UK scraps outsourcing of military equipment buying

LONDON (AP) - The British government has scrapped plans to outsource the buying of military equipment due to a lack of bidders for the contract.

Defence Secretary Philip Hammond had sought to privatise the defence ministry's procurement wing, but it recently emerged that only one bidder was left in the process.

Hammond said on Tuesday the plans for privatisation were abandoned at a cost of 7.4 million pounds (S$15 million) - but that he has not ruled out privatising military procurement in the future.

He added that he planned to increase private-sector involvement in the defence procurement wing to improve efficiency.