Defence Expenditure (NATO Target) Bill Debate

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Department: Ministry of Defence

Defence Expenditure (NATO Target) Bill

Antoinette Sandbach Excerpts
Friday 23rd October 2015

(9 years, 1 month ago)

Commons Chamber
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Bob Stewart Portrait Bob Stewart
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I have no idea; it may well be.

Antoinette Sandbach Portrait Antoinette Sandbach (Eddisbury) (Con)
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I do not know whether my hon. and gallant Friend had the same experience as I did during the election in May, but many of my constituents expressed to me their concern about defence spending and the fact that the 0.7% had been enshrined in law. They wanted the 2% to be enshrined in law too, because they wanted to see that commitment.

Bob Stewart Portrait Bob Stewart
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I thank my hon. Friend for that point. I know exactly why her constituents said that: among them are valued members of the Cheshire Regiment, who live around her constituency. Cheshire has always been dead on for defence.

Why should each American citizen forfeit his or her right to spend so much more on social programmes, as Europeans do? That is unfair. We are now committed to spending 0.7% of gross national income on overseas aid— well over one third of the defence budget. I have heard rumours—admittedly, they may well be fallacious—that in late March, British officials were running around places such as Geneva throwing money at aid organisations to reach that target.

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Antoinette Sandbach Portrait Antoinette Sandbach (Eddisbury) (Con)
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I am grateful to have been called to speak in the debate, Mr Deputy Speaker, because, as my hon. and gallant Friend the Member for Beckenham (Bob Stewart) pointed out, my constituency, through its link with the Cheshire Regiment, has a proud history of service in the armed forces, and not just in the Army. The key point of importance for my constituents is not only the defence of the realm but the role of the armed forces in upholding the rights of others. That is particularly important in my family, as my mother was liberated, along with her family, by British regiments during the occupation of the Netherlands by the Nazis. Many others in this House and in wider society understand the huge debt of gratitude we owe to those servicemen and women who put their lives on the line for others.

Bob Stewart Portrait Bob Stewart
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Would it not be absolutely wonderful for my Cheshire friend if the soldiers who liberated her family were from the Cheshire Regiment, which drove through Holland in 1944-45, given that she now represents them?

Antoinette Sandbach Portrait Antoinette Sandbach
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I wholeheartedly agree with my hon. and gallant Friend. My constituents are hugely proud of that.

The role that the British Army and our forces play is key in protecting not only the realm but overseas. My hon. Friend the Member for Romford (Andrew Rosindell) refers to the diverse threats we now face and it is clear that those threats are varied and appear suddenly out of the blue in places where they were not anticipated. We have seen, for example, the rise of Daesh and the threat that that poses to our country.

I know that the Minister appreciates that investment in defence leads to skills that come back into our civilian community, particularly in vital areas such as engineering, communication and cyber-skills. That investment represents an investment elsewhere in our economy and gives a return to us as a country. I urge the Government to support the Bill, as that investment in our country’s future is key. It is not just about the defence of the realm but about the economic benefits that can be gained from the huge skills that that investment provides to the British economy.

My constituents raise the question of the 2% commitment with me regularly, and they do so because they have seen the 0.7% commitment. I agree that we need to support countries that need our assistance, but they do not understand why that commitment can be made to international aid but not to defence.

Kevin Foster Portrait Kevin Foster
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My hon. Friend is making an excellent speech and a powerful point about the economic benefit of the skills people acquire in the military. Does she agree that it is even more pressing when we consider the potential expansion of civil nuclear power, given that virtually every senior nuclear engineer in this country has been trained by our nuclear Navy?

Antoinette Sandbach Portrait Antoinette Sandbach
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I wholly agree. In the context of the north-west and Wales, the new Wylfa B power station is planned and those nuclear skills will be key in securing the energy future of our country. My constituents specifically asked me to be present for this debate and to make the point that they urge the Government to stick to the minimum commitment of 2% to be spent on defence and to consider increasing the budget. For them and their families, the security and defence of the realm is hugely important. They understand and appreciate that that investment in defence leads to broader economic benefits. I am grateful to my hon. Friend the Member for Aldershot (Sir Gerald Howarth) for introducing this Bill so I can support it today.

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Rachael Maskell Portrait Rachael Maskell
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I will come on to our defence strategy later in my contribution.

The first duty of any Government is to ensure that we have the capacity and capability to defend ourselves against current and future threats, while ensuring that every precaution is taken to safeguard those who put themselves in danger for our security. The Opposition are determined to scrutinise each decision the Government take and ensure that there is a modern and strategic plan to maximise our security.

As the party in power, Labour consistently spent well above the minimum 2% NATO target, and we therefore embrace the principle that the Bill is intended to achieve. In 2006 NATO recognised the sharp decline of an average of 10% in many of its European members’ defence budgets, but we have witnessed an even sharper decline in the UK, with the Conservative-led Government cutting the defence budget by 18% between 2009-10 and 2014-15. We can thank the current Administration, and the previous Conservative-led Administration, for the scepticism about our defence budget. Because of such actions by the last Government, and by other European countries, an agreement was made through NATO that Governments should commit to apportioning 2% of their GDP to defence spending. Under a Labour Government in 2006, Britain was recognised as the largest NATO contributor of its GDP to defence outside the US.

At the September 2014 summit in Wales, progress had not been made, so the nations again embraced the 2020 minimum target of 2% with renewed commitment, although it must be noted that no nation has enshrined that target in its domestic law. In fact, academics have been quite critical of the 2% target, as it does not commit to how much investment should be hypothecated, for instance, for research and development to provide cutting-edge technology. Even with a 2% spend, the proportion of national defence spending does not necessarily align with the capability that a nation is willing to deploy and how relevant its equipment is to the challenges faced in any particular operation.

I am sure that a further air of scepticism has developed among Members, because if a statutory 2% of GDP is apportioned to defence, we know that it will be met, even if that happens through creative cross-departmental definitions involving wider security. As the NATO report on financial and economic data highlights, and as we have heard in the debate, the UK is projected to spend 2.08% of GDP on defence this financial year. However, when measured against the NATO determinants, spend sits at 1.97%, and that is before accounting for the £500 million cut to the MOD announced on 4 June. So let us be clear: Labour Governments deliver on the minimum 2% target, and it is only since 2010 that the target has been put at risk. Indeed, it is at risk this year.

Stretching definitions to wider defence and security interests does not make our shores safer. Not putting the 2% into statute enables a more honest assessment of our capability and spend. I mention both capability and spend because output is more significant to Labour Members than input. To give an example, £800 million is being spent on military pensions, which the Government have now classified as defence spending. Spending on the single intelligence account, from which MI5, MI6 and GCHQ derive their funding, has also now appeared within the Government’s 2% classification, and today we have heard that up to £1.4 billion has been added from other budgets.

Labour is determined that the Government’s defence spending should become not just a smoke-and-mirrors exercise to justify a target, as has happened with so many targets, but that it should reflect a serious commitment to safeguard our security. After the last strategic defence and security review, we were left with aircraft carriers without aircraft, and the UK was left without any maritime patrol capabilities. Shamefully, serving personnel were left without the most up-to-date equipment.

Antoinette Sandbach Portrait Antoinette Sandbach
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Will the hon. Lady give way?

Rachael Maskell Portrait Rachael Maskell
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I am going to continue at this time.

Even this week, we heard in Defence questions about how old equipment, not the most up-to-date, is being used for training. Not only do such decisions seriously shrink our capability in proportion to spend, they also create risk. There is clear nervousness among the Government’s own Back Benchers, which is why they want to tie the hands of their Front Benchers today so that that can never happen again.

Labour Members can therefore understand the concerns that have been raised throughout the House as a result of the last strategic defence and security review, which was neither strategic nor sought to maximise our security. The huge scale of the cuts driven by the Chancellor since 2010 has placed ideology ahead of our national security. Labour is taking a different approach to defence spending. We have already announced that we will carry out a strategic review of our security, which will be evidence-led to ensure that our nation is safe and that we secure strong global partners in defending those at risk and creating a safer world.