Defence Reform Act 2014
At a glance
Enforced by
What's here
8 compliance obligations, 1 practical guide
Penalty landscape
1 of 8 obligations carry up to 2 years imprisonment. 7 have no criminal penalty — flagged in the list below.
Who this Act binds
Business-side actors with duties under this Act, ranked by how often they appear.
- Contractor 2
- Any Person 2
Plus 4 non-business duties on Crown ministers, regulators, local authorities or tribunals — shown collapsed under each section below.
Relevant guidance
Practical guides for businesses affected by this Act, ordered by how closely they engage with it.
Supporting — topic alignment
1 guidesOther Acts binding the same actors
For each actor bound by this Act, the other UK Acts that bind them most often. Useful for understanding the full compliance landscape facing each role.
Contractors also bound by 56 other Acts (top 5 shown)
- Construction (Design and Management) Regulations 2015 2015 360 duties
- The Income Tax (Sub-contractors in the Construction Industry) Regulations 1993 1993 19 duties
- Building Regulations (Northern Ireland) 2000 2000 17 duties
- Building Regulations (Northern Ireland) 2012 2012 15 duties
- Work in Compressed Air Regulations 1996 1996 14 duties
Any Person also bound by 749 other Acts (top 5 shown)
- Human Medicines Regulations 2012 2012 110 duties
- Licensing Act 2003 2003 105 duties
- Merchant Shipping Act 1995 1995 97 duties
- Road Traffic Act 1988 1988 95 duties
- Air Navigation Order 2016 2016 86 duties
What this Act requires
Sections that create concrete duties on businesses or carry penalties. Procedural and definitional sections are folded into the “Browse other sections” expander at the bottom of each group. Click any section title to read the source text on legislation.gov.uk.
Part 1 — Defence procurement
Browse 12 other sections in this Part — procedural / definitional / commencement
Arrangements for providing defence procurement services
Financial assistance
Financial claims against contractors or former contractors
Exemptions relating to premises used by a contractor
Jurisdiction of Ministry of Defence Police
Status of contractor
Restrictions on disclosure or use of information
Intellectual property rights
Transfer of employees: application of TUPE regulations
Transfer schemes
Financial provisions
Interpretation of this Part
Part 2 — Single source contracts
Single Source Regulations Office (or “SSRO”)
Other duties (1) — Crown / regulator
- SSRO must ensure value for money and fair pricing in defence contracts Statutory regulator
Contract profit rate: supplementary
- Adhere to SSRO guidance when calculating contract profit rates Contractor
Rates etc relevant to determining contract profit rate
Other duties (1) — Crown / regulator
- Secretary of State must determine and publish profit rates for defence contracts Crown / Minister / Government department
Allowable costs
- Ensure costs claimed in defence contracts are appropriate and reasonable Contractor
Records
- Keep and maintain accurate records for single-source defence contracts Any Person
Recording, review and analysis functions
Other duties (1) — Crown / regulator
- SSRO must maintain records and review compliance of defence contractors Statutory regulator
Review of Part and regulations under it
Other duties (1) — Crown / regulator
- Secretary of State must review single source contract regulations Crown / Minister / Government department
Browse 25 other sections in this Part — procedural / definitional / commencement
Regulations relating to qualifying defence contracts
Pricing of contracts
Pricing of contracts: supplementary
Contract profit rate
Final price adjustment
Recovery of unpaid amounts
Reports on qualifying defence contracts
Reports on overheads and forward planning etc
Duty to report relevant events, circumstances and information
Records and reports: restrictions
Qualifying sub-contracts
Determining whether a contract is a qualifying sub-contract
Application of Part to qualifying sub-contracts
Compliance notice
Penalty notice
Amount of penalty
Enforcement
Opinions and determinations
Guidance
Provision of other services to Secretary of State
Disclosure of information
Power to repeal Part
Single source contract regulations: time limits and determinations
Single source contract regulations: general
Interpretation etc
Part 3 — Reserve forces
Browse 5 other sections in this Part — procedural / definitional / commencement
Part 4 — Final provisions
Browse 3 other sections in this Part — procedural / definitional / commencement
Schedules
Restrictions on disclosing information
2 years imprisonment- Disclose protected defence procurement information without consent Any Person
Browse 6 other Schedules — structural / supplementary
Exemptions relating to premises used by a contractor
Transfer schemes under section 10
Call out of members of reserve forces: transitional classes
Restrictions on disclosure or use of information
Single Source Regulations Office
Payments to employers etc of members of reserve forces: supplementary
Official guidance
Authoritative sources published by regulators or government explaining this legislation.
- MOD supplier enquiries (opens in a new tab) Detailed Guidance
- DASA Open Call for Innovation (opens in a new tab) Publication
- MOD Acquisition Pipeline (opens in a new tab) Publication
- Find a Tender (opens in a new tab) Detailed Guidance
- Contracts Finder (opens in a new tab) Detailed Guidance
- Defence Sourcing Portal (DSP) (opens in a new tab) Detailed Guidance
Enforcement and responsible bodies
The regulators that administer or enforce this legislation.
Single Source Regulations Office
Statutory regulator for single-source (non-competitive) defence procurement contracts under Part 2 of the Defence Reform Act 2014. Sets baseline profit rates and …
Explore more
Browse legislation
Find other UK business legislation with related guidance.
Regulators
Learn more about the bodies that enforce this legislation.