The Defence Logistics Organisation (DLO) was formed on
Financial year 2000–01 final outturn: £5.798 billion
Financial year 2001–02 AP 12: £6.371 billion.
Under a cash accounting regime, operating costs include expenditure on capital projects and running costs. The outturn for 2000–01 included a transfer of some £600 million from the Defence Procurement Agency to the DLO following the transfer of responsibility for the management of in-service support costs. Financial year 2001–02 included a transfer of an additional £400 million for in-service support, taking the annual total transfer of in-service support costs into the DLO to around £1 billion.
Financial year 2002–03 has only just started and under the new resource accounting regime the DLO has not been given a cash control total equivalent target.