(6 years, 5 months ago)
Commons ChamberI think it is fair to say that we are undertaking a combat air strategy because the UK is a global leader in the field. UK industry’s export capabilities in combat air are well known, with £6 billion of exports last year, so we are approaching partnerships across the globe. The Department has written to partners in the US, across Europe and further afield.
The Ministry of Defence is working closely with the defence industry to understand the implications and opportunities presented by the UK’s departure from the European Union. We want to explore how our industries can continue working together, but it is worth noting that current collaborative capability projects, such as Typhoon, are managed bilaterally or with groups of partners, rather than through the EU.
Does the Minister agree that a clear commitment to stay in a customs union with the European Union would provide certainty to industry and investors that they will not be hit by needless tariff barriers after Brexit?
What we need moving forward is a strong relationship with the European Union to ensure that we have as frictionless trade as possible with the European Union. I do not think that remaining within the customs union is a prerequisite for a successful defence industry.
(6 years, 7 months ago)
Commons ChamberI entirely agree with the sentiments expressed by my hon. Friend. I think it is fair to say that when Ministers—including me—meet our opposite numbers from the European Union, they stress the need for other EU countries that are in NATO to fulfil the 2% obligation. It is interesting to note that some of the Baltic states, for example, are very clear about their commitment, but we need some of the larger players in Europe to fulfil their obligations as well.