Oral Answers to Questions

Emma Lewell-Buck Excerpts

Monday 17th March 2014 Commons Chamber

[Mr Dunne]

As I have said to the hon. Gentleman previously, we do not believe it is relevant to look at the location of where we procure equipment. We want to procure the best equipment for our armed forces from the best place. Scotland of course has a significant share of much of our spending, not least through the aircraft carrier contracts, which I saw for myself last week, and much of that defence work would be at risk were Scotland to vote yes in the referendum in September.

[Mrs Emma Lewell-Buck (South Shields) (Lab)]

2. What discussions he has had with the Chancellor of the Exchequer on staff pay and conditions in the new DE&S model.

[The Secretary of State for Defence (Mr Philip Hammond)]

We have agreed with Treasury Ministers that Defence Equipment and Support will be established as a bespoke central Government trading entity from 1 April this year, with the necessary freedom to operate, including freedom, within very broad limits, to set the pay and conditions of its civil service staff.

[Mrs Lewell-Buck]

I thank the Secretary of State for that response, but bearing in mind that bringing private skills into Defence Equipment and Support is likely to create a two-tier work force and, if handled badly, could demoralise an already hollowed-out department, will the Secretary of State update the House on what discussions he has had with employee representatives and trade unions within Defence Equipment and Support regarding changes to employees’ pay and conditions?