Well after the bun fight has now calmed down slightly I think this needs further expansion. Because despite others claims that it is all about the rise in sightings, and this must be true because there is a piece of paper that says it, if we look a little closer it’s not what it all seems…
The document states: a) In more than fifty years no UFO sighting reported to the Department has indicated the existence of any military threat to the UK – I’ll tackle this one in another posting, but its crap, do a google search on Captain William Schafer and read about his death tracking what was evidently a UFO. https://thetruthhides.wordpress.com/2009/05/28/lightning-xs894-still-a-ufo-mystery/
But the document contradicts itself: It states that “The level of resources devoted to this task is increasing in response to a recent upsurge in reported sightings, diverting staff from more valuable Defence-related activities” That, to me at least, doesn’t say onlybecause of the recent upsurge in sightings we are closing this. Then the contradiction happens: “That reported sightings received from other sources should be answered by a standard letter…”
Other sources? OK, so I assume these “other sources”, are Police, MoD, etc So basically a UFO reporting systems exists in a basic form for other Government bodies but not the public. So, the MoD will pay for the function of receiving reports from other sources, and pay for a standard letter in response to other sources but not from the public? So that contradicts the reasons stated for closing it down.
But then the document states: “b) There is no Defence benefit in Air Command secretariat recording, collating, analysing or investigating UFO sightings” – so why bother doing these very things for “other sources”. Because other than investigate the UFO sightings – it will record and collate them – but not for the public reports. Oh, and despite there being no “defence benefit” they will still send a nice standard letter. Which will cost them money. So the savings will be next to minimal, because if one casually glances through the UFO reports the MoD releases, a fair amount of those are from the Police, pilots – namely these “other sources” etc not just the public.
Contradictions abound.
The Truth Hides 
Do you seriously think they will close down their reporting channels for unidentified airspace incursions? A UFO could be anything – so say I report I saw something odd flying over say, Devonport – won’t they be interested?
I’ll bet dollars to donuts they have always had, and will continue to have, a secret reporting channel for the sightings reported by reliable official sources.
I have always suspected there is a secret department within the MoD that handles the UFO situation, the UFO Desk is just a public front of very little consequence, I have lectured in the past on how departments can remain hidden within the MoD, a good example of this is the Force Research Unit (FRU) which operated for years in total secrecy in the Northern Ireland conflict. It only became public knowledge because of the Stevens Inquiry – and probably would have stayed secret if the inquiry hadn’t taken place. When the inquiry began, the FRU’s office (with all the evidence) mysteriously caught fire and burnt everything… so I am of the belief there is a ‘hidden hand’ deep within the MoD that is still involved in the UFO phenomena.