Corporate report

Evidence Summary: The Drivers of Defence Cost Inflation

A peer-reviewed academic study drawing on the available literature on defence cost inflation.

• From: Ministry of Defence
• Published: 23 February 2022

Documents

Evidence Summary: The Drivers of Defence Cost Inflation

PDF, 940 KB, 30 pages

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Details

This academic study examines two main factors that contribute to Defence Cost Inflation: cost escalation (cost increase over time) and cost growth (cost increase within a project).

The report contains three parts:

Part 1: Open-Source Literature Review. Examination of publicly available evidence from external sources (such as academic papers and industry reports) to identify the factors that drive cost escalation and cost growth.

Part 2: Ongoing Work to Address Known Issues. Identification of ongoing and planned departmental work to address cost growth and cost escalation.

Part 3: Compilation of Existing Research. Historic research conducted by the department on factors causing cost growth and cost escalation.

Published 23 February 2022