SSRO Referrals

The SSRO was jointly referred a request by the MOD and a contractor for an opinion in respect of a proposed Qualifying Defence Contract (QDC). The referral sought the SSRO’s opinion on whether work undertaken at risk, ahead of the agreement of the contract through negotiation, may in principle represent Allowable Costs under the contract […]

In accordance with the procedure published in the SSRO’s referrals guidance, the SSRO has published an anonymised summary of its opinion in relation to proposed qualifying defence contracts (QDCs) and qualifying sub-contracts (QSCs) relating to a pre-regime contract. The SSRO was jointly referred the request by the MOD and a contractor. The summary sets out […]

In accordance with the procedure published in the SSRO’s referrals guidance, the SSRO has published an anonymised summary of its opinion in relation to a proposed qualifying defence contract (QDC). The referral concerned the extent to which costs agreed prior to conversion of a contract to a QDC may be treated as Allowable under the […]

In accordance with the procedure published in the SSRO’s referrals guidance, the document provides an anonymised summary of the SSRO’s opinion. The SSRO was referred a request for an opinion in respect of a proposed QDC. The referral sought the SSRO’s opinion on the extent to which specified costs were Allowable Costs, as well as […]

Determination made: 29 September 2023 The Single Source Regulations Office (SSRO) is an executive non-departmental public body, sponsored by the Ministry of Defence. It plays a key role in supporting the regulatory framework for single source defence contracts established by Part 2 of the Defence Reform Act 2014 and the Single Source Contract Regulations 2014. […]

In September 2023, the SSRO made a determination on a matter referred to it by a defence contractor. This determination was made using a power given to the SSRO by the Defence Reform Act 2014. The referral concerned the extent to which specific staff and storage costs incurred by the contractor in relation to the […]

Determination made: 29 September 2023 1. Introduction The regulatory framework for single source defence contracts specifies how contracts that meet the requirements for being qualifying defence contracts (‘QDCs’) must be priced. The price of a QDC is comprised of allowable costs (determined in accordance with one of six regulated pricing methods) and profit (a percentage mark-up on […]

The SSRO was referred a request for a determination on two matters by Rolls-Royce regarding its contract with the MOD for the availability of Adour engines, which power Hawk jet aircraft. The contract was awarded on the condition that the SSRO’s verdict was sought on these two issues: the extent to which sales and marketing […]

This document sets out an anonymised account of the SSRO’s determination, which is intended to aid understanding of how the regulatory framework is being applied without disclosing sensitive information. The process of anonymisation has involved removing some of the detailed facts relied upon in making the determination. As the determination was made having regard to […]

In accordance with our procedures for referrals, the SSRO has published an anonymised account of its determination on the treatment of Research and Development Expenditure Credit (RDEC, a form of tax relief) when determining the extent to which research and development (R&D) costs are allowable costs under the referred qualifying defence contract. The determination was made […]