AUKUS is a groundbreaking strategic defence and security partnership, and a clear demonstration of our long-term commitment to supporting the security and stability of the Indo-Pacific region and beyond. Given an increasingly unpredictable, interconnected landscape, with a war in Europe and rising tensions in the middle east, partnerships with our closest allies are vital to deterring our adversaries and maintaining that strategic advantage. The following statement is to update the House on AUKUS developments since this Government were elected.
Built on decades of integration, sharing and co-operation on defence and technology between our three nations, it is particularly significant that we secured landmark export control changes to benefit AUKUS partners last month. This marks a historic breakthrough in defence trade collaboration between AUKUS nations that will streamline future co-operation, create jobs and boost growth.
On 16 August 2024, the Government published the UK’s AUKUS nations open general licence. Combined with a new exemption to the US international traffic in arms regulations for the UK and Australia, alongside further national exemptions for the UK and US in Australia’s export control framework, this is a milestone moment in deepening the potential of our tri-nation partnership. Taken together, these changes will significantly ease our licencing requirements for the export and sharing of certain defence products within and between the UK, US and Australia, including advanced capabilities, technical data, and defence services.
These groundbreaking reforms will facilitate faster and more efficient collaboration between our scientists, engineers, and defence industries. These changes alone will support up to £500 million in UK defence exports each year, generating billions of dollars of trade across all three nations—improving access to international trade with our closest allies, while driving economic growth in communities across the UK.
We can also report further progress in delivering on the ambitious pathway to support Australia’s acquisition of a conventionally armed, nuclear-powered submarine capability.
On 5 August 2024, AUKUS partners signed a trilateral agreement on co-operation related to naval nuclear propulsion. This is a significant step that will facilitate the sharing of submarine naval nuclear propulsion information between partners as well as enabling the future transfer of material and equipment to Australia for the safe and secure construction, operation and sustainment of this important capability. The agreement was laid in Parliament on 2 September 2024, as part of the UK ratification process; it is undergoing similar processes in the US and Australia.
This agreement reaffirms and is consistent with partners’ respective non-proliferation commitments. Our co-operation will continue to be undertaken in a way that is fully consistent with our international obligations and sets the highest non-proliferation standard while protecting classified and controlled information, material and equipment.
As part of our and the US’s support to Australia, AUKUS partners commenced the submarine tendered maintenance period at HMAS Stirling in Australia on 23 August 2024. This represents another important advance for the partnership, with Australian personnel, supported by a US submarine tender and observed by Royal Navy officers, participating for the first time in the maintenance of a nuclear-powered submarine, to ensure Australia are on track to operate, maintain and regulate their future conventionally armed nuclear-powered submarine capability.
AUKUS is making significant progress. As AUKUS is a long-term strategic partnership, it is appropriate that this Government consider how best to deliver on the UK’s considerable ambition for AUKUS and to maximise the benefits of this national endeavour.
To capitalise on the full suite of economic and security benefits of AUKUS, Sir Stephen Lovegrove has been appointed as the UK Government’s AUKUS adviser, to assess UK progress against AUKUS goals. Sir Stephen has invaluable experience, having served as permanent secretary at the Ministry of Defence and as national security adviser at the time of the AUKUS announcement in September 2021.
The AUKUS report will be completed rapidly and will set out any existing barriers to success, alongside areas of opportunity the UK could be taking advantage of, ensuring defence and economic benefits are properly considered. Sir Stephen’s findings will be presented to the Prime Minister, the Defence Secretary, the Foreign Secretary and the Chancellor, with the report’s conclusions reflected in the broader strategic defence review already under way.
AUKUS is the most significant defence, security, and diplomatic arrangement the UK has entered in the past 60 years. This Government are fully committed to this national endeavour, working with partners, stakeholders and industry to achieve the maximum economic and security benefits possible, while upholding stability, peace, and prosperity in the Indo-Pacific region and beyond.
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