National Secretary Steve Jary said: “We agree with the PAC that short-term decisions by MOD to save money by cancelling and delaying programmes and embarking on a programme of swingeing cuts to civilian staff do not represent good value for money.

“What is much more worrying is that denuding the department of its in-house skills in engineering, science and project management through an ill-thought out early severance scheme, is unlikely to improve the value for money and efficiency of its equipment programme.

“After reducing its civilian staff by 10,000 in 2011, another 10,000 this year and 40% overall by 2020, who will be left to ensure the department is a fully functional intelligent customer for industry and the armed forces?

“Prospect has characterised MOD as a driver heading toward a cliff edge. The PAC has revealed that the driver is also blindfolded,” said Jary.