Accounts 2019–20 For the year ended 31 March 2020 Accounts presented to the House of Commons pursuant to section 6(4) of the Government Resources and Accounts Act 2000 Annual Report presented to the House of Commons by Command of Her Majesty Ordered by the House of Commons to be printed 22 October 2020 HC 811 © Crown copyright 2020 This publication is licensed under the terms of the Open Government Licence v3.0 except where otherwise stated. To view this licence, visit nationalarchives.gov.uk/doc/open-government-licence/version/3 Where we have identified any third party copyright information you will need to obtain permission from the copyright holders concerned. This publication is available at https://www.gov.uk/official-documents Any enquiries regarding this publication should be sent to us at DFinStrat-FMPA-ATM-CFAT(multiuser)@mod.gov.uk ISBN 978-1-5286-1818-2 CCS0320220312 10/20 Printed on paper containing 75% recycled fibre content minimum Printed in the UK by the APS Group on behalf of the Controller of Her Majesty’s Stationery Office Contents Contents Performance Report Overview Foreword by Secretary of State for Defence .............................................................................................. 2 Introduction from the Permanent Secretary and the Chief of the Defence Staff ....................................... 3 Defence Purpose ........................................................................................................................................ 4 Defence Operating Model .......................................................................................................................... 5 How Defence is Organised ......................................................................................................................... 6 Supporting the Coronavirus Pandemic Response ..................................................................................... 8 Support the delivery of EU Exit .................................................................................................................. 9 Financial Performance Summary ..............................................................................................................10 Strategic Objectives: 2019–20 Notable Achievements ............................................................................ 20 Performance Analysis National Strategic Objective 1: Protect Our People ................................................................................. 22 National Strategic Objective 2: Project Our Global Influence ...................................................................41 National Strategic Objective 3: Promote Our Prosperity .......................................................................... 52 Strategic Objective 4: Transform the way we do business ...................................................................... 61 Accountability Report Corporate Governance Report ................................................................................................................. 78 The Remuneration and Staff Report ...................................................................................................... 105 The Parliamentary Accountability and Audit Report ..............................................................................129 Ministry of Defence Annual Accounts Financial Statements ...............................................................................................................................156 Notes to the Accounts ............................................................................................................................ 160 Annexes Annex A: Statement of Approved Maximum Armed Forces Numbers .................................................. 208 Annex B: Sponsorship Agreements over £5,000 ....................................................................................210 Annex C: Core Tables ..............................................................................................................................211 Annex D: Energy and Carbon Emissions Data ........................................................................................213 Annex E: Water and Waste Data .............................................................................................................214 MOD Annual Report and Accounts 2019–20 iii iv MOD Annual Report and Accounts 2019–20 Performance Report For the year ended 31 March 2020 Performance Report Foreword by Secretary of State for Defence The first duty of Government is always to defend It is precisely these attributes that we have our country and to keep our people safe. The been seeking to enhance through the current threats to that security are evolving, as well as Integrated Review of foreign, security, defence and the tools with which we counter them, but the development policy. I have no doubt that the review determination and professionalism of the men and will still deliver Armed Forces that are the most women in Defence remains constant – I am proud innovative and effective for their size in the world. and grateful for all that they continue to achieve. They will, however, be constructed from our This has been a year like no other. We have present forces and the report that follows continued to deliver critical operations at home demonstrates just how firm the foundations are on and overseas, fulfilling our commitments to NATO which we can build. and the UN, but all while supporting a national response to the Coronavirus pandemic. I am grateful to the Permanent Secretary and the Chief of the Defence Staff for preparing this report Our contribution has showcased the very best and for their tireless work, alongside all our people of the UK Armed Forces and all those civilian in Defence, ensuring that we continue to fulfil our experts who support them. It has highlighted new purpose – prepared for the present and fit for ways of working that employ all our expertise the future. in planning, command and control, technical analysis and specialist skills. Most importantly, it has been integrated across Government and brought the readiness and resilience that are the hallmarks of this new approach to Defence. 2 MOD Annual Report and Accounts 2019–20 Performance Report Introduction from the Permanent Secretary and the Chief of the Defence Staff and delivery capability of national and local partners; supported the establishment of the temporary Nightingale facilities; delivered PPE to NHS trusts; and provided extensive support to the national COVID testing programme. We continue to modernise and embrace new technologies to ensure we have the competitive edge. We have undertaken further trials of our carrier strike capability including trials of the The purpose of Defence is to protect the people F-35 Lightning Aircraft from the HMS QUEEN of the United Kingdom, prevent conflict, and be ELIZABETH aircraft carrier, delivered a step ready to fight our enemies and the last year has change in our marine patrol capability through the shown that we continue to deliver these aims. receipt of the first Poseidon Marine Patrol aircraft, and enhanced our new STRIKE brigade through We continue to conduct overseas defence activity securing a contract for state-of-the-art armoured unilaterally or as part of a coalition / alliance. In fighting vehicles for the British Army. We are also Iraq and Syria, Daesh remains a threat and we delivering digital capabilities, through new centres have kept up the pressure since the territorial of expertise, that enable sustainable military and defeat in 2019 with 1,100 troops deployed on business advantage. Op SHADER. In Afghanistan UK Armed Forces remain at the heart of the ‘Train, Advise and We are continuing to transform our business. Assist’ NATO mission and continue to provide We are investing in a workforce of the future which the Kabul Security Force to protect UK and is more diverse and inclusive and which harnesses NATO personnel in Kabul. In the Middle East our the power of difference. Last year, we began maritime assets have remained active protecting the pilots for the Future Accommodation Model vital shipping lanes in the Gulf including stationing and laid the groundwork for trials of the wrap a Type 23 frigate in the Gulf on a long-term around childcare for children of serving personnel. basis. In the Caribbean RFA MOUNTS BAY was We increased the number of cadet units parading pre-positioned to offer immediate help to the in schools to over 500 and we are proud to be Bahamas in the aftermath of hurricane Dorian. one of the largest deliverers of apprenticeships We have contributed to several large-scale achieving the 50,000 apprenticeship enrolments exercises over the last year including Ex RED target over a year early. FLAG (a multinational combat training exercise), Ex BALTIC PROTECTOR and Ex DEFENDER. We remain grateful and proud of the hard work of all our people as they work to deliver the Defence We have continued to provide vital military purpose despite increasing challenges – we are assistance to Civil Authorities most notably prepared for the present and fit for the future. to support the response to the Coronavirus pandemic. We are extremely proud of our Military and Civilian personnel who bolstered the planning MOD Annual Report and Accounts 2019–20 3 Performance Report Defence Purpose To protect the people of the United Kingdom, prevent