My Lords, I am grateful to the noble Baroness and the noble Lord for their general support for these regulations, and for their questions. The noble Lord, Lord Tunnicliffe—if I may address his questions first—asked about the level of MoD procurement spend for the last full financial year and the level of single-source procurement within that. In the last full financial year, 2017-18, the MoD spend on procurement was just over £24 billion, of which just over £8 billion went on single-source contracts. We do not track the value of defence qualifying contracts on
a year-by-year basis, but I can confirm that since the framework came into force in December 2014, up until the end of May 2018, a little over £19 billion-worth of single-source contracts have been brought under the framework. For the same financial year, the MoD placed contracts worth more than £3.6 billion with BAE systems—about which the noble Lord asked me specifically—of which around £3 billion were on single-source contracts. I am afraid I cannot disclose the proportion of the single-source spend covered by the SSCR framework because it is commercial in confidence.
The noble Lord and the noble Baroness, Lady Smith, asked how much the department expects this situation to change as a result of these regulations. We have identified approximately 8% to 10% of single-source spend which we would seek to bring under the regulations as a result of this amendment, subject to the consent of the suppliers in question. Obviously, before the contracts are signed, it is a bit difficult to quantify the amount of money that we expect to save, but I hope that that gives a rough order of magnitude to both noble Lords.