Oral Answers to Questions
Lord Beamish Excerpts(7 months ago)
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Leo Docherty
Indeed. We are assured that the strength of our relationship with Israel allows us to make representations about the protection of civilians, and about the increase in the flow of humanitarian aid. We do that in the context of it being an extremely important ally, while being cognisant of the broader threat from the terrorist group Hamas and Iran, which my hon. Friend mentioned.
Mr Kevan Jones (North Durham) (Lab)
The F-35 programme has not only given world-leading capability to our Air Force and Navy, but provided jobs and technological advancement in the UK defence industry. Could the Minister give an assurance that any review of our relationship with Israel will not jeopardise that programme?
Leo Docherty
I can give the right hon. Gentleman that absolute assurance. We are immensely proud of the F-35 project, which delivers devastatingly effective fighting power for us and our allies, and 20,000 UK jobs.
War Graves Week
Lord Beamish Excerpts(7 months, 1 week ago)
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Mr Kevan Jones (North Durham) (Lab)
I begin by declaring an interest as a former commissioner of the Commonwealth War Graves Commission and a current trustee of the Commonwealth War Graves Foundation. The hon. Member for Woking (Mr Lord) just described what we all see when we visit Commonwealth war grave cemeteries, with the beauty and the neatness of their lines. I always find it moving to read the inscriptions and see the young ages of some of the individuals who took huge responsibilities to protect the freedoms that we take for granted today. It does an extraordinary job of maintaining those graves, not just in this country but around the world. I pay tribute to all the staff, including the current director general Claire Horton.
I also pay tribute to His Royal Highness the Duke of Kent, who has been the president of the Commonwealth War Graves Commission since 1970. When I was a commissioner he took a very active interest. Commissioners today will know his interest, and he still attends ceremonies on behalf of the commission, even at his advanced years. I had the honour in 2010of being appointed by the Queen as one of the two parliamentary commissioners for the Commonwealth War Graves Commission, along with my great friend Keith Simpson, who is no longer in the House. Like the commissioners today, we both took the role very seriously. It was one of the highlights of my parliamentary career, and a privilege to serve in that organisation.
I also had the honour of being a Minister in the Ministry of Defence, responsible for the new war graves cemetery created at Fromelles in 2010. That shows that we are still finding casualties throughout the world, who are still given the respectful burial that each deserves. I pay tribute to the staff who do the research, and for all their care and dedication. Fromelles was on a different scale—more than 400 bodies were uncovered in a piece of detective work by an Australian individual. It was a great honour to attend the interment of the first casualty there, along with my Australian counterpart.
It has been said that we think the Commonwealth War Graves Commission is a great British institution, but like a lot of things in the UK, it came into being by accident. The tenacity of Fabian Ware’s great registration scheme in the first world war led to the formation of the Commonwealth War Graves Commission. Was it universally popular at the time? No, it was not. I suggest that anyone with an interest in how it came to be reads the debate of 4 May 1920, when the money was being apportioned to set it up following the great war. Was it a foregone conclusion? No, it was not. People argued against it, such as the Member for Holborn, Sir James Remnant, who argued that the dead were not the property of the state. It was quite a new thing then for the state to take the decision, because in other campaigns, bodies were repatriated if people could afford it. One individual in that debate opposed what he called the nationalisation of death.
The commission was set up uniquely by dedicated individuals. At an Italian war cemetery, the generals’ graves are huge mausoleums, and the privates are stuck behind. The Commonwealth War Graves Commission was clear that in death, everyone is equal. That was an important message and is why the standard commemoration was put in place. No exceptions were made. One of the most poignant things for me is not the graves themselves but the names of individuals—generals can be next to privates. There is no rank in death. An example that sums that up well is down at the Hollybrook memorial in Southampton, which commemorates those lost at sea. There is Lord Kitchener, and then a long list of names of those from the South African labour corps who were lost in an accident off the Isle of Wight. That shows what the commission did and continues to do to ensure that individuals are remembered, regardless of their status.
When I was a commissioner, I had the great honour of visiting the commission’s staff around the world, including, as I think the Secretary of State mentioned, in Gaza. It is not the easiest part of the world, but the dedication of the staff is just the same. I will certainly be thinking of them today, and the job that they do. The cemeteries are beautiful. The most poignant one that I visited is in Papua New Guinea. It is in the middle of a jungle, but is beautifully maintained by the staff. As the right hon. Member for Ludlow (Philip Dunne) said, the staff look after not just the memorials and the gravestones, but the horticulture. I am a bit of an anorak on the subject, but if anyone wants to look at the horticulture of the Commonwealth War Graves Commission, its history is absolutely fascinating. The work of Gertrude Jekyll and others set the standards that are maintained today. As the right hon. Gentleman said, with climate change, adaptations need to be made, and the commission is at the forefront of that work.
I have the honour of being a trustee of the Commonwealth War Graves Foundation. The problem with the commission, if there is one, is that its remit is very tightly controlled by its royal charter. When I was on the commission, one of the issues was whether, technically, we were able to do education. It did not fall within the remit, so we came up with the idea of the foundation. I encourage everyone to look at the foundation’s website, and ask those who are not already members of the foundation to join, so as to support its educational work. It is great at taking the work of remembrance, and of the commission, to schools and so on. That work is not just about remembering the commission’s iconic sites in France, but about getting people to recognise what they have on their doorstep. That formed the subject of a project that I worked on when I was a commissioner. There are war graves in our local cemeteries. In my constituency, there are a number of single graves, but also 24 in Stanley cemetery and 12 in Sacriston cemetery. The Commonwealth War Graves Foundation is trying to ensure that people are aware of their local history, because the people in those cemetaries are mainly local people.
When we look into the stories, which some great local groups are doing, we find that the reason why graves are in a particular place can be very interesting. In County Durham, there are the graves of an Australian bomber crew who were killed returning from a training mission. I think someone referred to this site earlier when discussing the commission’s work with its international partners, but in Cannock Chase there are some 400 casualties from Australia and New Zealand, alongside nearly 2,000 German casualties—zeppelin crews and so on—who died mainly during the first world war. That shows that the commission works internationally. Why are there 400 Australian and New Zealand casualties in Cannock Chase, of all places? Well, it is a very sad story. It was a casualty clearing station, and the casualties went there after the first world war, having survived the horrors of the western front, only to die, in most cases, of Spanish flu. Casualties turn up in different places for interesting reasons.
We in the Commonwealth War Graves Foundation are keen to work with local groups. We have volunteers who not only maintain graves but work on history projects. It is important to get schools involved. We also have a lecture programme; people can ask for a lecture from a volunteer, and I am one. I am qualified to give the Commonwealth War Graves Foundation lecture to local groups. I encourage everyone to look at our website and try to get their community involved. They will be amazed to see what is on their doorstep. That is an important way of bringing not just the work of the commission but local history to life.
Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)
I have sat here quietly so far, and I almost hesitate to intervene because this is a very dignified debate, but the right hon. Member is making an extremely important point. In my home town of Tain, way up in the highlands, we have 30 war graves, and many are the graves of Czech airmen, which reflects exactly the point that the right hon. Member makes. For 35 years, two people, Billy and Mary Grant, have looked after those graves out of the goodness of their hearts. I have mentioned them deliberately; I want them to have their names in Hansard because of all the good that they have done. The right hon. Member’s point is excellently made, and I support it to the hilt.
Mr Jones
I thank those volunteers, but the hon. Gentleman has raised another interesting point. These are not just British casualties; throughout the United Kingdom, there are casualties from all nations that contributed to our efforts in both world wars.
As I have said, I am passionate about this subject. I think the two commissioners in the House will confirm that once you have been a commissioner, you have it in your blood. I know I am a pain when I go to a funeral or a wedding, because I always go around the cemetery to see whether there are any Commonwealth War Graves Commission sites. The commission has taken a great step forward in digitising information and giving visibility to the casualties who are buried not in large cemeteries, but on our doorstep.
Let me end by paying tribute not only to the commission’s current staff members, but to those who have gone before. They are loyal, dedicated individuals. Is this about glorifying war? No, it is not; it is about recognising the sacrifice that people made, and let us hope that we can continue to do that. It is poignant, especially given the war that is taking place in Europe, to recognise the sacrifice that was made on our behalf in the past so that we can enjoy our freedoms today.
Defence
Lord Beamish Excerpts(7 months, 2 weeks ago)
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The Secretary of State for Defence (Grant Shapps)
I beg to move,
That this House has considered defence.
In recent weeks, our armed forces have been required to use force to protect international shipping and to protect our allies. Our armed forces are the best of us; we increasingly need them, and we are increasingly asking more of them as well. When the threat picture changes, the first duty of Government is to respond, which is why this Government have committed to increase defence spending to 2.5% of GDP by 2030, the biggest increase in spending for a generation.
Grant Shapps
I will just make a bit of progress first, keen as the right hon. Gentleman is. That will result in a £75 billion cash boost to our nation’s defences over six years from a flat cash baseline. Although we have had a long-held commitment to hit 2.5% when financial conditions allow, delivering that commitment now involves choices.
Grant Shapps
No, it does not. The outcome from the defence budget, which must be the basis upon which the right hon. Gentleman is judging last year’s, includes supplementaries. In particular, it now includes the additional half a billion, which I can tell the right hon. Gentleman I chose to send to Ukraine as an active decision, rather than it coming into our main budget; I feel that that would have the support of the House. When we include all that, the budget increases. In any case, it already increased by 1.8%.
Grant Shapps
I know that the right hon. Gentleman wants to continue this debate, but the fact is that it does as soon as we include the supplementaries.
Grant Shapps
I will not for the moment, because this point has been discussed ad infinitum. In any case, we are offering another £75 billion in cash terms, which I note that the Labour party has yet to do because the funding requires a determination, in our case, to get the civil service back to pre-covid levels and to help pay for the expansion of our defence. It requires sound economic management and, above all, an understanding that an investment in deterrence today is wiser and less painful than paying to fight a war tomorrow.
Grant Shapps
No, I still have not confirmed that because, before the extra half a billion, if we take the outcome from last year and the amount that was pledged for this year—including supplementaries, to be clear, which is the same basis as last year—it is an increase of 1.8%. However, this is rather beside the point, because since the time we debated this question at the Select Committee on Defence, we have committed to putting in another £75 billion in cash terms from the baseline over the next six years.
Grant Shapps
I think the right hon. Gentleman will want me to complete this section. I would be interested to hear him apply that commitment to his own Front Benchers, because this Conservative £75 billion rise in defence spending is highly significant. It is precisely what our armed forces need to respond to axes of authoritarian states that are trying to reshape the world in their image, and it is the right thing to do.
Grant Shapps
The hon. Gentleman will be interested to know that the way this is presented is entirely the usual way for the Treasury to present increases in spending. If I take him back to the previous cash boost for defence—I think it was £24 billion and it was described, I think, as being over five years—it was presented on exactly the same basis, and I do not remember the hon. Gentleman making the same point then. Regardless of the numbers, surely the point is this: will the Labour party commit to this timeline?
Labour Members said that they wanted to get to 2.5%, and that they would do it when conditions allow. We have now said that we know conditions will allow because of the management of the economy. Will they follow us, or will they send their Back Benchers out to criticise an increase, even though their own Front Benchers will not match it themselves? Perhaps we should not be surprised, given that the Leader of the Opposition, not once but twice backed Jeremy Corbyn—sorry, the right hon. Member for Islington North (Jeremy Corbyn)—to be Prime Minister. The Leader of the Opposition proclaims his support for our nuclear deterrent, yet he has stacked his Front Bench with anti-nuclear campaigners—I counted 11 who voted against Trident—while he goes up to Barrow and claims he is all in favour.
Mr Kevan Jones
The Secretary of State is doing, like last time he came out on this debate, his used-car salesman act. The fact of the matter is clear: the only way we get to £75 billion is if we freeze the defence budget for the next six years. Is he going to do that? Given what he announced last week, will he explain first where the money is coming from, and secondly what is the proportion of resource departmental expenditure limits and capital departmental expenditure limits? There is no detail at all. It is just an empty promise and a political slogan that he is batting around as his usual avuncular self.
Grant Shapps
The way the right hon. Gentleman tries to represent it is simply not true. If it were meaningless, why has his own party not taken the difficult decisions to get to the £75 billion which, to be clear, is the amount additional to what is currently programmed in? He is right that defence budgets may have increased over time, but £75 billion is still the additional figure. If it is so straightforward, why doesn’t he encourage those on the Labour Front Bench to do it? I think I know the answer. He asks how it will be paid for, and it will largely be paid for by cutting the civil service back down to pre-covid levels. Labour Members do not want to cut 72,000 from the workforce of the civil service so that it goes back down to pre-covid levels, and because of that they will not follow us in our commitment. That shows where their choices lie.
Labour Members say they want 2.5% and are keen to see that, but they are not willing to put in place the difficult decisions to reach that. By failing to take those decisions, they will be failing to fund our armed forces if they were to come into office. That would leave our nation more vulnerable, and play directly into the hands of our adversaries, including Putin.
In January, I set out a comprehensive case for increasing defence spending in response to what I described as “a more dangerous world”. After all, Putin is on the march, pursuing wars in the east of Europe while backing greater political influence and assassinations in the west. China has certainly become a lot more assertive in recent years. Russian mercenaries, Islamic extremists and military strongmen have overrun democracies and societies in Africa.
As Iran has nourished and manipulated its proxy militia and groups around the middle east, the Islamic republic itself has for the first time carried out an aerial assault on a democratic near-neighbour, Israel. Its Hamas terrorist allies brought mass murder to Israelis on 7 October, and they have brought pain to the Palestinians—both before and since—with the Hamas approach to running that area. Meanwhile, one of Iran’s other key allies—the Houthis—continues to hold global trade hostage in the Red sea. So, from Moscow to Tehran and from Beijing to Pyongyang, a network of authoritarian states is pressuring allies and our interests. Working together, they are more connected than they have ever been before.
Grant Shapps
I have been quite generous; I will make a little bit of progress.
That is why this Conservative Government will act now. We are going to deliver the greatest strengthening of our national defence since the cold war. Some will argue that the threats we face are perhaps not imminent or existential. They may claim that increased defence spending is not a good use of money, which perhaps should go on other commitments—there are many to discuss—but I argue that we have seen the consequences up and down the country of the more dangerous world that I described in that Lancaster House speech.
In recent years, we have suffered terror attacks. We have also suffered cyber-attacks on business, on Government, as we were just talking about, and on critical national infrastructure. They were mostly not successful, but the amount that it costs to get around them increases all the time none the less. We have suffered intellectual property theft. We have seen Hong Kong protesters dragged into the Chinese consulate in Manchester and beaten. We have seen Iranian journalists threatened and stabbed in London. We have seen former Russian military officers assassinated in hotels in Mayfair and poisoned in suburban homes in Salisbury and, just last month, British citizens charged with setting fire to Ukrainian-linked business units in east London, apparently on the instructions of Russian intelligence.
Grant Shapps
My right hon. Friend is absolutely correct. That is precisely the point, and that is exactly why it is right to invest in Ukraine. I do not want to make this a political speech—
Grant Shapps
This is a serious issue, and I am surprised by that sort of attitude. I want to ask, because it is a serious point, whether the Opposition are now ready to commit to that extra £500 billion if they were elected, because I have yet to hear that confirmed, and that is an important issue for our Ukrainian friends. I accept that the Ukrainians have the Opposition’s support, but they also need the pledge of money and the certainty that this House will provide it, come what may.
John Healey
I am afraid there is nothing cast-iron about the figures, the plan or, indeed, the proposals for paying for it. I will come to that in a moment.
Before I took the first intervention from the hon. Member for North Wiltshire (James Gray), I wanted to pick up a final point that was made by the hon. Member for Westmorland and Lonsdale (Tim Farron) on the question of reviewing what we need to face the threats that we now face. The Defence Secretary is dismissive about the need for a strategic defence review, despite the fact that his own Department is preparing for exactly that, whatever the result of the next election. That was confirmed in the House last month by the Minister for Defence Procurement. He also made the point a month before, when the right hon. Member for Bournemouth East (Mr Ellwood) talked about a defence review and the Minister for Defence Procurement said,
“he makes an excellent point.”—[Official Report, 11 March 2024; Vol. 747, c. 27.]
The problem for the hon. Member for Westmorland and Lonsdale, who was involved in the five years of coalition government after 2010, and the problem for the Conservative Front-Bench team, who have been in government for the past 14 years, is that people judge Governments on what they do, not on what they say.
The Defence Secretary mentioned his January speech at Lancaster House, and he is right when he argues that what we do on defence sends signals to the world. What signal does it send to Britain’s adversaries when our armed forces have been hollowed out and underfunded since 2010, as his predecessor admitted in this House last year? What signal does it send to our adversaries when defence spending has been cut from 2.5% under Labour to 2.3% now, when day-to-day defence budgets have been cut by £10 billion since 2010, and when the British Army has now been cut to its smallest size since Napoleon?
Mr Kevan Jones
The present Defence Secretary was chair of the Conservative party until 2016. Is it not also a fact that, when the Conservative party was in coalition government, it cut the defence budget by 18% and not only reduced the size of the Army but made people compulsorily redundant? Had a Labour Government done that, we would have heard howls and cries from Conservative Members.
Mr Francois
The right hon. Gentleman, a former Armed Forces Minister like me, is absolutely right. Many of them still have half their so-called airframe life remaining. As I have said, they are more than capable of intercepting and shooting down the threat aircraft that they would have to match. That is all the more reason to keep them against a rainy day, rather than flogging them off or breaking them up for parts. Crucially, creating such a war reserve would demonstrate a sign of intent to any potential aggressor that after many years of doing the opposite, the UK is now preparing to fight a sustained conflict with a peer enemy, should that become necessary. Hopefully, in so doing, we will make that eventuality far less likely.
Linked to the vulnerability of our radar stations and the shortage of fighter aircraft are the extremely worrisome delays in airborne early warning. The Royal Navy’s early warning aircraft, Crowsnest, is many years late. It has only recently entered service for the air defence of the fleet. For the Royal Air Force, the Boeing E-3 Sentry AWACS aircraft were withdrawn shortly after the integrated review was published in 2021, leaving us without a mainstream airborne early warning aircraft. The E-3 was meant to be replaced shortly thereafter by the Boeing E-7 Wedgetail, but the programme has been subject to multiple chronic delays and is still not in service.
The RAF is clearly embarrassed by this and is attempting to deploy chaff between in-service dates, when the aircraft could take off the runway, and an initial operating capability, when the aircraft might actually be ready to fight. The latest information I have is that the ISD could now be in autumn 2025, whereas the IOC could be in the first or even the second quarter of 2026, which is still two years away. That leaves a critical gap in our air defence capability for which the MOD, and Boeing in particular, must be held robustly to account. Moreover, the initial buy of five Wedgetail aircraft was inexplicably cut to three several years ago by ministerial fiat, even though we were contractually obliged to buy all five radars, which themselves were very expensive.
In short, the Boeing E-7 Wedgetail is rapidly becoming the RAF’s equivalent of the Army’s Ajax programme—a procurement disaster that has gone on year after year at vast expense to the taxpayer, without actually entering operational service, as Ajax still has not. The Defence Committee, alarmed by that, has invited the head of Boeing Defence, Space and Security, Mr Ted Colbert, to appear before the Committee at Westminster to provide an explanation, although we are still attempting to finalise a precise date for his personal appearance.
Boeing is an organisation in crisis after the sad deaths of more than 300 people caused by the two crashes of its 737 MAX aircraft. We have seen further serious safety incidents, most recently in January when a door flew off an Alaska Boeing 737 MAX 9 in mid-flight. That incident was followed by a number of so-called whistleblowers, involved either at Boeing or in its supply chain, coming forward with very serious allegations about failures in the way the company builds its aircraft. No doubt partly as a result, Mr Dave Calhoun announced that he will step down as chief executive at the end of the year. In the first quarter of this year, Boeing reported a net loss of more than $350 million, and it is still experiencing serious production problems across a range of aircraft, both civilian and military, of which the UK Wedgetail is but one example. The US Air Force also has numerous issues with Boeing, not least in its much-troubled KC-46 air tanker programme.
For many years, Boeing as a company has done extremely well in winning major multibillion dollar procurement orders from the MOD, in return for which it has placed very limited amounts of work on those programmes with the defence industry in the UK. To give specific examples, according to the MOD’s recent figures, on the E-7 Wedgetail, the estimated UK content is around 10%; for the AH-64 Apache, it is only 7%; for the P-8 Poseidon anti-submarine aircraft, it is barely 4%; and for the original CH-47 Chinook helicopters, it was just 2%. According to the answer to a written parliamentary question I tabled, the UK content for the new order of CH-47 extended-range Chinooks for our special forces will generate a UK workshare of about 8%. Taken together with the purchase of the Boeing RC-135 Rivet Joint electronic reconnaissance aircraft, for which no workshare figure is publicly available, that represents some $10 billion of business for Boeing from the UK MOD for which the UK workshare has been 10% at best and 2% at worst. Boeing has done incredibly well out of the UK MOD, while UK industry has done incredibly badly out of Boeing.
Mr Kevan Jones
Does the right hon. Gentleman agree that that is also bad news for the defence budget? Those contracts are in dollars, and the dollar exchange rate puts huge pressure on the defence budget.
Mr Francois
Another former Armed Forces Minister is right, and he will know that the effect of the dollar exchange rate on buying so many big off-the-shelf items from the US has cropped up time and again at both the Defence Committee and the Public Accounts Committee.
The problem does not apply just to air platforms. Boeing had a major logistics contract with the MOD called the future logistics information system, or FLIS, which was due to run until late 2020. However, as was evidenced by the Public Accounts Committee, in late 2020 the MOD signed a five-year contract extension called “Bridging the gap”, worth £515 million to Boeing, which was not even competed. That raises questions about the degree to which the MOD seems to be mesmerised by Boeing as a company, to the detriment of value for money for the UK and for our industrial workshare. Indeed, the PAC subsequently reported:
“We are…concerned to hear that the MoD awarded the contract for this £515 million programme to a large defence prime contractor without a competitive tendering process.”
That is all the more surprising given that in the 1990s, the standard policy of the MOD was to ask for a 100% offset in major off-the-shelf procurements of military equipment from abroad, especially from the US. For instance, in the late 1990s, for the purchase of the C-130J Super Hercules, Lockheed Martin was required to place work to the equivalent of 100% of the multibillion-dollar contract value with UK industry. The work could take one of two forms: direct offset, which is work on the aircraft platform itself, such as propellers or undercarriages or logistics support, or indirect offset, which is other high-quality work to be placed with the UK defence industry over the life of the programme, but not necessarily directly related to the platform itself.
Under the Blair Government, for whatever reason, the policy was quietly dropped. That has allowed a situation to develop whereby the MOD has bought a number of big-ticket items from the US without receiving any legally binding guarantees of compensating workshare for the UK industry. I therefore suggest to the next Government, of whatever political colour, that if they are reviewing defence, they might want to look at reintroducing the concept of 100% offset for any further major offshore procurements.
In some cases, it is operationally the right thing to buy something off the shelf from the US. I would argue that Wedgetail—at least when it was five aircraft, anyway—was the right decision, but I do not think it acceptable that we hand out such handsome contracts to foreign suppliers without UK industry being given its fair share.
In conclusion, a cynic might say that Boeing is a company increasingly in crisis, which is falling apart even more rapidly than the aircraft it purports to build. That is serious for us in the UK, as like it or not, Boeing is one of our major defence suppliers and is responsible for supporting key equipment in service. We do not want that company to fail. Therefore, we can only hope that the incoming management will take a firm grip of the situation and turn it around—the sooner, the better.
Lastly, it is very good news that we are reversing the downward trend in defence spending and are now investing more, rather than less, in the defence of the realm. That is very much to be welcomed, but it is a question not just of how much we spend, but of how well it is spent. I very much hope that with the new integrated procurement model and perhaps a couple of humble suggestions that I have been able to offer this evening, we can put more of that money to good use to ensure that we, our people and our allies remain safe in an increasingly dangerous world. Si vis pacem, para bellum.
Mr Kevan Jones (North Durham) (Lab)
Thank you, Mr Deputy Speaker. May I begin by putting on the record the whole House’s thanks to the members of our armed forces for the service they give selflessly to protect us all? It is often said that the first responsibility of a Government is to protect the nation, keep it safe and protect its citizens. I think we need to look at what has happened over the past 14 years.
My hon. Friend the Member for Halton (Derek Twigg) said in his contribution that the armed forces are being “hollowed out”—not his words or mine, but those of the former Defence Secretary, the right hon. Member for Wyre and Preston North (Mr Wallace). Have we got to that situation by accident? No, we have not. That has been a deliberate policy over the last 14 years, including the 18% cut in the defence budget up to 2015-16. Today, the defence budget is 7% lower in real terms than it was in 2010. As my hon. Friend said, we saw our armed forces personnel cut by nearly 50,000—they were not only cut; there were compulsory redundancies. If a Labour Government had done that, every national newspaper would have had a lot to say about it. One in five ships in the Royal Navy has been taken out of service. We have 200 fewer aircraft in the RAF now, and satisfaction ratings for service life are at an all-time low of 50%.
Is it a time for serious policy and serious money on defence? Yes, it is, but we have not got that from the Government or from the Prime Minister’s announcement, which is the usual smoke and mirrors. It is about soundbites that can be sold at the next general election. The Defence Secretary could sell snow to the Eskimos in his confident sort of way. I am not sure they would come back and buy more snow from him once they discovered what they had actually been sold.
If we look at what has been announced, an extra £75 billion is the headline. That will be repeated by every Conservative candidate in the general election, but we know they only get that figure if the defence budget would have been frozen for the next six years—something the Defence Secretary fails to admit. Also, where is the money? If my colleagues on the Labour Front Bench had announced this, straightaway people would be saying, “Where’s the money coming from? Where’s the detail?” There is no detail; it is just an aspiration—that is all it is. There is no separation between how much will be spent on resource and capital departmental expenditure limits. What we have from the salesman that is the Secretary of State is a whole shopping list of everything that will be put right by the supposed huge expenditure he has announced. It is pretty hollow.
Let us deal with facts. The Secretary of State does not like dealing with facts. It is like when he came before the Defence Committee. If we take the money to Ukraine out of the budget, the defence budget for next year—this was confirmed by the strategic finance director of the MOD—falls. The question that people need to ask at the next general election is: where is the money coming from? Why are our armed forces in such a dire state? We know the answer to that. It is because of the past 14 years.
We need to concentrate on three things: the defence of our homeland and the contribution to NATO, which has been mentioned; the capability of our equipment and how it can be delivered; and putting weight behind British industry and skills. The Secretary of State said earlier that the announcement meant a huge boost to UK defence expenditure, but the right hon. Member for Rayleigh and Wickford (Mr Francois) demonstrated what we have seen over the last 14 years: contract after contract given to the United States, without any commitment to UK skills. My right hon. Friend the Member for Warley (John Spellar) mentioned the case of the fleet solid support ship given to a Spanish shipyard. That would never happen in any other European nation. We must ensure not just that we have the right equipment and procurement procedures, but that decisions are taken to boost our armed forces and to help UK plc.
Bob Seely
Does the right hon. Gentleman accept that there is a balance? Clearly, one would like everything for the military to be produced in this country to support our industrial base, but at the same time we complain about procurement scandals when the kit turns out to be so much more expensive than elsewhere. We need a balance. When we can realistically produce stuff in this country, we should be doing so—obviously, I will make the case for radar on the Isle of Wight—but if we try to do everything in this country, we will need to increase the defence budget just to pay for poorer quality procurement. He does not seem to be addressing that point.
Mr Jones
I am sorry that the hon. Gentleman seems to be talking down the UK defence industry. He talks about radars in the Isle of Wight, which are some of the best radars in the world, but what are we doing? We are not giving long-term commitments to those capabilities. We are buying off the shelf from the United States and other nations. We are not just talking about buying British; it is about co-operation with our allies as well. The problem is that if we take a short-termist view, which is what has happened over the past 14 years, we do not get the commitments and the flow through of orders, nor the R&D, investment and certainty, that people on the Isle of Wight need.
The Secretary of State said that the UK is now on a war footing following this announcement. Why, then, did it take the Government nearly two years to procure the order for 155 mm munitions? That is not a war footing; that is a slow snail’s pace of procurement. We need to ensure that we get not only the finance and the increase in the defence budget, but that rapid throughput of work. That cannot be done just by placing one order this week and then leaving it for several years, thinking that somehow the defence contractors will still be there with their skills.
We need a thorough defence policy. One thing that has been missing in the last 14 years is a coherent defence industrial strategy. Even when the Government do come up with a strategy, such as the shipbuilding strategy, what do they do? The main argument for that strategy was that we needed to have a throughput of work at UK yards, so what did the Government do? They made an order where most of the work will be done in Spain. No other European nation would do that.
As has been said, this is a very worrying time, and I agree totally with my hon. Friend the Member for Halton that we need to make the case for defence. I have been doing that for 23 years in this House, as have others across the House. We need to make that case to show that the democracy that we take for granted is delicate and needs to be protected. We can protect it only if we invest in the capability to do so, because there are those, even beyond the immediate threat we see from Russia, who would happily see the precious democracy that we cherish snubbed out, not through argument and debate, but through violence and war.
Defence Spending
Lord Beamish Excerpts(7 months, 4 weeks ago)
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Grant Shapps
My right hon. Friend is absolutely right. Although this is £75 billion and although it takes our budget to 2.5% of GDP, that is a fraction—a fraction—of what it would cost if Putin were successful in Ukraine. There is no chance he would stop there—none. Other autocrats elsewhere would look at that and exploit the idea that all they have to do is outwait the west and we will get bored of it—through some form of attention deficit—and give up defending the things we said we would never stop defending. That, in the end, would cost us all a huge amount more.
Mr Kevan Jones (North Durham) (Lab)
May I first of all congratulate the Secretary of State on his stellar used-car salesman act, which we have become used to? On 26 March, he appeared, along with officials, before the Defence Committee. His strategic finance director confirmed that next year, when we take Ukraine funding out of the budget, the defence budget falls. Can he tell the House how he reconciles that fact, which was confirmed by his own officials, with his claim today and the Prime Minister’s yesterday to be putting the country on a war footing?
Grant Shapps
I am really sorry that the right hon. Gentleman cheapens what is a very important discussion about the defence of the realm with such a ridiculous remark. We should all come here in the right spirit to discuss these important issues, given the subject matter. He asks about Ukraine. Ukraine is a part of what our armed forces and this country are having to deal with. We do not ask America to strip out its help to Ukraine, in the same way that we did not ask it to strip out its help to Afghanistan or Iraq, because it is part of the core defence budget. Yesterday—I did not mention this in my statement, and perhaps on this basis the right hon. Gentleman may be forgiven—we also said that our enhanced amount of money for Ukraine is not now just for this year, but we are going to carry on doing it every single year into the future. So, yes, it is part of our core expense.
Armed Forces Readiness and Defence Equipment
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Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)
I really welcome this debate, in which five former Defence Ministers are speaking. That is probably a record—certainly in recent years. I very much thank the Chair of the Defence Committee for laying out the global challenges this country faces and some of the capability concerns. Given the expertise in the Chamber, I know that we will hear more about that.
I stand here as Chair of the Public Accounts Committee, which sometimes feels a bit like the second Defence Committee because of the amount of time we spend examining the vast expenditure that this country makes on defence. Taxpayers give this money to the Government trusting that it will be spent well, but sadly all too often we see that it is not spent as well as it should be. We see money going in but we do not see the capability coming out that we require. The PAC examines that defence spending and the delivery; our job is to look at the economy, efficiency and effectiveness of how taxpayers’ money is spent by Government. As I say, the Ministry of Defence too often falls short on that.
The Committee has huge concerns about the MOD’s ability to deliver projects on time and to budget. This report is only one of our latest on the subject. Just because we have war paint on ships or something is very important, interesting and exciting technology to support our men and women on the frontline does not mean that it should not be treated like any other major project in Government and be managed well and properly. There is no point in having something perfect but late if our frontline personnel need it. As our report highlights, recent global events, which I will not go into, as the Chair of the Defence Committee has outlined them, throw into sharp focus why it is so vital that we deliver on time and that we have the capability, including industrial capability, to ramp up when something, such as munitions, for example, are used apace.
The PAC has examined the annual equipment plan from the MOD for more than 12 years. We have done that throughout the time I have been a member of the Committee, for the past nine years of which I have had the privilege of being its Chair. The defence equipment plan is the 10-year programme for the capability that the MOD says it requires and it lays out how that will be funded, and where the challenges and gaps in funding are. All bar last year’s plan were deemed unaffordable, but the PAC took the view that even in the year when the plan from the MOD came out as affordable, it was based on assumptions that were not realistic, and we did not believe it was fully affordable.
In simple terms, affordability is about the gap between the capability the plan lays out and the money available. As the plan covers 10 years, there have been times when Ministers, including some of the former Ministers present and perhaps even the current Minister, might have come up with reasons for that. They say, “Over 10 years, it is fine. We’ll juggle it a bit. We will balance a bit. We’ll get efficiency savings here and there.” We have seen those arguments and excuses far too often, and the efficiencies do not arrive or issues arise and defence programmes are put off and delayed. By delaying them we see a reprofiling of the costs, but no real reduction in them, and we see those chickens coming home to roost.
This year, the gap between the capability required and what is affordable is £16.9 billion—so it is nearly £17 billion over the 10-year period. We can then add in what the Army would deliver. It is perhaps worth my explaining that for some odd reason—the PAC has taken a strong view on this and even the permanent secretary at the MOD has acknowledged that there was an anomaly—when the Commands and the MOD put in their costs for the programmes, most of them put in the full costs of all the capability required, but the Army puts in only the costs of what it could afford. If we add in the capability that the Army actually requires, we are adding a further £12 billion to that nearly £17 billion, thus making the gap even bigger. There has been a clear deterioration in affordability. It is fair to say that £10 billion of that is because of inflationary costs—we partly know the reasons for that, but I am not going to go into them now—and about £2 billion is to do with foreign exchange costs. Again, the PAC examines those regularly with the MOD and the Treasury, but however we hedge it there will be some challenge on foreign exchange because of the nature of some of our defence procurement.
Mr Kevan Jones (North Durham) (Lab)
Does my hon. Friend agree that that has been made worse by the MOD’s tendency to purchase off-the-shelf solutions from the United States in dollars, which is now accounting for a huge amount of the defence budget? As she says, even with hedging, this is a deadweight around the defence budget.
Dame Meg Hillier
My right hon. Friend raises an important point, and we could almost have a whole debate about that. We do not have time to go into the full detail today, but I will touch on our defence industrial strategy. That is what a lot of this comes down to; if we are buying things off the shelf, it can sometimes be more cost-effective, but we need to be careful and cautious, because the longer those projects are for, the greater the risk of foreign exchange challenges. There is also sometimes a risk to our own sovereign capability and the longevity of some of our defence industries.
We recognise that, with our allies, we work in an international world on this. So there is no straightforward answer, but defence industrial strategy is an area that not only the MOD but the whole of Government should be looking at, as it is vital. Both the Chancellor and shadow Chancellor talk about growing the economy, and our defence industries are based in areas where, if we could up the skills and jobs available, it could provide a major boost to the economy. So there are a lot of opportunities there.
The MOD has not credibly demonstrated how it will manage its funding to deliver the military capabilities the Government want. Our latest report says that they need to get “firmer control of defence procurement” because of this very large deficit in respect of the capability requirements needed. The budget has increased, and I am sure the Minister will stand up to tell us how much extra money is going into defence, but this is about not just the money, but how it is managed. The budget has increased by £46.3 billion over the next 10-year period compared with what was set out in last year’s equipment plan. As I said, the PAC has warned that the deficit is even bigger than expected, so that extra budget will be taken up by the deficit if it is not managed down. Part of the reason for that deficit is inflation, but another major impact on it is the costs of the Defence Nuclear Organisation, which is responsible for the vital nuclear deterrent. Those costs have increased by £38.2 billion since last year’s plan.
One of our Committee’s other concerns is that the MOD has been putting off making decisions about cancelling or reprofiling programmes. Reprofiling is not always a good thing, but sometimes we have to trim according to what is necessary. If the MOD cannot afford the plan, it should take a hard decision, but it has optimistically assumed that the plan would be affordable if the Government fulfilled their long-term aspiration to spend 2.5% of GDP on defence each year, despite there being no guarantee that that will happen. Of course, in an election year there is not even a guarantee as to which party will be in government to consider that. We know, and the Defence Committee will know even more than the PAC, how much the MOD is increasingly reliant on the UK’s allies to protect our national interests. That means that we also have to play our part by making sure that we are delivering that.
For all the time that I have served on the PAC— 13 years this year—the MOD has been led by optimism bias, and it is now pressing on based on not optimism but the sniff of optimism, as there is so little left in that approach that will deliver. We must call that out and call a spade a spade, by saying that the MOD can deliver only what is affordable. So either the money goes in or the MOD trims what it is trying to do, because the approach of trying to do everything all at once and not being able to afford it is just not going to work.
Mr Kevan Jones (North Durham) (Lab)
I begin by joining the Chair of the Defence Committee, the right hon. Member for Horsham (Sir Jeremy Quin), in thanking the men and women of our armed forces—we should never forget their dedication. It is often said that the first duty of government is to keep the nation safe and protect its citizens, but we have a Conservative party that has admitted that it has “hollowed out” defence. We have had a return to war in Europe and growing threats around the world, as has been explained, and we now need a clear-eyed vision of what we need to do in defence. It is about deterrence—there has been a lot of talk about warfighting, but the success of defence is in deterring action from happening.
We need to recognise how we have got to where we are today. I hear all the calls from Conservative Members for increases in defence expenditure. I do not question those individuals’ commitment or dedication, because I know that many of them are very committed individuals who believe in defence, as I do. However, I find it a little ironic that between 2010 and 2016, the defence budget in this country was cut by 18%. Even with the increase, the defence budget is still 7% lower than it was in 2010, and the Budget on 6 March included a cut in the defence budget. I hear all the stirring cries for increasing the defence budget, but we did not get into this situation by accident.
In 2010, we had a Conservative-led coalition Government who tried to scare the public by saying that they inherited a £36 billion black hole in the defence budget. That was absolute nonsense. The figure came from a 2009 NAO report on the equipment budget that said that there was a £6 billion black hole in that budget, and that if we had flat cash for the next 10 years, the figure would be £30 billion. The spin doctors added another £6 billion to that figure, and it became the myth that was reiterated.
That myth masked what the Government were really up to, which was slashing the defence budget over that period, and we are still seeing the consequences of those decisions. The right hon. Member for Rayleigh and Wickford (Mr Francois), whom I respect, talked about a 1930s moment. I agree that we are in a 1930s moment—the similarities are there. In the 1920s and 1930s, the Conservative Government cut defence expenditure, including Winston Churchill, who admitted it in later life.
John Spellar
Another key feature of that era was the Treasury’s 10-year rule of basing defence expenditure on the assumption that there would not be a war in Europe within the next 10 years, which rather unravelled at the end of the 1930s.
Mr Francois
I hope this does not come across as nit-picking—it is important. The 10-year rule, which was a rolling 10 years, was not just a Treasury policy: it was the policy of the entire Government, and it was not rescinded by the incoming Labour Government in the 1920s. It was the policy of the whole Government, and it was only rescinded in the mid-1930s, a few years after Adolf Hitler became Chancellor of Germany. It is important to get that right.
Mr Jones
The right hon. Gentleman has got that on the record. I am not going to get into a history lesson about the 10-year rule—I think the history books tell the story—but we have seen what happened from 2010 onwards.
We have had a cut of 40,000 personnel in our armed forces, and it is not just about numbers; it is about experience. Individuals were made compulsorily redundant. If I had made people compulsorily redundant when I was a Defence Minister, The Sun and the right-wing press in this country would have been shouting from the rooftops, but they did absolutely nothing, and we lost experience. One in five of our ships was removed, as were more than 200 aircraft, and the satisfaction rating among our armed forces personnel is now below 50%. We have had a system over the past few years that has wasted money, as we have chronicled in our report, and we actually now have the £30 billion black hole in our equipment budget that was predicted in 2009, as the Chair of the Public Accounts Committee, my hon. Friend the Member for Hackney South and Shoreditch (Dame Meg Hillier), has referred to.
This is not about whether the defence budget is 2%, 3% or 5%. It is about looking at how we have got into this situation, and how we change it—how we face the challenges that confront us today. Whichever party is in government after the next election will have to face those challenges, but we have to get away from British exceptionalism. We have great ambitions to be a global power, like some kind of imperial power. I am sorry, but we are not. We can continue that myth ad infinitum, but unless we link the resource to the ambition, it is not going to work.
For the past few years, we have had the nonsense slogan of “global Britain”—some pre-imperialist view of what we are doing around the world. I am sorry, but it is absolute nonsense. We have to look at what we can do to protect our own defence. The idea that we are going to be a major player in anything that happens in the south-east of the South China sea—that having two offshore patrol vessels based in Singapore is going to deter the Chinese—is nonsense. If anything happens there, frankly, any commitment that we could give is like a gnat on the backside of an elephant compared with what the Americans would be able to do. We have to be realistic about that.
What do we need to do? We need to look at what we must deliver as part of our NATO commitments. We also need to get away from the myth—and it is a myth, in our Army in particular—that we will deliver a force of divisional strength under any NATO commitment. We cannot do it now, we have not been able to do it for quite a few years, and we just need to be realistic about that. We need to sit down with NATO and look at what we can contribute to European defence. Clearly, the nuclear deterrent is a key part of that. However, do we, for example, need a full spectrum Army? No, we do not. We need to plug into our NATO allies, and ask what we can deliver well as part of the overall defence against the threat coming not only from Russia in Europe, but increasingly from China in the north Atlantic as we get global warming and the opening of sea lanes.
There is an idea that we will be sending aircraft carriers around the world. No, we will not. We need to commit them to NATO, and that means some very tough decisions. It also means that we need a mindset change. We have to be honest with the public about this, and say that we will not be able to do everything. There are then some hard decisions to be taken about the armed forces. For example, we should say to the Army, “We’re not going to be doing that, but we are going to do this very well. We will dovetail that into NATO commitments, and actually make a real difference.” There are big decisions that will have to be taken by any Government, whoever gets in after the next election.
Please let us get away from the myth—and it is a myth—that we will be going around the world and intervening in every single conflict. For example, look at the air strikes on the Houthis in the last few weeks. We have contributed four aircraft because we want to be seen to be alongside the Americans, but I would ask: what is the strategy for doing that? There is no strategy. Okay, we have bombed the Houthis, but is that going to resolve the situation? No, it is not. Does it show that Britain is a global power? No, it does not. Frankly, we do not have the resources, unless someone will say that the defence budget is going to be 3%, 4%, 5%, 6% or 7%, but no Government are going to commit to that.
I say to Conservative Members and the commentariat in our right-wing press that they should just be honest with the British people about what we can do. We can and do have a valuable role to play in NATO and we have willing partners that want to work with us. I am certainly very excited about Sweden and Finland joining, although we need to make sure that we actually get those commitments. As I say, some hard decisions have to be taken and there are some home truths for our armed forces. As the Chair of the PAC said, there are capabilities that we will just have to get out of. We will have to say, “We’re not going to do that, but we’re going to do this and we’re going to do it well, and we are going to contribute,” and that will maximise our influence.
On China, people ask: do we just forget about the South China sea? No, we do not. We use our strong diplomacy, and our great and fantastic abilities with technology and other things in those areas, but it is not about deploying people or equipment out there. Frankly, the sooner we get the reality of such a wake-up call, the better. I will always call, and I have always called, for increased defence expenditure, but I will not do so if it is just to try to plug a vision that will never ever be achieved. We need to make sure that we spend that money well.
That leads on to the point about skills raised by my right hon. Friend the Member for Warley (John Spellar). We need to see any defence expenditure as potential growth in our economy. However, we are not doing that if we are giving contracts to the United States, or to Spain for fleet solid support ships, and not thinking about growing our defence industries here. I accept that there has to be international collaboration, but we must have give and take. The idea that the French would ever give an FSS ship contract to a Spanish shipyard, frankly, is just—
Mr Jones
It is laughable, as my right hon. Friend says. We need to make sure that we actually invest, because this is about skills and about ensuring that we have the workforce.
We have seen the effects when we just pull out of such work. We cannot look at our skills base as a tap, which we turn on when we want it and turn off again when we do not. We cannot do so, because we have seen the costs of that—for example, on the Astute programme. To be political, it was again the Conservative Government who stopped building submarines, so we had a gap in skills, and it has taken all the effort recently to rebuild that skills base and ensure we get it back. We must have such a skills base continually, and that has to be done by working with our European allies. Whether the zealots of Brexit and the anti-Europeans like it or not, if we are talking about things such as stockpiles, we do have to work with allies and make sure that we can deliver them through the supply chain we have.
Mr Jones
No. I am sorry, but I do not have the time.
I now come on to what will happen after the next general election. Is there going to be a massive increase in defence expenditure whoever wins the election? No, there is not. We know that, so let us just tell the public that. What we need to ensure is that we get the maximum effect from what we do spend. My right hon. Friend the Member for Wentworth and Dearne (John Healey), who speaks for the Labour party on defence, will—if he gets the job—have a big task facing him if we are successful at the next general election. My heart sinks a little when he talks about reviews. Yes, we need to have a review, but we also need action straightaway.
It is now critical that we take some key decisions, and there are very difficult discussions to be had, not just with the British people about where Britain is realistically in the world today, but with some of the members of the armed forces and the chiefs, in saying, “We’re going to do this, and we’re going to do it well, and we’re going to make sure we are safe as a nation.” Is that defeatism or saying that Britain is finished? No, it is not. I think we have a proud future, and we have some great military and diplomatic assets, including in the way we do things. However, we should not delude ourselves that we will be going back to some pre-Suez or pre-second world war global Britain as an imperialist power. We are just not going to be able to do that, and I think we have to be honest with the British people.
There also now has to be speed. As my right hon. Friend the Member for Warley (John Spellar) said about munition shelling, we cannot have a situation in which it takes a year for munition stocks to be replaced. The tempo has to be increased, so action will have to be taken very quickly. I am all in favour of a review and a study of policy—in the last few years in this country we have lacked any thought-out policy work or strategy, and we need that—but we also need action.
It is a daunting task that will face any Government after the next general election, but let us be proud of the members of our armed forces, who work on our behalf to keep us secure. There is an impression that defence is somehow a Conservative issue; I am sorry, but it is not a Conservative issue. A lot of the men and women in our armed forces come from the poorest and most deprived communities in our country, but they are proud to serve their country, and I think we should be proud of them. We should give them the clear commitment that they have our backing, but be clear with them that we must be realistic about the tasks we ask them to do to keep us safe.
Richard Foord (Tiverton and Honiton) (LD)
I echo the positive words that have been spoken already this afternoon about the reports from the Public Accounts and Defence Committees, and it is timely that we get all this out into the open. In the Budget earlier this month, the Chancellor of the Exchequer said that defence spending “will rise to 2.5% as soon as economic conditions allow.”—[Official Report, 6 March 2024; Vol. 746, c. 846.]
What indications has the Minister had from the Prime Minister and Chancellor about when economic conditions might allow? What are the conditions that might allow, and when might they be met?
This week the Chair of the Public Accounts Committee, the hon. Member for Hackney South and Shoreditch (Dame Meg Hillier), gave an interview to the i newspaper, in which she described “big nasties” facing public spending. She talked about “slow politics”, where decisions are made with a long-term strategic perspective at the forefront. That is especially pertinent when it comes to defence capabilities. As we are entering a period of global uncertainty, it is concerning to read in the PAC report that there are glaring discrepancies around how spending is identified for single services. For example, the report highlights the way that planned spending is reported. Whereas the Royal Navy includes all costs in its plans, creating an on-paper deficit of more than £15 billion, the Army includes only what estimates it can afford, resulting in a running deficit of about £1.2 billion. Had the Army followed the same procedures as the Royal Navy, its deficit would soar to over £13 billion. Such inconsistency in budget reporting is, I am sure, not a deliberate lack of transparency, but it can bring about distrust when it comes to planned defence spending.
The Defence Committee’s “Ready for War?” report stresses the need to replenish our much depleted munitions stockpiles. It highlights that there has been a “hollowing out” over the past 14 years—we have heard that talked about, including from the Dispatch Boxes—but that has been brought into sharp relief by an emboldened, aggressive, nationalist Russian state. If we cannot co-ordinate defence spending in a clear manner, we risk weakening the perception of our defence capabilities. The issue of the budget deficit goes further, with the Committee highlighting a £16.9 billion deficit over 10 years, due in part to rising inflation. We know that defence inflation is greater than other measures of inflation, partly because a lot of our defence equipment is imported from overseas, particularly the United States.
There is a 62% increase in spending on the Defence Nuclear Organisation, and the report states that defence spending would need to increase to around 2.5% of GDP to plug that gap. Ministers are entrenching the uncertainty around budget planning, meaning that important projects risk being deprioritised. At present, the defence budget is thought to be about 2.1%, and some measures try to include our defence commitment to Ukraine, so that it might rise to 2.25%. The MOD said that the difference between 2.25% and 2.5% of GDP is about £6 billion or £7 billion. There are important reasons why that increase might be necessary. Although we spend 2.1% on defence as a whole, around 6% of that goes to fund our nuclear capabilities. Prior to 2010, the UK’s strategic nuclear deterrent was kept out of Ministry of Defence spending measures and held centrally, whereas now it is all included in the defence budget, meaning that our conventional spending has seen a great deal of squeeze over the last decade-plus.
By failing to invest in our armed forces over a sustained period, we have heard cries of operational readiness being affected, and people crying about overstretch. I recall that word from my own service about 20 years ago, when people were declaring that the armed forces were running hot and that they were overstretched. That is why it is essential for Governments to know how much they can commit their armed forces. That comes back to what we used to call the defence planning assumptions about how many operational overseas deployments might take place simultaneously. Up until 2015, those defence planning assumptions were published, but since 2015 they have not been published and have been very much held behind a cloak. I see no real reason from a security perspective or from the point of view of what our adversaries might think, for keeping those withheld. As was pointed out to the Defence Committee, our adversaries probably know our capabilities well, and they will be analysing our intentions. It is arguably better to be transparent about those defence planning assumptions if that means a reduction in the call on the armed forces by other Departments of Government.
In recent years, we have seen that a lot, with Departments having sought to use the armed forces for military aid to the civil authorities, whether for ambulance strikes or to cover for the fire service. The armed forces have been pulled in for those roles and taken away from training, which is essential to their mission. Transparency is very much required.
When that is combined with the persistent issues of repeated cuts and reductions in personnel, our armed forces could be in an even more challenging place than is currently suggested. We really need to sort this out. The right hon. Member for Rayleigh and Wickford (Mr Francois) referred to the recent speech by the Secretary of State for Defence about moving from a post-war period to a pre-war era. I was alarmed to hear that speech. I am an advocate for the Roosevelt phrase,
“speak softly and carry a big stick”.
In talking about moving from post-war to pre-war, I felt that he was doing quite the reverse: investing no new money in defence while speaking with a rather loud mouth.
It strikes me that the Defence Secretary is not doing enough to advocate for spending in private, because he is doing it in public through leaked letters to the Chancellor, as reported in The Daily Telegraph. His predecessor, the right hon. Member for Wyre and Preston North (Mr Wallace), did the honourable and decent thing by stepping away from his Cabinet role when he could no longer tolerate Cabinet collective responsibility in relation to defence spending.
Mr Kevan Jones
Does the hon. Member agree that the strategy the Defence Secretary is employing has nothing to do with defence but is possibly to do with a future bid to become leader of the Conservative party?
Richard Foord
I grateful to the right hon. Member. While I will not speculate on the Defence Secretary’s intentions, I certainly think that has had the effect of putting him out of step with the Chancellor and the Prime Minister such that he is no longer engaged in collective responsibility.
It seems to me that by talking up increases in the defence budget in cash terms rather than real terms, the Government are hiding behind recent high inflation. I will give the House a specific example. Following the publication of the PAC report on 8 March, the Prime Minister’s spokesperson, who was asked to respond to that report, replied:
“We are ensuring that we have the largest defence budget in history”.
That is so much spin as to be like a vortex—it is way off to suggest that. As we heard from the right hon. Member for New Forest East (Sir Julian Lewis), during the cold war, defence spending was north of 6% of GDP. I am not advocating for defence spending to return to anything like those levels, because I recognise that we were dealing then with an eastern Europe in the grips of Russia and very much surrounded by and part of the Warsaw pact, with all its contributions assisting the Warsaw pact inventory, whereas now our spending is very much contributing to NATO’s defence of Europe and the deterrence of Moscow. I would understand the phrase “as soon as economic conditions allow” if we were talking about an absolute cost—for example, the cost of a frigate or a platform, with a price tag—but we are not; we are talking about a relative cost. The Government need to set out what those economic conditions are.
Finally, I turn to land. As we have heard rehearsed in the House many times, the Army is being reduced from 82,500 to 73,000 soldiers. Earlier, Mr Deputy Speaker talked about the considerable expertise in this place, but the greatest defence experience is probably in the other place. Those who rose to the top of their professions in the armed forces now speak with the greatest wisdom on defence. I would therefore like to quote from some of them, starting with three former Chiefs of the General Staff.
In January, Lord Richard Dannatt said:
“The bottom line is numbers do matter… It is a fact that at 73,000 the British Army has never been smaller”.
In March 2021, Lord David Richards said that “mass still matters”. In May 2022, General Sir Nick Carter said that
“in the order of 80,000”
soldiers are required to ensure that the UK could field a full division as part of a combined NATO force.
Although the current Chief of the General Staff is somewhat restricted in what he can say while in post, in June 2022 he said that the UK was facing a “1937 moment”, and that
“it would be perverse if the CGS was advocating reducing the size of the Army as a land war rages in Europe”.
I firmly advocate for the Army to be restored to that 83,000 figure. When will those economic conditions be met so that we might see 2.5% spent on defence?
Martin Docherty-Hughes (West Dunbartonshire) (SNP)
Well, this was a debate that certainly went in directions I never thought it would go.
It is always a privilege to follow the hon. Member for South Shields (Mrs Lewell-Buck), who may be in a different party but is a very good friend on the Defence Committee. I commend the report from the Committee, of which I am once again a member. There are a few things we do not agree on, but on the vast majority of issues we do agree. That brings me back to the old Scottish nation’s motto, which is “In Defens”. I am very much akin to that. I also share some of the issues raised by the hon. Member for Rochdale (George Galloway) on how we do not push ourselves into conflicts that are unnecessary. I may come back to that in a few moments.
I want to come back to the points made by the right hon. Member for Rayleigh and Wickford (Mr Francois) on background and family. I have said umpteen times in the Chamber that my brother served in Iraq and had two terms in Afghanistan as a reservist. I will come back to the specific point on people in the armed forces later. The right hon. Gentleman talked about his dad. My dad is 99. I am lucky my dad is still here. He survived the worst aerial bombardment these islands have ever seen. It was only after about 75 years that the Government recognised that it was the worst aerial bombardment the UK had seen during the second world war. Last Wednesday, I was able to attend, as I try to every year, the 83rd commemoration of the Clydebank Blitz, which took place on 13 and 14 March 1941. I also stood at one of the mass graves in Clydebank on Saturday to lay a wreath on behalf of my constituents. I do so with privilege and in honour of our family of survivors.
I want to pick up on three points relating to readiness in terms of people, partnership and position, and how they link critically to the word resilience, which I think I heard some Members mention. The right hon. Members for North Durham (Mr Jones) and for Warley (John Spellar) are probably sick to death of me talking over several years about resilience, but it is inextricably linked to what readiness should be all about. Let me talk about people first and how resilient are the armed forces.
It is a pity that the hon. Member for Wrexham (Sarah Atherton) cannot be here today—I did tell her that I would mention her today—because she chaired a sub-committee on women in the armed forces, which exposed some of the most profoundly difficult questions and scrutiny in Parliament about recruitment and retention that the armed forces have ever had to face. I hate the term “ordinary ranks”. What does “ordinary” mean—people on the frontline who have to go over the ditch? There is nothing ordinary about that. As I said earlier, my brother did it as a reservist, but the report exposed dreadful questions about women and members of black and ethnic minority communities. Why are we not retaining or even recruiting them? Why, moreover, are young men not wanting to join up? This returns me to the issue of terms and conditions, which I have often talked about.
I remember arguing with a former Chair of the Defence Committee—he is not here, but I see that the right hon. Member for New Forest East (Sir Julian Lewis) has turned up—who was also a former Minister. He had said that members of the armed forces were not employees or workers. That may be the case in law, but they still deliver a service. If we want to retain people, it is critically important that we copy what so many of our NATO allies do in recognising the value and worth of members of the forces—whether in the Royal Navy, the Army or even the Royal Air Force—and recognising their rights, one of which is the right to representation. My party and I have always said that we believe the armed forces require a representative body like the Police Federation.
The kingdom of Denmark, for instance, which paid the blood price in Iraq and Afghanistan, has a very robust armed forces representative body. The problem there is not about recruitment, but about how in God’s name you persuade people to leave the armed forces in Denmark, because it is such a good—wait for it—employer. They are still willing to go over the ditch and take up the cudgels on behalf of their country. That brings us to the question of how we should deal with people here in the UK who may be over-reliant on charitable organisations, which, of course, are very well-meaning and committed.
Mr Kevan Jones
I agree with the points that the hon. Gentleman is making, but I think that there must be a real, radical revolution in the way in which the armed forces not only recruit but employ people. The number of 18-year-olds is falling. We are going to need more flexible employment models enabling people to leave, come back in, have career breaks and so forth. Unless we do that, we will not be able to persuade them to join our armed forces.
Martin Docherty-Hughes
I agree with the right hon. Gentleman, and I am glad that his party has joined mine—I think; I am not sure whether this is still a Labour manifesto commitment—in recommending the introduction of an armed forces representative body. However, a critical issue is how the skills that already exist can be utilised. I cannot believe that I am going to use the word “emulate” when speaking of the United States, but that flexibility is emulated by the United States and also by many of our other NATO allies.
When it comes to readiness and having people on the frontline in the physical armed forces, I am not going to play the numbers game, because this is a political and philosophical issue. It is about how we retain and recruit. I think that fundamental rights for members of the armed forces should be enshrined in law. They should not need to go to those very well-meaning charitable organisations to receive assistance with housing, with their mental health, and even with their physical health. Members of the Danish armed forces who have suffered an injury do not go to a special unit; they go to a Danish national hospital like every other Danish citizen, because there they will benefit from the delivery of a robust public service.
That, in turn, brings me to the way in which the armed forces and, critically, the Army in particular have been challenged during the pandemic. Some former members of the Defence Committee who are not present today kept going on about the need for the Army to step up to the plate in dealing with resilience. The right hon. Member for North Durham has heard me talk about resilience in Committee. It is not, in my view, the role of the Army to pick up civilian action. During the pandemic, the Army in England and Wales had to do that in respect of the Nightingale hospitals, not just in terms of logistics and design but in terms of the actual physical infrastructure. Why was that? It was because most parts of the NHS procurement processes to build the Nightingale hospitals had been privatised years ago. We had taken a very physical state ownership of that civil structure of resilience and readiness out of the hands of the Government and the NHS and given it to private contractors, who have made billions on the back of it.
Let me give a Scottish example, the Louisa Jordan Hospital. The Army stepped up to the plate in helping with the logistics, but they were not required to build the internal structure of the Louisa Jordan. Most of it was in the Scottish conference centre. That internal structure was built through NHS Scotland procurement, because it was fit for purpose and ready to play its part. When we are talking about people, we should bear in mind that readiness is not just about members of the armed forces; it is also about the larger civilian infrastructure.
The right hon. Member for Warley is not present now, but he and I—along with, I think, the right hon. Member for New Forest East—travelled to Washington some years ago with the Defence Committee. Part of our purpose was to understand where our infrastructure was. How, for example, do we transfer, through partnerships between states—critically, within the continent of Europe —a division, or tanks, across bridges and roads which, since the end of the cold war, are no longer equal in terms of weight or infrastructure? How difficult is it to move a tank from a port to, say, technically, the eastern front if that is required? Partnerships of that kind have been allowed to disappear in the post-cold war era.
However, there are other important partnerships, such as the United Nations with its peacekeeping role. It was disappointing that not only the United Kingdom but other countries have had to pull out of Mali, at the instigation of the Malian Government, in the last couple of years. That peacekeeping role is a crucial part of the infrastructure of maintaining international order grounded in the rule-based system. I was also disappointed by the Government’s decision to postpone, or put into abeyance, their investment and funding for the United Nations Relief and Works Agency in Palestine on the basis of a very small amount of information, or accusation, from the Government of the state of Israel in respect of the conflict in Gaza. I hope that the Government recognise the value and worth of that partnership in trying to quell some of the many big problems that are faced in that part of the world.
I think I have had my 10 minutes, but let me end by saying a little about the European Union in relation to partnership and position. I was glad to hear that the official Opposition may now be considering an improved relationship with the EU. We in the Scottish National party believe it is important to have a mutual defence agreement with the EU. As for the question of position, I am a Euro-Atlanticist, and I think it important for us to reposition ourselves, away from the issues of the Indo-Pacific.
I agree with the hon. Member for Devizes (Danny Kruger) about the nuclear proposition. I think that the hon. Member for Rochdale and I are the only Members present who oppose nuclear weapons, but I think there is general agreement on the need to take the deterrent into another budget heading so that we have a full understanding of what that two-point-whatever percentage of GDP is. I hope that the Government will be able to respond to that in the debate today.
Mr Kevan Jones
No, I did not. If the Minister had actually listened, what I said is that our contribution in the event of a crisis in the South China sea would be a gnat on the backside of an elephant. That is very different from what the Minister said.
James Cartlidge
I am grateful for the right hon. Gentleman’s clarification. Either way, I think we can all agree that it is important that we understand the extent to which our armed forces are ready and are out there serving the country as we speak.
Our continuous at-sea nuclear deterrent is entering its sixth decade of service, and our armed forces have helped us to become Ukraine’s most front-footed ally. We have trained more than 60,000 Ukrainian military personnel since 2014, and we are delivering more than £7 billion of military aid to Ukraine within our overall aid package worth almost £12 billion. That support is unwavering, with the recent announcement of our latest £2.5 billion package of military support for Ukraine being a £200 million uplift on the previous two years. Beyond our support for Ukraine, our armed forces are participating in every single NATO mission.
Situation in the Red Sea
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Grant Shapps
There are always good reasons to introduce new capabilities. In fact, I was recently down on HMS Somerset at Devonport, where a system is being fitted and trialled. It is not the case, as it is sometimes characterised, that we are using Typhoons because we do not have another option; our first preference is to work in this way for a range of reasons that I cannot enter into at the Dispatch Box. It is worth noting that when the US carried out actions in Iraq and Syria, its planes flew all the way from the United States, and I am not aware of anybody saying that that was because it did not have facilities closer to hand. We are using the correct facilities for the particular operation, notwithstanding the fact that it is always nice to have new facilities.
Mr Kevan Jones (North Durham) (Lab)
I agree with the Secretary of State that we must always think about our servicemen and women who carry out these tasks. As a former Defence Minister, it is news to me that it is up to the Defence Secretary to agree to any strikes, but perhaps this Defence Secretary has more power than his predecessors.
What is the policy and strategy behind this set of circumstances? I and a number of other Defence Committee members met the Defence Minister of Italy a few weeks ago in Rome. Italy is deploying to the region. How is it that this is now a US and UK-led operation? What are we doing to build alliances with Italy and other European nations that have an interest in doing so? As my hon. Friend the Member for Halton (Derek Twigg) asked, what ultimately is plan B and the long-term endgame?
Grant Shapps
I will avoid getting into the constitutional position of how that authority runs. It would be inconceivable to do that without the Prime Minister, but it is technically the case that the royal prerogative runs to the Defence Secretary, for what it is worth.
I am very familiar with my friend Minister Crosetto, whom the right hon. Gentleman met in Rome. The Italians have, as he knows, opted to join Aspides, the EU operation. We will work closely with our European friends and allies to ensure that that interacts properly with the wider Prosperity Guardian and the direct actions that we are taking. Of course, we welcome action from other friends and allies in that regard.
Oral Answers to Questions
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James Cartlidge
It is brilliant news, and we are delighted to have signed the treaty with Japan and Italy last month. My hon. Friend asks about the impact; it is fair to say that it will have a particular impact on his constituency, which houses the Warton site, where we have our factory of the future for the global combat air programme. I can confirm that a 2021 report by PwC estimated that the programme would contribute £26 billion to the UK economy between 2021 and 2050 and support on average 21,000 jobs per year, many of which will be in Lancashire, Mr Speaker, and particularly in my hon. Friend’s constituency.
Mr Kevan Jones (North Durham) (Lab)
The Minister for Defence People and Families (Dr Andrew Murrison)
I cannot give the right hon. Gentleman a straight answer to that because I cannot remember when the figures were withdrawn, but I can certainly look into it and write to him. On pinch points, he will be aware that, through Haythornthwaite-type processes, we are incentivising people to join parts of defence that are underpopulated at the moment, such as chefs and—
Ukraine
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James Cartlidge
I respect the point that the hon. Gentleman makes, but I hear nothing but total support for Ukraine from the US Administration. They recognise the strategic issues. Let us be clear about this. To all voices in the US and elsewhere, this is not just about Ukraine. As the shadow Secretary of State said earlier, we should not underestimate what the impact would have been, had Russia succeeded early on in terms of other strategic issues, not least China and so on. We have to see the big picture, and that means standing together as allies.
Mr Kevan Jones (North Durham) (Lab)
The Minister is clear about the support for Ukraine from the UK, but does he agree that it is important that we keep full support from our NATO allies? Two weeks ago at the transatlantic NATO forum, I and other delegates were concerned about the lukewarm response from certain members of Congress on continuing support. What more can we do to get the message across to members of Congress that the commitment is not only solid here but also backed by cash, with around $133 billion coming from the UK and the European institutions?
Global Combat Air Programme Treaty
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Grant Shapps
I thank my right hon. Friend for his points. He is right that having a sixth-generation aircraft in our fleet will ensure that we keep ahead. He will know that Typhoons are at four and a half, and the F-35B is a very capable fifth-generation aircraft. Our current plan is to have 48 by 2025, and another 27 after that. For 2035, it is not possible right now to provide an exact number of a sixth-generation aircraft that is yet to be designed and built. As my right hon. Friend the Member for New Forest East (Sir Julian Lewis) pointed out, we do not know quite what the shape of air war will be at the time, particularly with drones, swarms and many other developments. We do know that air combat will continue to be vital in future, and that we will have the best form of air combat available through GCAP.
Mr Kevan Jones (North Durham) (Lab)
I thank the Secretary of State for his statement, delivered in his usual “never knowingly undersold” style. I welcome the treaty, but does he agree that if GCAP is to be successful, he must ensure that we have a vibrant manufacturing base in the UK? I do not know if he is aware or whether his officials have briefed him, but following the completion of the Qatari order at BAE Systems at Warton, there is no more manufacturing taking place at that site. What will he do to fill the gap between delivering the development phase of GCAP and the final aircraft?
Grant Shapps
It is worth pointing out that the Tempest programme, the UK side of GCAP, already employs 3,000 people in this country—I mentioned that £2 billion has been spent so far—and the right hon. Gentleman will be interested to hear that 1,000 of those are apprentices. He asks about a factory run by what is essentially a private business, or rather not Government, in BAE—
Grant Shapps
It is factually true to say that it is a private business. I was going to answer the right hon. Gentleman’s question by saying that he will perhaps be aware that there is further interest in Typhoon around the world. I cannot go into specifics, but I very much hope that it is successful in winning that. As a Government, we will certainly be fully behind that.
LGBT Veterans Independent Review
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Dr Murrison
My hon. Friend will know full well that we cannot write a blank cheque. It is just not possible to do that. Lord Etherton came up with £50 million, which is a significant amount of money. He will have been mindful of other schemes, albeit not directly comparable, in this country and overseas. That is why, I believe, the figure of £50 million was arrived at.
Mr Kevan Jones (North Durham) (Lab)
I thank the Minister for his statement. Recommendation 16 of the report references pensions. In his statement, he said that people can apply for pension that had been accrued, but some individuals will have expected a pension for longer service but been dismissed before they could accrue it. Will that be taken into account, and will next of kin be able to access those pension benefits?
On the £50 million compensation, which is recommendation 28 of the report, I am a little lost to understand how that will be distributed. If the Minister is going to come up with a scheme, I suggest that he looks at the Post Office Horizon compensation scheme, of which I have been on the advisory board for the last year, helping to develop it. We are going to have to look at what elements are taken into account before we get to an accrued sum. Setting up an advisory board or some steering group to work up the scheme would be a good idea—and let me say that I do not think £50 million will even touch the sides.
Dr Murrison
There is precedent for such a scheme, as I say—I hope the right hon. Gentleman will be aware of the Canadian scheme—so we are not starting with a blank sheet of paper, and neither was Lord Etherton.
On pensions, it is important that those who thought they did not have an entitlement to pensions look again, because accrued pensions are accrued pensions and were not forfeit. I take the right hon. Gentleman’s point about pensions that might have been accrued after the point at which individuals left the service. There is no way of restoring those pensions, and I hope he will understand that. It would be incredibly difficult to do that, so I am not going to give him any encouragement that that will form any part of our deliberations in relation to the financial award.