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The cost of fuelling Britain’s Armed Forces is due to rise by more than £500 million next year as a result of soaring oil prices, forcing military chiefs to consider broad cuts to air force and combat training.
Ministry of Defence calculations of projected fuel bills, seen byThe Times, show a dramatic increase in operating costs, with fuel for aircraft, naval and ground vehicles up by more than 20 per cent on last year.
With the Armed Forces’ budget set to rise by just 3 per cent – and the Chancellor, Alistair Darling, warning government departments last week of no additional increases – defence and industry analysts said that major cuts to training programmes such as fighter plane exercises would be inevitable.
The Times understands that Air Chief Marshal Sir Glen Torpy, Chief of the Air Staff, told senior members of the defence industry last week that RAF pilots would do more training in simulators this year because of the budget squeeze.
He is understood to want to link simulators in cyberspace so that pilots can take part in “virtual” missions since “real-life” exercises were becoming unsustainable because of the cost of deploying aircraft.
Liam Fox, the Shadow Defence Secretary, called for government assistance to the Armed Forces to cope with the additional unexpected shortfall, which was revealed in a written parliamentary answer to the Conservative frontbencher. He is expected to grill Des Browne, the Defence Secretary, today during parliamentary questions.
“It is essential that the Government do not take the easy option of cutting training, because that can only put our forces at risk when they go into combat,” Mr Fox said.
“Rising fuel costs will put even greater pressure on the already overstretched MoD budget. This comes at a time when our troops are already short of equipment and this will make a bad situation worse.”
The news comes as Gordon Brown is expected to make a statement to the Commons tomorrow in which he will update MPs on Britain’s military commitment in Iraq, including a possible timeframe for the withdrawal of British troops.
According to Ministry of Defence planning assumptions for 2008-09, the fuel bill will rise to £2.9 billion from just under £2.4 billion last year.
The MoD said yesterday that it would absorb the higher cost of fuel used in Britain, despite the Treasury already borrowing record amounts to meet its existing Armed Forces spending commitments. Fuel used in Iraq and Afghanistan would be paid for by the Treasury.
An MoD official said that the department was unable to say at what price the fuel assumptions had been made. Given that oil has nearly doubled in the past 12 months to more than $130 a barrel, the assumptions could already significantly underestimate the true cost of fuel use this year.
He said that, beyond overseas operational fuel costs, the remaining costs were managed within the £34 billion defence programme and “do not affect the MoD’s ability to deliver military capability, home or abroad”. He added that the MoD was committed to making savings worth £2.7 billion between 2008-09 and 2010-11.
Experts said that it would be impossible to meet the rising costs of fuel without drastic cuts to the training budget. Some equipment may even be mothballed until the price of oil falls.
“I cannot see how the MoD can do anything other than cut training,” Patrick
Mercer, the Conservative MP for Newark and the party’s former spokesman on
homeland security, said, adding that the figure of £500 million was likely
to be higher now given the rise in oil prices. Mr Mercer said measures
typically taken in the past included “track mileage limitations” that cut
back on the number of training miles for the more gas-hungry vehicles such
as tanks. Similar caps are placed on helicopters and fighter jet training,
he said.
Howard Wheeldon, senior strategist with BGC Partners and a respected defence
analyst, said: “To absorb that sort of cost will have to involve substantial
slimming down of the more expensive types of training, such as major flight,
ground and naval exercises.”
The MoD is particularly vulnerable to the rising price of oil as its equipment
generally uses huge quantities of fuel. Tanks, armoured trucks and transport
planes are all much heavier than vehicles used in civilian life and
therefore burn more fuel.
Fighter jets are lighter than commercial aircraft but travel three or four
times faster and therefore use substantially more fuel.
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Why do you need a military anyway when you don't have any guts and you are too scared to call a terrorist by name, let alone go and kill them? Guns are only good if you are prepared to use them, and the British aren't.
Christopher H, Canberra, Australia
The RAF waste money like its going out of fasion they have hundreds of squadren leaders and wing commanders who wouldnt know a plane if it fell on them but they sit in lots of offices drawing fat saleries. Money that could be better spent training the guyes that will risk their lives.
L Roberts, Cardiff, Wales
It's about time this Government took made some hard choices- reduce military commitments to levels they are actually funded to provide, plus scrap ID cards or the replacement future nuclear deterrent - both of which will costs billions that could be better spent on real defence we are going to use.
Pete Smith, Stroud,
The solution is simple - allow the Forces, and Police and other emergency services etc, to use Red diesel. Why on earth do Public Services have to pay VAT to provide a public good?
Alan MacDonald, Crieff, UK
The over run in fuel costs is a mere drop in the bucket of what goes down the governments drain in Africa
Tom Scarff, Phuket , Thailand
What about cutting some of the money you give to the people who dont like to work & the unwelcome immigrants .
The armed foprces could use that money .
Its a sin that unemployed people live better than British soldiers do.
I wonder how many soldiers families get as much as the hooks family does?
brian lee, medina ohio, usa
And yet the MOD are still intent on making the new carriers diesel rather than nuclear powered, £4 billions is a lot of money to have 2 ships sat in dock unable to go anywhere because you can't afford to fuel them, or in the future not even have the fuel available at any cost full stop.
Dave N, Oakam, uk
Bring the men back from Iraq and Afghanistan. Sack a few hundred redundant Admirals and cancel those pointless aircraft carriers. Carriers are as obsolete as battleships were in 1939.
And tell the royals to stop filching public material for their personal use. What a country! God help us!!
C Smith, Norwich, UK
Our government needs to take a hard look at its priorities, the infrastructure is going to pot yet we seem to be more concerned with the current affairs of nations that have no affiliation to our own. Someone needs to get their act together (Gordon Brown) and sort this country out.
Daniel, Woodstock, England
The governement had the option of powering the new aircraft carriers with a nuclear reactor, they chose not to because the INITIAL cost was too high!!! Now we have these giants being powered by oil!! another short sighted political decsion...
Adrian, Aldershot, ENGLAND
What's the bet that upgrading Snatch Land Rovers will wind up costing more than a new armoured vehicle? Cancel one of the two aircraft carriers. That should help no end.
Tony Cox, Liverpool, England
I'm looking forward to the Govts announcement that all MP/Ministerial and PM flights will be cancelled & they will use the telephone & conference calling in future - instead of jaunting around the world at our expense, adding to global warming, using expensive fossil fuels & eating 8 course banquets
Donna Walker, Effingham, England
the country is crying out for a REAL internal budget, just like REAL peoplpe have to do.
We add layer after layer of spending without removing the superceded ones.
Ken Wyatt, Todmorden, UK
Thats just dandy! The 2 'Super-carriers' to be built for the R Navy will be tied up in dock because MoD won't be able to afford to run them. Then there the question of manpower - not enough Sailors to man them. Oh Dear, 'I see NO ships!' More to be 'mothballed' at Pompey and Plymouth!
B Clark, Chelmsford, England
So it was a really good idea to refuse the French request to jointly build Nuclear powered Air Craft carriers and go for Diesel instead then.....What a joke this country is....
Paul , London, UK
why doesnt iraq provide the fuel we use in their name ?
james, southampton/auckland, uk/nz
The British forces are viewed by many as the best in the world but i fear if the newspapers are going to start scaremongering the public then i feel a headline in the future With the New air craft carriers and aircraft to go on them will read:
"ALL THE GEAR NO IDEA" -
James Brit expat, Newport Rhode Island, USA
One day Brown announces we are giving £30,000000 to the Palestinians and the next day we are told there is not enough money for improved vehicles for our troops.That really sums up Labour's attitude to our Armed Forces.Oh by the way we will build two massive aircraft carriers in Labour strongholds
R.Hart, Sutton Coldfield, uk
I trust that this acute problem will not prevent members of the English royal family, from using RAF helicopters/planes for their private and personal use?
Gerallt Huws, Talsarnau, Cymru
This government should stop giving money away to undeserving causes, untold millions to benefit cheats, untold thousands to MPs with their feet in the trough; the list is endless.
If we want to maintain the Armed Forces, and it appears that we do, then we must give them the best equipment possible.
Keith, Grantham,
Poor blocks in the forces - as if they haven't been through enough with poor equipement. Now they are going to have to go in green with poor equipment. How deep must be their patriotism. Even the Indian and Chinese army has more than this!
Glynn, Kingston,
What nonsense. The government doesn't have to pay tax on it's own fuel.
JP, newport, wales
And remember. it's NOT a massive oil company conspiracy to control prices. Right......
Tom, Kansas Citry, US
Britan really is faced with some tough times ahead. These FUEL cost could affect the FIRE SERVICE, the POLICE, AMBULANCE SERVICE. THINGS DO NOT LOOK GOOD FOR THE PM.
Daphne Kenward, Cambs, UK
Well the answer seems simple enough. Dont waste billions fighting unnecessary wars on behalf of Israel.
Joe miles, greenock, scotland
A Government that will not provide its military with adequate training and does not want to provide its troops with adequate defensive protection of the Snatch vehicle, all the time piling benefits on wastrel frauds is nothing short of obscene, immoral and lacking the legitimacy to govern.
Bob Evans, Anaheim, California
fuel prices are irrelevant; the price of oil goes up, the profits from the north sea rigs goes up and into the treasury. whats the problem?
james, doncaster, uk
So how exactly will we be able to afford to run these two new gas guzzling aircraft carriers and all their aircraft ?
Scamp, Aberdeenshire, Scotland
Maybe if training helicopters weren't used for flyfishing trips by senior officers, there would be more funds available for actual training...
bax, glasgow, UK
Take out one "Top Level" of "Non Combatnet Beaurocrats" plus ancillary Staff & Troop Levels properly Equipped could be "Doubled!
Paul, Newtown, Powys, UK
So which mental bereft sanctioned the purchase of £4bn worth of floating runways powered by hydrocarbons? The RN couldn't afford to run them, their tankers, escorts, U-Boats, helos etc at today's prices. What guess the price of oil/fuel/kerosene when the new boats turn up in 201x? Why not nuclear?
viffer, Sandy, UK