Defence Transformation

Lord Davies of Stamford Excerpts

Monday 18th July 2011 Lords Chamber

[Lord Davies of Stamford]

My Lords, given the shortage of time, let me focus on just the procurement issues. My noble friend has dealt with the £38 billion myth. I am very sorry that the Government are still descending to using it. It is of course a completely bogus figure based on, as he said, quite unreasonable assumptions. It is really a very silly, as well as a very disingenuous, piece of propaganda.

Apart from that, perhaps I may surprise the noble Lord—because I believe in giving credit where credit is due—by congratulating him. I do not think that 1 per cent in real terms is enough. I would rather have 1.5 per cent, which is what we had when we were in Government. Of course, the sustainable long-term growth rate of the economy is generally reckoned at being 2.25 per cent. Nevertheless, 1 per cent is considerably better than what we have now got. The noble Lord and his ministerial colleagues are to be congratulated on a reasonably successful outcome on what must have been a very difficult negotiation with the Treasury and, no doubt, with No. 10 Downing Street, but I do not think that they understand much about military matters these days.

I do not resile at all from the critiques I have made in the past, particularly about the disappearance of carrier strike capability, but the announcements that the Minister has made today on procurement are extremely important. I am delighted about the Warrior upgrade. That was the only project, which was a priority of mine, that I failed to get through in my time of office and would have been my first priority after the election if we had won it. The Rivet Joints are an enormously important intelligence asset and it is great news that that is going through.

Fourteen Chinooks is not as good as the 22 which we were going to order but, again, it is a good deal better than nothing, which has been happening up until now. Will the noble Lord say the projected in-service dates for these Chinooks? Obviously, there will be different dates. What are the in-service dates for the Rivet Joint aircraft? What are the expected in-service dates for the new upgraded Warriors with the 45 millimetre cannon and so forth? Will he say how many of the Rivet Joint aircraft and how many of the upgraded Warriors the Government intend to procure?

[Lord Astor of Hever]

My Lords, I am very grateful to the noble Lord for his support. Perhaps I may correct him on what he said about the Prime Minister. I have had a meeting on defence issues with him and I can assure the noble Lord that he takes the whole issue of the Armed Forces and equipment very seriously. Defence of the realm is the first duty of a Government, which he takes very seriously. I am sorry to disappoint the noble Lord there.

The noble Lord welcomed the Warrior upgrade and the Rivet Joint. I can confirm that we will order three Rivet Joints. I do not have the in-service date for the Chinooks. We are very near a point where we can go ahead with the ordering and as soon as I have the in-service date I will make a point of writing to the noble Lord to let him know the answer to that.