Oral Answers to Questions

Andrew Murrison Excerpts

Monday 30th January 2017 Commons Chamber

[Sir Michael Fallon]

I will not comment—the hon. Gentleman would not expect me to—on the current level of sterling vis-à-vis the dollar or the euro. Suffice it to say that the Ministry, like any other large organisation, takes precautions against fluctuations in currency rates. It is far too early to say—indeed, it is wrong to speculate—where those exchange rates will eventually settle down.

[Dr Andrew Murrison (South West Wiltshire) (Con)]

The Ministry of Defence’s permanent secretary has said that the European Union is “operationally irrelevant” to defence, but does my right hon. Friend agree with me that there are many areas where there is room for continued collaboration, particularly on a project-by-project basis, through the European Defence Agency?

[Sir Michael Fallon]

The permanent secretary agrees with me on these matters. Of course, after we leave the European Union, we will still have the largest defence budget in Europe, the largest Navy in Europe and some major capabilities that our other partners do not have. We will continue to collaborate with our partners, including key allies such as France and Germany, but also northern European allies, on different programmes. Our leaving Europe does not mean that we will not continue to seek the efficiencies that come from future collaboration.