Defence Sector Banking Services: Environmental, Social and Governance Rules

Debate between Lord Pitt-Watson and Lord Robertson of Port Ellen

Monday 26th October 2026 Lords Chamber

[Lord Pitt-Watson (Lab)]

The Government are sympathetic and are putting their money where their mouth is. For example, the British Business Bank’s growth guarantee scheme, which is specifically focused on defence and other SMEs, provides £3.5 billion a year. One example is Kraken Technology, in marine defence, which aims not to be the sole lender but to crowd in private finance as well. The national security strategic investment fund, for start-up companies like the one we were talking about earlier, will invest £100 million by 2029-30. So, again, we have a full consensus and considerable action is taking place on the issues being raised by this Question today.

[Lord Robertson of Port Ellen (Lab)]

My Lords, I refer to my entry in the register of interests. There are still financial institutions in this country which are resistant to the idea of investing in defence. I ask the Minister to encourage them to read last year’s strategic defence review, in which they will see the good reasons we have for investing in defence, especially given the danger this country faces. I also point out that the word “defence” refers to the defence of this country. This country is in danger, and a lot of these companies need the money for investment for the future.