Mr. Ingram: The age profile and gender of the bearing of 57 Defence Munitions civilian staff currently employed at DM Dean Hill near West Dean village in south Wiltshire is as follows:

(2) Includes two members of civilian staff on long term detached duty due to return to DM Dean Hill.

In the last year, 49 per cent. of engineering and munitions maintenance work at Dean Hill was carried out in support of the Navy and 51 per cent. in support of the RAF. Again, however, this represents about four per cent. of the processing capacity within Defence Munitions.

Even after the impact of the closure of the Welford and Smalmstown sites has been taken into account, DMRS 2 confirmed that spare capacity remains in DM's explosives storage and processing capacity.

The DMRS 2 team examined munitions storage, processing and supply issues. Most of DM's eight principal depots cover a variety of these outputs. The study drew these elements together to determine how the necessary capacity could most efficiently be retained. Taking all of these elements into account, it was concluded that only the capacity and facilities provided by the DM Depot at Dean Hill, near to West Dean village in south Wiltshire, was not critical to the delivery of DM's outputs. The other Defence Munitions depots are required either for the volume of explosives storage and processing capacity they offer and/or have specialised (often unique) facilities to outload and issue munitions to customers.
All eight Defence Munitions depots were included in the review. Apart from DM Dean Hill, these are DM Beith in Ayrshire, DM Crombie in Fife, DM Glen Douglas in Dunbartonshire, DM Gosport in Hampshire, DM Kineton in Warwickshire, DM Longtown in Cumbria and DM Plymouth in Devon.

We currently estimate the cost of separating as, electricity-£50,000; water-£40,000; sewerage-£90,000. Gas is already supplied from a separate Calor gas tank. All figures exclude VAT. The annual maintenance budget can be broken down as follows: buildings-£894,000; grounds maintenance-£25,000. So far as security is concerned the approximate cost of the Ministry of Defence police presence at DM Dean Hill was £800,000 for financial year 2001-02.

Although the Ministry of Defence has assessed the disposal value of the West Dean site and associated residential properties, these are likely to be sold on the open market. To release our estimates of value could influence the eventual receipt, and I am, therefore, withholding this information under Exemption 7 of the Code of Practice on Access to Government Information.

Mr. Ingram: Defence Munitions (DM) entered into formal consultation procedures with the national trade unions on 24 June. Consultation is due to complete on 2 August. Each member of staff at the depot has been given a copy of a consultative document. As part of the Staff consultation process the local trade unions have been invited to an open day on 10 July, to be briefed on the background, conduct and findings of the work which led to the recommendation to close the DM site at Dean Hill.

Although their involvement in no way precluded the formal consultation process, TU representatives also provided valuable advice throughout the process. The Ministry of Defence outplacement scheme will be involved should the depot close as proposed, and would help staff find alternative opportunities. This would include help in CV preparation, coaching in interviewing techniques, and retraining skills if appropriate. The local planning authority (Test Valley) are aware of plans to close DM Dean Hill. They, Defence Estates and Defence Munitions have already met to discuss the potential impact of depot closure and options for developing the site.

Mr. Ingram: The formal consultation period began with the issue of a Consultative Document on 24 June 2002 and was originally due to complete on 2 August. However, following recent representations from the trade unions the consultation period has been extended by two weeks and will now conclude on 16 August 2002. Formal consultation with the trade unions is being carried out at departmental level, i.e. with the MOD Council of Civil Service Unions (MOD CCSU) and the MOD Industrial Whitley Council (MOD DIWC). For completeness the Defence Police Federation and the Chief Police Officers' Association are also involved in this consultation exercise.

The formal consultation process is being supplemented by informal contact with the trade unions and staff within Defence Munitions. Officials of the DM Whitley committees have received personal copies of the consultation document, as has every member of staff in the Dean Hill depot. A copy has also been posted on an internal MOD website. The formal study report has also been sent to key members of the national trade unions and is available to DM staff and other TU representatives upon request. A DM trade union open day has been arranged for 10 July at which DM trade union representatives will hear about the background to the proposal to close the depot.

Mr Ingram: There were no modifications made to the Terms of Reference for the Defence Munitions Rationalisation Study after 11 September 2001.

Mr Ingram: The Defence Munitions Rationalisations Study 2 presented their final report to the Defence Munitions Management Board in February 2002. There then followed an internal Departmental approvals procedure which culminated in a submission to Minister (Armed Forces) in June 2002 .

Mr Ingram: Director of Military Operations did not participate in the Defence Munitions Rationalisation Study 2. The study drew its knowledge of anticipated Tri Service munitions requirements from both the current and future munitions equipment owners who were asked to take into account the latest output from the Ministry of Defence's Stockpile Planning Group.

Other MOD customers and internal stakeholders (particularly Strike Command given the nature of the RAF tasks currently undertaken at Defence Munitions Dean Hill) have been made aware of the proposal to close DM Dean Hill.

Mr Ingram: Defence Munitions Rationalisation Study 2 was in itself a strategic analysis of the Defence Munitions business. Amongst those elements addressed were:-

Capacity versus long-term liability
Risk to outputs
Uniqueness of facilities
Transferability of tasks
Proximity of customers
Health and safety and explosive safety regulations
Scale and quality of facilities
Cost of transferring tasks
Remediation
Potential savings to operating costs
Potential site realisable value

Mr Ingram: In June 2001 Defence Estates South West were requested to provide an outline desktop valuation of the Dean Hill Munitions site to inform the Defence Munitions Rationalisation Study 2 Investment Appraisal. Given the nature of the valuation requested no external advice was sought.

The valuation was based on the estimated realisation price, assuming that the sites had been subject to Phase 2 Land Quality Assessment. It had been proposed that the eventual value for the site would be abated by the cost of the remedial work once known. Site inspections were permitted. However, in view of the sensitivity of the issues and as the purpose was to inform an investment appraisal, no approach was made to the local [planning authority at the that stage.

Due to the absence of clear planning guidance, with the exception of the residential property and agricultural land, the possible future uses of the remainder of the site were limited. The value was established by assuming disposal of the residential and agricultural property, and based on the limited redevelopment and re-use of the remaining area for potential employment uses.

Mr Ingram: Defence Munitions is part of the DG Defence Supply Chain (DG Def SC) that, in turn, is part of the Defence Logistics Organisation. Defence Munitions Rationalisation Study 2 identified a number of potential efficiency initiatives pertinent to the Defence Munitions environment, including the proposal to close Defence Munitions Dean Hill. Taken together as a package these initiatives will, if implemented contribute towards the DG of Def SC Strategic Plan which is designed to deliver a 20% reduction in operating costs by Financial Year 2005-2006.

Dr. Moonie: The decision to change the use of that establishment is not a matter for me, but the sale of the houses is. If houses are surplus to requirements, we have a duty to ensure that we receive the best financial deal when we sell them. However, we always take account of social need. Where possible, the houses are transferred to an appropriate agency outwith the Ministry of Defence.

46 to National Trade Union officials at various locations nationwide,
57 to civilian employees at Defence Munitions (DM) Dean Hill
21 to the Ministry of Defence Police Officers stationed at DN Dean Hill
One copy each to the DM Whitely Vice Chair and Vice Secretaries at DM
Longtown (Cumbria), DN Beith (Ayrshire) DM Kineton (Warwickshire) and London.
Three copies for internal MOD distribution (one Bath, one Andover, One Wetherfield (Essex))

In the interests of openness, efficiency and better use of resources, the Consultative Document itself has been posted on the Defence Munitions Web Site where it can be viewed by MOD staff as required. It was also sent electronically to each Defence Munitions establishment at Beith, Crombie, Glen Douglas, Gosport, Kineton, Longtown and Plymouth. Each DM Depot reproduced sufficient hard copies from this for their local needs as appropriate. Main MOD customers and stakeholders were advised of the existence of the Consultative Document on the DM Web Site.

Dr. Moonie: The decision to change the use of that establishment is not a matter for me, but the sale of the houses is. If houses are surplus to requirements, we have a duty to ensure that we receive the best financial deal when we sell them. However, we always take account of social need. Where possible, the houses are transferred to an appropriate agency outwith the Ministry of Defence.

Mr. Ingram: Although the Ministry of Defence has assessed the disposal value of the West Dean site this is likely to be sold on the Open Market. To release our estimates of value could influence the eventual receipt. This information is therefore withheld under exception 7 of the Code of Practice to Government Information.
The other information requested is as follows:

(3) including 86,000 per annum
(4) per annum
All of these aspects plus others were taken into account in the Investment Appraisal supporting closure.

Dr Lewis Moonie MP

The closure ofRAF Chilmark was fonnally announced in September 1992, with a planned closure date of April 1995. The site closed on 1 April 1995.

RAF Chilmark originally comprised separate sites at Dinton and Chilmark. Sales of the various parts were planned to follow clearance of explosive ordnance devices and any necessary decontamination, although it was accepted that final clearance of the entire site could take a considerable time.

The first major sale was completed in July 1995, with seven further sales since. Chilmark HQ Site and land at Ladydown are the only parts remaining unsold.

No fonnal estimate was made of overall sale receipts, since at the time of closure no finn estimation could be made as to the eventual timetable for sale.

Receipts from those parts sold since closure total approximately £1.5 million.

No fonnal figure was prepared prior to the results of the Land Quality Assessments and prior to the introduction of more refined investigatory equipment.

The cost over the first five years since closure of clearing explosive ordnance has been in the region of £I.7 million. A further £371,000 has been spent on preparation of Land Quality Assessments and remediation. Later figures have not yet been compiled.

The values of those parts already sold have been assessed either by consultants to t11e Ministry of Defence or by the District Valuer. All sales have been at not less than open market value.

The total of the actual holding costs of the site from closure in 1995 to 31 March 2002, excluding remediation works but including the cost of security guarding, is in the region of£1.9 million (excluding V AT). Estimated costs are prepared on an annual basis, and have proved to be very close to the actual costs.

The future cost of any necessary decontamillation of the remaining parts at Chilmark HQ Site and Ladydown cannot be assessed until clearance of explosive ordnance is complete.

The Rt Hon Adam Ingram JP MP

The Depot is expected to be passed to Defence Estates for disposal in April 2004. An assessment of the monthly maintenance costs to cover responsibilities under the Occupiers pf Premises Act will be made nearer to this time.