Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Edward Leigh

Tuesday 6th November 2018 Commons Chamber

[Sir Edward Leigh (Gainsborough) (Con)]

T1. If he will make a statement on his departmental responsibilities.

[The Chancellor of the Exchequer (Mr Philip Hammond)]

My principal responsibility is to ensure economic stability and the continued prosperity of the British people, and I will do so by building on the plans set out in last week’s Budget. This is a Budget that supports our vital public services, such as the NHS, invests in Britain’s future, keeps taxes low and continues to reduce the nation’s debt. It is a Budget that shows that the hard work of the British people is paying off and that austerity is finally coming to an end. We have turned an important corner in this country and a bright, prosperous future is within our grasp.

[Mr Speaker]

Hopelessly long.

[Sir Edward Leigh]

As our economy is cyclical and sooner or later there will be another recession, will the Chancellor take this opportunity to deny the claim that by spending an extra £30 billion by 2023, we are going to be taking out of the economy exactly the same proportion as Gordon Brown did at the end of his chancellorship? Will the Chancellor assure me that we remain as committed as ever to fixing the roof while the sun shines and that he has a firm plan to reduce the debt?

[Mr Hammond]

Yes, I have a very firm plan to reduce the debt. My hon. Friend will see from the Office for Budget Responsibility forecast published last week that the debt will fall from over 85% of GDP to below 75% by the end of the forecast period. But my right hon. Friend the Prime Minister and I have decided to take a balanced approach, where reducing the debt has to take place in tandem with keeping taxes low, supporting our public services and, probably most important of all, investing capital in Britain’s future.

Spring Statement

Debate between Lord Hammond of Runnymede and Edward Leigh

Tuesday 13th March 2018 Commons Chamber

[Mr Hammond]

First, the right hon. Gentleman knows, as I do, that our economy still faces uncertainty as we go through the negotiation process with the European Union. I am convinced, from every conversation I have had with business leaders and investors, that as we deliver greater clarity about our future relationship with the European Union over the coming months, we will see business investment and consumer confidence increasing. We beat the forecast in 2017. Let us beat it again in 2018. I do believe that economic growth matters. The shadow Chancellor says that it does not matter what the level of GDP is, but I do not agree—[Interruption.] Well, I will send him the quote if he cannot immediately recall what he said. I do believe that GDP matters, because it is what drives living standards. We are putting extra money into public services—£11 billion since I have been Chancellor. I agree that we have a major challenge in the housing market. We have put a significant amount of money—£44 billion—into dealing with the challenge over the rest of this Parliament, but there are significant non-financial constraints on being able to do more, such as physical bottlenecks in relation to skilled labour and materials. But it is something we will keep under review.

[Sir Edward Leigh (Gainsborough) (Con)]

Perhaps the current Conservative Chancellor of the Exchequer could remind the previous Conservative Chancellor of the Exchequer that, given where our electoral support comes from, it might not be wise politics to impose a targeted new tax on our older supports. He could also remind our right hon. and learned Friend that he will be delighted to know that after we leave the EU we will be saving £12 billion a year in contributions.

[Mr Hammond]

I assume that my hon. Friend is referring to the previous Conservative Chancellor but one, in which case I think our right hon. and learned Friend has probably heard him.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Edward Leigh

Tuesday 18th July 2017 Commons Chamber

[Sir Edward Leigh (Gainsborough) (Con)]

T3. To promote the drive towards world free trade, will the Chancellor of the Exchequer assure the House that he is absolutely, personally and enthusiastically committed to following our manifesto commitment to leave not just the EU at the end of 2019, but the single market and the customs union?

[Mr Philip Hammond]

Yes, I have made it clear on many occasions that when we leave the European Union on 29 March 2019, we will also leave the single market and the customs union. Those are matters of legal necessity. My focus is on ensuring that thereafter we put in place the closest and deepest possible partnership with our European neighbours that will allow us to continue the patterns of trade and business, patterns of security co-operation and patterns of educational exchange and scientific and research collaboration that we enjoy now. That is the best way to protect Britain’s prosperity.

Economy and Jobs

Debate between Lord Hammond of Runnymede and Edward Leigh

Thursday 29th June 2017 Commons Chamber

[Mr Hammond]

My hon. Friend is exactly right, and if he bears with me, I shall continue.

That black hole of £8.6 billion a year and rising in taxation will have to be filled by raising tax on ordinary people, and that was just the manifesto. Since the Leader of the Opposition got his new suit, he has been out and about, flinging spending commitments with gusto at anyone he comes into contact with—another £9.5 billion of unfunded commitments for each year of this Parliament. Added to the hole in Labour’s tax plans, that is an additional £90 billion over the course of the Parliament that has to be raised in taxation on ordinary working families.

Let me say that again for the right hon. Member for Hayes and Harlington: £8.6 billion a year of under-recovered tax, according to the IFS, and another £9 billion-plus a year that his right hon. Friend the Leader of the Opposition added in additional unfunded commitments after the manifesto was published. In short, that is the Opposition’s approach to the type of tough decisions that have to be made every day in government about prioritising limited resources—“Should we do x or should we do y?” His answer is just yes: more everything for everyone, and all of it for free—a catastrophic recipe for economic and fiscal disaster.

[Sir Edward Leigh (Gainsborough) (Con)]

In the 10 minutes or so that my right hon. Friend has been speaking, our national debt has increased by nearly £900,000. Will the Chancellor continue to speak up for hard-pressed taxpayers and make the point that, for all this talk of austerity, the debt is still rising? We have to look after the pennies, otherwise we will be up Queer Street.

[Mr Hammond]

My hon. Friend is absolutely right. The debt is still rising, but next year, for the first time in 20 years, we expect to see it beginning to fall as a percentage of GDP—a remarkable achievement after the trashing of our economy by the Labour party in government.

Libya

Debate between Lord Hammond of Runnymede and Edward Leigh

Tuesday 19th April 2016 Commons Chamber

[Mr Hammond]

May I say to the right hon. Gentleman, whose question, I am sure, is well motivated, that he is approaching this in exactly the wrong way? We are not likely to get the buy-in we need if we, as a bunch of Europeans, go to Libya and say, “Here’s our priority agenda. What are you going to do about delivering it?” What we must do, and what I suggested to my European colleagues last night that we should do, is package the objectives that we want to achieve with the objectives that are priorities for the Libyans. That is the only way that Prime Minister Sarraj will be able to sell to the Libyan people a package that in any way questions Libya’s territorial sovereignty and that allows foreigners to operate in Libya’s waters. We must be acutely sensitive to the concerns in Libya about foreigners. I am in a rather strange position in that, on the one hand, I have one bunch of people in this House who are primarily concerned to ensure that we do not have any foreigners going into Libya, and, on the other, the right hon. Gentleman who is desperately keen to get some foreign naval forces into its territorial waters. The truth is that we must balance this very carefully and get a package that works for the Libyans as well as for the European agenda.

[Sir Edward Leigh (Gainsborough) (Con)]

The Foreign Secretary and the shadow Foreign Secretary speak in grandiloquent terms of Prime Minister Sarraj, a Government of national accord and even a House of Representatives. Any member of the British public watching “News at Ten” last night would have seen our Foreign Secretary and the Prime Minister of national accord holed up in a naval base, unable to leave because they control none of the country. Apparently, they now control three ministerial buildings in a country the size of western Europe. Can we have a reality check, please? Can the Government at last realise that their bid to undermine authoritarian leaders such as Saddam Hussein, Gaddafi, who had a deal with the Italian Government to return migrants, and now Assad has just involved the region in death and destruction? Can we just learn the lessons, try and find a strongman, and do what the Chairman of the Home Affairs Committee wants—and what we all want—and find a way of creating some kind of safe haven for migrants to be returned to?

[Mr Hammond]

The Chinese have a saying that a journey of 1,000 miles starts with a single step. I urge my hon. Friend to view this process in that context. Self-evidently, I did manage to get out of the naval base in Tripoli yesterday and return to these shores.

My hon. Friend is being a little harsh on Prime Minister Sarraj and what he has achieved. There is a process going on whereby militias—who, only a couple of weeks ago, were threatening to shoot down any aircraft seeking to enter the airport in Tripoli bringing his Government back into the city—are now patrolling the streets outside that naval base and were present on the ground when I landed in Tripoli yesterday. They have recognised and given tentative consent to this Government process to go forward. Its success will depend on Prime Minister Sarraj making the right judgments and being patient enough to bring all the relevant parties with him as he develops a plan for his Government.

European Affairs

Debate between Lord Hammond of Runnymede and Edward Leigh

Thursday 25th February 2016 Commons Chamber

[Mr Hammond]

Yes, it has. First as Defence Secretary, and now as Foreign Secretary, I have seen how, in practice, working with EU partners is an important tool in our armoury. Of course, the EU will never, in any way, replace the security benefit that we get from NATO; it does a different thing. However, we have seen in the conflict over Ukraine that economic sanctions—which, in reality, are the only practical weapon available to us in responding to the challenge of Russia—when properly honed and consistently used by the European Union, will prove to be a very important weapon in our armoury against Russian aggression.

[Sir Edward Leigh (Gainsborough) (Con)]

This Government have rightly been critical of previous Governments for not having an independent audit of our national finances, and they have set up the Office for Budget Responsibility. [Interruption.]

[Sir Edward Leigh]

Well, back to my theme. We have set up the Office for Budget Responsibility. The Foreign Secretary is rightly doing a sort of cost-benefit analysis of this issue. Why do the Government not institute an independent study, by a genuinely independent body, to go in some detail into the effects of a Brexit, plus or minus, on, say, GNP? That would surely be very useful.

[Mr Hammond]

The problem with the challenge my hon. Friend presents—it is going to be a recurrent theme in this debate, I suspect—is that we simply do not know what the counterfactual is. We do not know what Britain’s situation outside the European Union would be. We do not know whether a deal could be negotiated with the remaining 27. We do not know what free trade agreements could be negotiated with other parties, and we do not know on what timescale those could be achieved. We do not know what damage would be done to our economy in the meantime. I fear that the objective analysis my hon. Friend is seeking might be very difficult to achieve.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Edward Leigh

Tuesday 23rd February 2016 Commons Chamber

[Mr Hammond]

I very strongly agree with the right hon. Gentleman that now is not the time to send Russia any signals of compromise or of pulling back. The only language that Mr Putin understands is the language of strength and, I am afraid, the language of confrontation. When unacceptable behaviour on the scale that we have seen in Syria occurs, we have to stand up to be counted, however inconvenient that may be for some who have to be counted.

[Sir Edward Leigh (Gainsborough) (Con)]

Whether we like it or not, Russia is an essential prerequisite to any successful talks. The American Secretary of State has a close working relationship with the Russian Foreign Minister, talking to him nearly every week. When did the Foreign Secretary last talk to the Russian Foreign Minister and what is he doing to improve his personal relationship with him?

[Mr Hammond]

Our relationships with our Russian counterparts are difficult. I last spoke to Sergei Lavrov on 11 February during the Munich International Syria Support Group meeting where he and I had some prolonged and robust exchanges around the table. I do speak very regularly with the US Secretary of State, most recently meeting him on Saturday morning, so I am very much aware of the discussions that he is having with our mutual Russian counterpart. The problem is that Russian policy on Syria is made not in the Russian Foreign Ministry, but inside a tiny cabal around President Putin at the heart of the Kremlin.

Ukraine

Debate between Lord Hammond of Runnymede and Edward Leigh

Tuesday 10th February 2015 Commons Chamber

[Mr Hammond]

I shall take that question in two parts. I agree with the first part. It is important that we have a strong EU response. We have already demonstrated, in relation to Iran, that the economic weapon can be a hugely important strategic tool. The EU and the US together represent about 46% of the world’s GDP, so if they align to impose economic sanctions on a third party, they will have an impact. We have shown that that is an important strategic weapon. NATO, of course, remains the cornerstone of our hard defence, and we must maintain the strength of that organisation, including by maintaining European NATO members’ level of defence spending in order to make a fair contribution and balance that of the US.

It is simply not true, however, that we are peripheral in this debate. It is true that we are not leading the discussions with Mr Putin. Mrs Merkel talks to him in Russian, and he talks to her in German; they have common languages and communicate with each other. We should use the best channel available, and that communication channel is the best available for that part of the task. We, on the other hand, are focusing on maintaining the backbone of the EU. Any of my EU colleagues who have been present in the Foreign Affairs Council meetings will confirm that we have been boringly insistent on the need to maintain these sanctions, however long the discussions take. We cannot afford casually to reduce our stance, because the Russians will take any sign of weakness or division, and open it out in a way that will be fatal to our position.

[Sir Edward Leigh (Gainsborough) (Con)]

With respect to my right hon. and learned Friend the Member for Kensington (Sir Malcolm Rifkind), there is no point making war-like noises unless we are prepared to engage in war and see our sons and daughters die. The reason European public opinion is so relaxed is that we do not have a great stake in this matter. We talk about, “Putin this, Putin that”, but it is not just him; the overwhelming majority of Russians believe, for better or worse, that eastern Ukraine is inhabited by Russians who want to be autonomous and for centuries have been associated with Russia. If we go down the route advocated by my right hon. and learned Friend, we will have war without end. Russia could be in Kiev within four days. Surely we should support the present Foreign Secretary and the German Chancellor in trying to find a peaceful solution based on an autonomous eastern Ukraine.

[Mr Hammond]

My hon. Friend could hardly expect me to disagree with that last sentiment. His point about Russian public opinion is, of course, true. Sadly, nationalism is easy to whip up, and at the moment Mr Putin is riding on a tide of nationalist sentiment, but as we move through 2015 and the consequences of his actions begin to bite on Russian consumers—let us remember that the entire burden of the economic sanctions and the decline in the oil price is effectively being transferred to Russian consumers in the depreciation of the rouble—they will find life getting very difficult, and I suggest that such a level of public support might not last.

European Union (Referendum) Bill

Debate between Lord Hammond of Runnymede and Edward Leigh

Friday 17th October 2014 Commons Chamber

[Mr Hammond]

It is very clear what the Bill provides. It will be the general election franchise that applies. That is the right franchise to use for a referendum of the whole of the United Kingdom.

There are some, on both sides of the House, who may want Britain to leave the European Union come what may. They are entitled to that view, but it is not one that I share. There are others, mainly on the Opposition Benches and the Liberal Democrat party, who want to stay in the EU come what may. They are entitled to their view, but it is also not one that I share. No change is not an option. The status quo in Europe is not in Britain’s interests, or in the interests of anyone in Europe. So what most of us want to see is a radically reformed Europe; a Europe where powers flow from Brussels back to the nations, not the other way round; a Europe of co-operating nations, not a European superstate; a Europe of open markets and free trade arrangements with the world beyond; a Europe that can out-compete the best in the world, without red tape and regulation weighing it down. But most of all we want to see a Europe on which the British people have had their say. Whether we think that the European Union is perfection beyond improvement, like Labour, or irredeemably flawed, like a few of my hon. Friends, or, indeed, capable of the substantive reform that most of us on the Conservative Benches seek, we should all be able to agree that, after all the reform and renegotiation, after everyone has had their say, the ultimate decision on whether to go or whether to stay should rest with the British people.

[Sir Edward Leigh]

I agree with everything that the Foreign Secretary is saying on this point of renegotiation. Surely in Europe, particularly in Germany, they are so desperate that we stay in—quite rightly—that we can have a substantial renegotiation, and in particular we can reclaim control of our borders.

[Mr Hammond]

That is exactly the message I get as I travel around Europe. Germans, Dutch, Swedes and others understand Britain’s critical role as a balancing weight in the complex structure that is the European Union. They understand that, without Britain, the European Union would change fundamentally, and in a way that would be fundamentally inimical to their national interests. So we can have this negotiation. I am confident that we will be able to have a serious and proper discussion with our European colleagues.

The key point is that, on the basis of my hon. Friend’s Bill, when we have completed the negotiations and brought back the result, the question will not be whether Parliament thinks that the outcome is good enough, but whether the British people do. That will be good not only for our democracy, but for our negotiating position, because our partners in Europe will know that they cannot do deals with politicians in smoke-filled rooms; they will have to come up with something meaty and substantial that will work for the British people.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Edward Leigh

Monday 14th July 2014 Commons Chamber

[Mr Hammond]

I do not have the statistics on the current state of the programme to hand, but it is working and applications are being processed. I am very happy to write to the hon. Gentleman with the exact current state of affairs.

[Sir Edward Leigh (Gainsborough) (Con)]

3. What discussions he has had with his counterparts in the middle east about the situation in Iraq.

--- Later in debate ---

[The Secretary of State for Defence (Mr Philip Hammond)]

I recently travelled to the Gulf for discussions with the Governments of Saudi Arabia, United Arab Emirates, Kuwait and Qatar to better understand the views of our closest allies in the region on the situation in Iraq. There is a shared view that only a political solution, based on a more inclusive Government in Iraq, can turn the tide against ISIS.

[Sir Edward Leigh]

Would this House of Commons not be in a shameful position if, having caused this murderous civil war between Sunni and Shi’a by our wrong-headed invasion of Iraq, we now washed our hands of the situation? Nobody wants to commit ground troops again, but is there not a case to be made for committing advisers and, if necessary, special forces—any means necessary short of ground troops—to show our moral support for the existing Government in Iraq?

[Mr Hammond]

We have made it clear that we believe there are two steps. The first is a political solution to the situation in Iraq. Iraq must have an inclusive Government in order to rally the Iraqi security forces and to be able to provide an appropriate defence against the ISIS incursion. Our focus at the moment is on encouraging the formation of such an inclusive Government in Baghdad. Once a Government with broad legitimacy in the country is established, we will be open to considering requests for technical advice and support from that Government to reinforce the Iraqi security forces.

--- Later in debate ---

[Sir Edward Leigh (Gainsborough) (Con)]

T5. The Red Arrows based at Scampton in my constituency are one of the most popular public faces of the RAF, but unfortunately their Hawk T1 aircraft ends its service in 2018. Can the Secretary of State give me an assurance that RAF Scampton has a future with the Red Arrows and that they will be provided with suitable aircraft?

[Mr Philip Hammond]

The decision on replacement aircraft for the Red Arrows does not have to be made until 2018, but my hon. Friend will have heard the Prime Minister say that, so long as he is Prime Minister, the Red Arrows will continue to fly.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Edward Leigh

Monday 3rd February 2014 Commons Chamber

[Mr Hammond]

The hon. Gentleman is absolutely right. Let me tell him what I had in mind. The French have recently conducted a limited operation in Mali; it was limited in time and in scope, and they have been able to carry public opinion with them on that. We are going to have to recognise, in the face of sceptical public opinion about engagement, that some of the engagements we might wish to propose will need to be quite specifically limited in time and scale in order to gain public assent.

[Sir Edward Leigh (Gainsborough) (Con)]

Assuming that Ministers feel that their job is to protect not only the sacrifices made by the present generation of armed forces personnel but that of previous generations, will they take the opportunity of the debates in the coming months to argue that the sacrifices made by the millions of people who served in the first world war was not part of some European power play, and that it served to defeat militarism and stand up for the freedom of smaller countries?

Armed Forces Restructuring

Debate between Lord Hammond of Runnymede and Edward Leigh

Thursday 23rd January 2014 Commons Chamber

[Mr Hammond]

Let me just be clear about what we are talking about, as although the hon. Lady may understand this, perhaps not all hon. Members do. When people reach their immediate pension point they can leave the Army, notwithstanding the fact that they may be only in their 40s, and take an immediate pension. When somebody is close to, but has not reached, their immediate pension point when they leave the Army through a redundancy, they receive an enhanced lump sum redundancy package to reflect that fact and they still, of course, retain their pension rights when they reach their pensionable age of 60 or 65, depending on what pension scheme they are in. We have looked at the alternatives and concluded that all of them would deliver at least as much unfairness to other groups, and that this is the fairest and most appropriate way to proceed.

[Sir Edward Leigh (Gainsborough) (Con)]

We were told, understandably, that the armed forces had to take their share of pain through the time of recession. Surely, by the same coin, as the economy is growing they can take their share of the gain. If the reserve recruitment programme does not go as well as we all hope it will go, can we at least keep the door open—I am not asking for a commitment now—to once again recruiting more for the Regular Army in the future and increasing it to meet our commitments as they arise?

[Mr Hammond]

I can say two things on that to my hon. Friend. First, unfortunately, the scale of the damage to our public finances is such that, as the Chancellor set out a couple of weeks ago, although the economy may be recovering, we have not yet dealt with the structural deficit we inherited from the Labour party, and it will take some years yet to correct the fiscal imbalances that we face in this country. However, he is right to say that we should never say never, and one of the key drivers in our restructuring of the Army is to ensure that we retain a capability to regenerate force, so that if at some future point our public priorities change or external circumstances force us to change them, we will have the capability within our armed forces to expand again and regenerate that capability.

Aircraft Carriers and UK Shipbuilding

Debate between Lord Hammond of Runnymede and Edward Leigh

Wednesday 6th November 2013 Commons Chamber

[Mr Hammond]

The Type 26 order will not be placed until the design is mature, which will not be until towards the end of next year, and so the hon. Gentleman’s question is premature. A significant number of workers who are nominally based on the Clyde are being bussed on a daily basis to Rosyth to boost the work force during the carrier assembly phase, so the announcement made by BAE Systems should be read in that context. My understanding from Babcock is that the yard at Rosyth has a bright future with private sector work—offshore work—as well as with the programme to assemble both the Queen Elizabeth and the Prince of Wales, which itself will keep the yard busy until 2020.

[Sir Edward Leigh (Gainsborough) (Con)]

Has Whitehall finally learned the lessons from what, from a public accounts point of view, must be one of the worst politically driven, stop-start contracts in our history? Will the Secretary of State assure us that never again will the Treasury insist on delaying a contract for one or two years to save money and end up with a cost of hundreds of millions of pounds more? Just so that the taxpayer knows exactly how much this has cost him, will the Secretary of State repeat what the carriers were supposed to cost originally and what they are now costing us, and when the planes were supposed to be flying operationally from them and when they will actually fly?

[Mr Hammond]

It is always a brave person who says that Whitehall has learned the lessons. I can certainly give my hon. Friend this commitment: as long as I am Secretary of State for Defence, we will not be placing any contracts for things that we have not designed and we will not be driving cost into projects by making announcements of delay that are simply driven by the exigencies of poor budgeting and poor financial control. He asked me to repeat the numbers. When the project was announced in 2008 it had a budget line attached to it of £3.6 billion, but of course when the previous Government first proposed the aircraft carrier project the budget was much less than that, at £2.25 billion. Nobody I have met, in the industry or in the Navy, ever believed the project could be built for £3.6 billion. There was a degree of fantasy accounting going on, the reasons for which I will leave my hon. Friend to speculate upon.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Edward Leigh

Monday 4th November 2013 Commons Chamber

[Mr Hammond]

The targets that we will publish will be national, but the hon. Gentleman is right that there will be different recruiting challenges in different parts of the country. The job for us is to ensure that the Army recruiting centre, the senior officers responsible for it and their recruitment partners, Capita, are agile enough to respond to the data coming in from the front line in the recruitment campaign and flex that campaign accordingly. The plan will not be implemented without change over five years; it will be highly responsive and we will monitor it regularly.

[Sir Edward Leigh (Gainsborough) (Con)]

As the Secretary of State has confirmed again today that failure to achieve the reservist recruitment numbers is not an option, surely there is now no difficulty in his repeating the pledge given by his predecessor that the Regular Army will not be cut until those reservists are recruited.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Edward Leigh

Monday 2nd September 2013 Commons Chamber

[Sir Edward Leigh (Gainsborough) (Con)]

8. Whether his Department has undertaken a cost-benefit analysis of a Trident replacement; and if he will make a statement.

[The Secretary of State for Defence (Mr Philip Hammond)]

A cost-benefit analysis of possible nuclear deterrent systems was carried out for the 2006 White Paper, “The Future of the United Kingdom’s Nuclear Deterrent”. This demonstrated that a submarine-launched ballistic missile system based on Trident was the most cost-effective solution to the UK’s requirement. The recently published “Trident Alternatives Review” supports the judgments made in 2006 and demonstrates that the renewal of the current Trident-based system is the most cost-effective and capable nuclear deterrent for the UK.

[Sir Edward Leigh]

Just because Trident is obviously the best new nuclear deterrent, surely we should still worry about, and be aware of, costs. Given that submarine programmes have a history of vast cost overruns—50% in the case of the Astute class programme—will the Secretary of State assure the House that he is keeping a close eye on costs and that he is broadly confident that he can deliver Trident on time and on budget?

[Mr Hammond]

We have not yet contracted but, as I said in response to the question asked by the hon. Member for Islington North (Jeremy Corbyn), we believe that the costs of replacing the Trident deterrent will fall within the estimates set out in the 2006 White Paper. I should say to my hon. Friend that we have made significant strides to reform the way in which the submarine enterprise is conducted, and we believe that the MOD has a much firmer control of the enterprise’s cost base than has previously been the case.

--- Later in debate ---

[Mr Philip Hammond]

If the hon. Lady cares to read the original interview that General Sir Nick Houghton gave to the in-house magazine, she will see that there is a slightly different slant in that story to that in some national newspapers. The Chief of the Defence Staff was saying that we have perhaps not communicated our vision of Future Force 2020 and what it offers to the people in our armed forces as well as we could or should have done. That is why I included in the list of my priorities that I gave a few moments ago the communication of the challenges and opportunities of Future Force 2020 to our own people.

[Sir Edward Leigh (Gainsborough) (Con)]

T5. Given that for four centuries, Scotland and the Scottish people have played such a glorious part in the defence of our United Kingdom, and that from the battles of Malplaquet and Blenheim to the sands of north Africa and the mud of Flanders we have shed blood together, would it not be a good idea if Armed Forces day 2014 was held in Scotland?

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Edward Leigh

Monday 17th June 2013 Commons Chamber

[Mr Hammond]

I think there is a hypothetical hidden premise in the right hon. Gentleman’s question. The UK has made no decision to arm the rebels in Syria and we maintain our focus on achieving a political solution, in particular at the Geneva II peace conference, and that will be a central theme of the discussions going on right now in Lough Erne. We must, of course, leave all options on the table while the terrible attrition of the Syrian population continues at the hands of the Assad regime.

[Sir Edward Leigh (Gainsborough) (Con)]

8. What plans he has for his Department’s facilities in Lincolnshire and the east midlands.

Future Reserves 2020

Debate between Lord Hammond of Runnymede and Edward Leigh

Thursday 8th November 2012 Commons Chamber

[Mr Hammond]

That would be a separate issue, and I do not want to confuse the two issues. It is an important area, however, and, as the hon. Lady will know, the Prime Minister has recently appointed Lord Ashcroft to act as a champion for veterans’ transition, focusing in particular on how we support veterans out of the service and into employment. I would not want the House to have the impression that large numbers of ex-service people are unemployed, however. Some 90% of those service leavers who are seeking work have found employment within six months of leaving. Given the economic backdrop, I think that is quite a reasonable achievement.

[Mr Edward Leigh (Gainsborough) (Con)]

When I joined the TA, there was no difficulty in getting recruits. There was Monday night in the drill hall with one’s chums, the occasional weekend on Salisbury plain, and two weeks’ camp in Germany. Is there not a real problem now, however, in that the Secretary of State is asking people to devote perhaps one year in five to being in a very challenging and dangerous environment such as Afghanistan? What will happen if we simply do not get the recruits? Does that point not underline the importance of maintaining the standing regular Army, rather than relying on future projections of TA numbers that may not materialise?

[Mr Hammond]

There are different types of recruits and, to put it frankly, I say with the greatest respect to my hon. Friend that someone who is looking to join up in order to prop up a bar on a Monday night and have an occasional outing on Salisbury plain is probably not the person we are looking for. All the discussions I have had with reservists suggest to me that they want to be taken seriously, and they know that a higher training tariff, a greater focus on skills and much more working together with the regular Army—sharing the burden of routine tasks and routine deployments with it—is the way to increase the esteem in which the reserve is held.

What we are doing on the size of the regular Army is determined by the budgetary envelope we have as a result of the black hole in the defence budget that we inherited. The exercise announced today is about ensuring that, notwithstanding that necessity, we maintain the military capacity we need in the future.

Afghanistan (Force Protection)

Debate between Lord Hammond of Runnymede and Edward Leigh

Monday 17th September 2012 Commons Chamber

[Mr Speaker]

Order. Hon. Members should not shout, but I look to a very senior figure on the Treasury Bench not to get over-excited. I knew the right hon. Member for Rayleigh and Wickford (Mr Francois) when he was a very calm and rational 23-year-old. Now he is 48 he should be even more calm and rational. That is what we want to see.

[Mr Edward Leigh (Gainsborough) (Con)]

Can we not just be calm and rational, and concentrate on our national interest, which is our own defence? Given that the old Liberal Imperialist dream of making Afghanistan safe for democracy is dead and that, after 2014, the Taliban will be in control of large areas of the country, why do we not concentrate on our national security, on the use of special forces and drone attacks to keep the heads of the Taliban down, and not pretend that we are in there to fulfil our national destiny of promoting democracy in Afghanistan? It will not happen.

[Mr Hammond]

I have said very clearly that the role of British forces there is to protect Britain’s national security interests. In my judgment, and that of the Government and the military command, that will best be achieved by ensuring the capability of what is now a substantial Afghan security force to hold the ground after 2014, and to contain the insurgency—I do not live in a world where I imagine the insurgency will be defeated by military means—and to create the space for an inclusive, or semi-inclusive, political solution.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Edward Leigh

Monday 16th July 2012 Commons Chamber

[Mr Edward Leigh (Gainsborough) (Con)]

Would any further cuts in the armed forces be unsustainable?

[Mr Philip Hammond]

We have announced all the reductions in armed forces manpower required to deliver the outcome of the strategic defence and security review. The changes announced will allow us to deliver the Future Force 2020 structure in 2020.

Nuclear-powered Submarines

Debate between Lord Hammond of Runnymede and Edward Leigh

Monday 18th June 2012 Commons Chamber

[Mr Hammond]

The hon. Gentleman will not be surprised to hear that I do not agree with any of that; I do not think he listened to the answer to the previous question but one. This is not an increase in the £3 billion previously announced; the part of it that relates to the successor programme was included within that £3 billion.[Official Report, 26 June 2012, Vol. 547, c. 6MC.]

[Mr Edward Leigh (Gainsborough) (Con)]

May I thank the Secretary of State for also announcing this afternoon that he is saving RAF Scampton? We are very grateful. Does that not show the commitment of our party to defence? The issue is all about commitment. Once we commit the money, is it going to be realistically possible for anybody to cancel our Trident nuclear deterrent in the future? The answer is surely no.

[Mr Hammond]

As my hon. Friend knows, a review is being conducted, and we will look at its conclusions. The main gate decision, which will also have the benefit of the ongoing engineering and design work, on how many boats are needed—for example, to provide a credible nuclear deterrent—will be taken in 2016. As for RAF Scampton, I am sure you would encourage me not to go into that, Mr Speaker.

Defence Budget and Transformation

Debate between Lord Hammond of Runnymede and Edward Leigh

Monday 14th May 2012 Commons Chamber

[Mr Hammond]

We have made it very clear that where there is a sovereign capability that needs to be retained in the UK—such as in complex warship building, aerospace technologies and submarine building—we will enter into agreements with the private companies that have that capacity in order to ensure it is sustained. The hon. Gentleman is completely wrong about the MARS—military afloat reach and sustainability—tankers, however. British companies were invited to tender and were involved in the process. In the end, none chose to submit a bid, and the only bid we received from a European company was far in excess of the winning bid, received from a South Korean company.

[Mr Edward Leigh (Gainsborough) (Con)]

Any objective observer would want to congratulate the Secretary of State on the rigour he has brought to his job, but does he accept that balancing the budget may not, on its own, be enough? At other times in our history, we have balanced the budget; we may have done so in the mid-1930s, but we were spending far too little on defence. Is he aware that his greatest task may lie before him: convincing the Treasury, the Cabinet and the people that we simply have to spend a greater proportion of our national wealth on defence in what is a dangerous world?

[Mr Hammond]

What I can say to my hon. Friend is that the chiefs of staff sitting on the armed forces committee have written to me to confirm that, with the budget we are making available, they can deliver the force construct set out in the SDSR for Future Force 2020. I agree with him on this, however: balancing the budget in itself does not solve the problem. Anybody can cut a budget. The challenge is to make sure the money that is spent is spent efficiently and effectively, getting through to the sharp end and delivering the military capability we need. That is why we need to change the behaviours and practices in the MOD, not just the budget.