Spring Statement

Debate between Lord Hammond of Runnymede and Richard Drax

Tuesday 13th March 2018 Commons Chamber

[Mr Hammond]

Just to correct the hon. Lady on a couple of points, the report that she refers to, which was published by the Exiting the European Union Committee, was not done by HM Treasury. It was prepared, as I think she knows very well, by a cross-departmental group of Government economics professionals in response to the criticism that had been levied at the Treasury model that was used before the referendum. Of course it did not model the Government’s preferred outcome scenario; it modelled a couple of standardised outcome scenarios that the Prime Minister has already rejected. We are not going for a Norway model or a Canada model. We are negotiating with the EU for a bespoke solution. When we have made progress in those negotiations, we will model the outcome that we expect to get, and when Parliament comes to vote on this issue—hopefully later this year—it will have in front of it the output of that modelling.

[Richard Drax (South Dorset) (Con)]

I congratulate my right hon. Friend on his upbeat performance, and on standing up for the economy and our country. As a former soldier, may I put in a plug for our armed forces? They undoubtedly need more money. We live in dangerous times. Will he take that into account in the Budget?

[Mr Hammond]

As a former Defence Secretary, I yield to no one in my admiration for the armed forces. I understand the challenges that defence faces and the complexity of the defence budget, with its many long-term projects operating at the cutting edge of technology. In case there is any misapprehension, however, I would like the House to be absolutely clear that defence will receive more than £1 billion of additional funding in each year of this Parliament. It has the fastest-growing RDEL—resource departmental expenditure limits—budget of any Department across Whitehall. We will, of course, continue to consider the specific needs of defence, but I would not like anyone to have the impression that, as I have read in some organs, the defence budget is being cut. It is not—it is being substantially increased.

Class 4 National Insurance Contributions

Debate between Lord Hammond of Runnymede and Richard Drax

Wednesday 15th March 2017 Commons Chamber

[Mr Hammond]

I am sorry to disappoint the right hon. Gentleman, but he will have to wait 30 years. I am not about to tell him what happened in the Cabinet, but he will know that all decisions are the unanimous decisions of the Cabinet.

[Richard Drax (South Dorset) (Con)]

I congratulate my right hon. Friend on his wise and dignified statement today, and thank him for it. Conservative Members understand that we have to live within our means. Is it not time to look at the overseas aid budget and the figure of 0.7% of GDP? I suggest that if we need some money, that is an area we should look at.

Autumn Statement

Debate between Lord Hammond of Runnymede and Richard Drax

Wednesday 23rd November 2016 Commons Chamber

[Mr Hammond]

As I tried to make abundantly clear, I am intending to move away from a micromanagement approach to the budgets of my right hon. Friends, who are perfectly capable of evaluating the arguments, making the decisions and announcing them themselves, and that is what will happen in future. What I will say to the hon. Lady is that I did have the pleasure of meeting Julie, who explained to me the very considerable efforts that have been made so far, and I am delighted that we have been able to support that project.

[Richard Drax (South Dorset) (Con)]

I warmly welcome the announcement by my right hon. Friend of increased infrastructure spending, but I would be failing in my duty if I did not plug the rail connection—not least at Yeovil junction—that will take faster trains to my constituency, where roads are at a premium and we cannot, because we have beautiful countryside, have more tarmac. Can I just tell him that we shall be coming to seek his help with that?

[Mr Hammond]

To be consistent, I would have to direct my hon. Friend to my right hon. Friend the Transport Secretary, who, I am sure, will be delighted to hear his representation.

European Affairs

Debate between Lord Hammond of Runnymede and Richard Drax

Thursday 25th February 2016 Commons Chamber

[Mr Hammond]

My hon. Friend, who served with me in the Ministry of Defence, will know that no one is as alert as I am to the risks of undermining NATO’s crucial role in underpinning the defence of western Europe. We have always been very clear that any role played by the European Union in our defence must be complementary to, and in no way undermine, the role of NATO. I remind him that, when we took part in the counter-piracy operation to interdict terrorists pirating ships crewed by British citizens off the coast of Somalia, it was led by a British admiral based in Northwood, but it was a European Union mission that carried out the task. We have to look for roles in which the European Union can augment our security and safety. We are seeing that across the piece in organised crime and counter-terrorism. We see it today, and we have seen it in past years.

[Richard Drax (South Dorset) (Con)]

rose—

[Mark Pritchard (The Wrekin) (Con)]

rose—

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[Mr Hammond]

My hon. Friend is right. These are the complexities: obviously, if we were outside the European Union, we would not be bound by any foreign policy of the European Union, but, equally, we would not have any influence and, in this case, that influence is decisive because of our veto over that policy. It is a judgment, and people will have to weigh up the pros and cons.

[Richard Drax]

The Foreign Secretary used the expression “the political elites”. He slipped into using it just naturally. The political elites are the main problem, because they ignore the voter. If that goes on, it will just happen more and more.

[Mr Hammond]

Rather to my surprise, I agree with my hon. Friend. I shall use the phrase “the political elites” again in my speech, because he is absolutely right: there is a gap between what the political elites in some European countries are thinking and what their voters are thinking. However, on the subject we are discussing—a putative negotiation on Britain’s future relationship with the European Union—the reality is that our negotiators would have to engage with those political elites.

Ukraine

Debate between Lord Hammond of Runnymede and Richard Drax

Tuesday 10th February 2015 Commons Chamber

[Mr Hammond]

Many Russians living in this country are not exactly friends of the current regime. Indeed, some of them live in pretty much permanent fear of the long arm of the current regime, so I do not think we should tar all Russians with the same brush. We need to be clear that while we have a fundamental disagreement with Mr Putin’s Government, we do not have a fundamental disagreement with the people of Russia. In the medium to long term, we must want to see Russia joining the international community of nations, becoming a normalised economy and the Russian population getting richer, more integrated and freer as the populations of the eastern European countries that lived under the Soviet yoke for so long have now done.

[Richard Drax (South Dorset) (Con)]

I agree with my right hon. Friend that a full-scale invasion could be mounted by Russia if she wanted to—she has the resources and there is nothing we could do about it. Her policy is “softly, softly catchee monkey”—not full-scale invasion, which would of course alert NATO, whose reaction to that would be far more aggressive than it has been to date. I agree, too, that jaw-jaw is better than war-war. However, there surely comes a time when the jaw-jaw no longer works, and we have to ensure that NATO’s counter-measures are up to the standard to meet such a threat. Let me reiterate a point made by my hon. Friend the Member for New Forest East (Dr Lewis) that we in this country and the rest of NATO must meet this minimum 2% commitment to NATO. I hope my right hon. Friend can tell us today that this will be in our manifesto for the general election.

[Mr Hammond]

It is not my role to write the election manifesto for the Conservative party, and still less to announce the details of it from this Dispatch Box today. I have a certain degree of sympathy for what my hon. Friend says, as he will be well aware. It is essential to maintain our defences against Russia’s asymmetric aggression, but it is also important to understand that economic sanctions are now a weapon in our toolbox alongside military forces. We have used them against Iran, and we are using them in respect of Ukraine. They are part of the new pattern of asymmetric warfare. We should hone and nurture these sanctions so that we can use them effectively in the future.

Army Basing Plan

Debate between Lord Hammond of Runnymede and Richard Drax

Tuesday 5th March 2013 Commons Chamber

[Mr Hammond]

The single living and married quarter accommodation in Cyprus is of a very high quality. My hon. Friend may have been there and may know that substantial investment has been made recently in new single living accommodation blocks, so I am not sure that any further investment is planned to accommodate this rotational battalion at the Cyprus garrison.

[Richard Drax (South Dorset) (Con)]

May I suggest that the pressure on realistic training facilities overseas will increase as the demand for training in a smaller area in the United Kingdom also increases? Will the Secretary of State reassure me and Her Majesty’s armed forces that there will be no cutbacks on training, particularly overseas, including multi-arms training and live-fire training, so that our armed forces can be given the most realistic training possible in a suitable environment?

[Mr Hammond]

When billions of pounds are spent annually on equipment and manpower, we are conscious of the importance of ensuring that we hone that equipment and manpower by exercising and training it. It was unfortunate that the previous Government had to cut in-year operational activity in order to balance the books. I hope the measures we have taken and those I have announced today mean that we will never get into that position.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Richard Drax

Monday 25th February 2013 Commons Chamber

[Mr Hammond]

The reference that the hon. Lady cites is specifically to decisions made in 2010. We have received the Committee’s report, we are studying it very carefully and we will publish our response in due course.

[Richard Drax (South Dorset) (Con)]

8. What plans he has for the training of reservists.

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[Mr Hammond]

That is certainly not a precedent that I noticed during my 13 years of opposition.

Let me say this to the right hon. Gentleman. We know that we have set ourselves a substantial challenge in increasing the size of the Army reserve to 30,000. We have a number of measures in train, including a new recruiting campaign which started only 10 days ago. We expect to start to make significant progress this year. We will be publishing details of recruitment and retention figures, and as my right hon. Friend the Minister for the Armed Forces suggested earlier, we will do that periodically and regularly—not, I think, monthly, but probably on a quarterly basis.

[Richard Drax (South Dorset) (Con)]

T4. I understand that it costs about £14 million a year for HMS Bulwark’s sister ship, HMS Albion, to sit in Portsmouth doing not very much. Given the Prime Minister’s new-found enthusiasm for spending on our armed services, may I suggest that some of the money be used to put this wonderful ship to sea—if for no other reason than to help the Department for International Development?

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Richard Drax

Monday 16th July 2012 Commons Chamber

[Mr Hammond]

Indeed. The Government’s policy is to maintain the pressure through the military campaign, while encouraging both sides to come together and explore their tentative early contacts, and also to encourage Pakistan to play a constructive role in this process, because, in many ways, Pakistan holds the key.

[Richard Drax (South Dorset) (Con)]

A senior military source has told me that many soldiers have been taken off promotional courses as a consequence of the G4S shambles. Will the Secretary of State assure me that they will get back on to those courses and will be fully compensated if their course is delayed by, say, a year?

Army 2020

Debate between Lord Hammond of Runnymede and Richard Drax

Thursday 5th July 2012 Commons Chamber

[Mr Hammond]

No. We looked at the option of reducing the size of battalions, so as to avoid the need to withdraw them, but that would have created a tremendous inefficiency. It would have created a top-heavy structure with, proportionately, a large amount of expenditure going on administration. It is simply not right, I am afraid, to talk about the Yorkshires as a regiment that has historically been well recruited. It is a regiment that has had difficulty in recruiting historically. Looking over a 10-year period—the Army does not look at a point in time—the Yorkshire Regiment has been under-recruited consistently.

[Richard Drax (South Dorset) (Con)]

I speak as a former soldier, and I have huge respect for the Defence Secretary. I appreciate that he has inherited a mess and is under orders from above, but I have to say that I think that the announcements the Government are making are very short-sighted. Soldiers I have spoken to, including senior soldiers, all say—and I agree with them—that if the Army is to get smaller, the proportion of professionals must get higher. Would he be prepared to change his mind on that point?

[Mr Hammond]

No. If we are to protect our military output—the capability of the Army—in a world where budgetary constraints mean that we can have only a smaller number of regular serving soldiers, we must integrate more effectively with the reserves and use our contractors more effectively. That is the only way to protect military capability within those constraints.