Defence
Debate between Grant Shapps and Lord Beamish(7 months, 2 weeks ago)
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The Secretary of State for Defence (Grant Shapps)
I beg to move,
That this House has considered defence.
In recent weeks, our armed forces have been required to use force to protect international shipping and to protect our allies. Our armed forces are the best of us; we increasingly need them, and we are increasingly asking more of them as well. When the threat picture changes, the first duty of Government is to respond, which is why this Government have committed to increase defence spending to 2.5% of GDP by 2030, the biggest increase in spending for a generation.
Grant Shapps
I will just make a bit of progress first, keen as the right hon. Gentleman is. That will result in a £75 billion cash boost to our nation’s defences over six years from a flat cash baseline. Although we have had a long-held commitment to hit 2.5% when financial conditions allow, delivering that commitment now involves choices.
Grant Shapps
No, it does not. The outcome from the defence budget, which must be the basis upon which the right hon. Gentleman is judging last year’s, includes supplementaries. In particular, it now includes the additional half a billion, which I can tell the right hon. Gentleman I chose to send to Ukraine as an active decision, rather than it coming into our main budget; I feel that that would have the support of the House. When we include all that, the budget increases. In any case, it already increased by 1.8%.
Grant Shapps
I know that the right hon. Gentleman wants to continue this debate, but the fact is that it does as soon as we include the supplementaries.
Grant Shapps
I will not for the moment, because this point has been discussed ad infinitum. In any case, we are offering another £75 billion in cash terms, which I note that the Labour party has yet to do because the funding requires a determination, in our case, to get the civil service back to pre-covid levels and to help pay for the expansion of our defence. It requires sound economic management and, above all, an understanding that an investment in deterrence today is wiser and less painful than paying to fight a war tomorrow.
Grant Shapps
No, I still have not confirmed that because, before the extra half a billion, if we take the outcome from last year and the amount that was pledged for this year—including supplementaries, to be clear, which is the same basis as last year—it is an increase of 1.8%. However, this is rather beside the point, because since the time we debated this question at the Select Committee on Defence, we have committed to putting in another £75 billion in cash terms from the baseline over the next six years.
Grant Shapps
I think the right hon. Gentleman will want me to complete this section. I would be interested to hear him apply that commitment to his own Front Benchers, because this Conservative £75 billion rise in defence spending is highly significant. It is precisely what our armed forces need to respond to axes of authoritarian states that are trying to reshape the world in their image, and it is the right thing to do.
Grant Shapps
The hon. Gentleman will be interested to know that the way this is presented is entirely the usual way for the Treasury to present increases in spending. If I take him back to the previous cash boost for defence—I think it was £24 billion and it was described, I think, as being over five years—it was presented on exactly the same basis, and I do not remember the hon. Gentleman making the same point then. Regardless of the numbers, surely the point is this: will the Labour party commit to this timeline?
Labour Members said that they wanted to get to 2.5%, and that they would do it when conditions allow. We have now said that we know conditions will allow because of the management of the economy. Will they follow us, or will they send their Back Benchers out to criticise an increase, even though their own Front Benchers will not match it themselves? Perhaps we should not be surprised, given that the Leader of the Opposition, not once but twice backed Jeremy Corbyn—sorry, the right hon. Member for Islington North (Jeremy Corbyn)—to be Prime Minister. The Leader of the Opposition proclaims his support for our nuclear deterrent, yet he has stacked his Front Bench with anti-nuclear campaigners—I counted 11 who voted against Trident—while he goes up to Barrow and claims he is all in favour.
Mr Kevan Jones
The Secretary of State is doing, like last time he came out on this debate, his used-car salesman act. The fact of the matter is clear: the only way we get to £75 billion is if we freeze the defence budget for the next six years. Is he going to do that? Given what he announced last week, will he explain first where the money is coming from, and secondly what is the proportion of resource departmental expenditure limits and capital departmental expenditure limits? There is no detail at all. It is just an empty promise and a political slogan that he is batting around as his usual avuncular self.
Grant Shapps
The way the right hon. Gentleman tries to represent it is simply not true. If it were meaningless, why has his own party not taken the difficult decisions to get to the £75 billion which, to be clear, is the amount additional to what is currently programmed in? He is right that defence budgets may have increased over time, but £75 billion is still the additional figure. If it is so straightforward, why doesn’t he encourage those on the Labour Front Bench to do it? I think I know the answer. He asks how it will be paid for, and it will largely be paid for by cutting the civil service back down to pre-covid levels. Labour Members do not want to cut 72,000 from the workforce of the civil service so that it goes back down to pre-covid levels, and because of that they will not follow us in our commitment. That shows where their choices lie.
Labour Members say they want 2.5% and are keen to see that, but they are not willing to put in place the difficult decisions to reach that. By failing to take those decisions, they will be failing to fund our armed forces if they were to come into office. That would leave our nation more vulnerable, and play directly into the hands of our adversaries, including Putin.
In January, I set out a comprehensive case for increasing defence spending in response to what I described as “a more dangerous world”. After all, Putin is on the march, pursuing wars in the east of Europe while backing greater political influence and assassinations in the west. China has certainly become a lot more assertive in recent years. Russian mercenaries, Islamic extremists and military strongmen have overrun democracies and societies in Africa.
As Iran has nourished and manipulated its proxy militia and groups around the middle east, the Islamic republic itself has for the first time carried out an aerial assault on a democratic near-neighbour, Israel. Its Hamas terrorist allies brought mass murder to Israelis on 7 October, and they have brought pain to the Palestinians—both before and since—with the Hamas approach to running that area. Meanwhile, one of Iran’s other key allies—the Houthis—continues to hold global trade hostage in the Red sea. So, from Moscow to Tehran and from Beijing to Pyongyang, a network of authoritarian states is pressuring allies and our interests. Working together, they are more connected than they have ever been before.
Grant Shapps
I have been quite generous; I will make a little bit of progress.
That is why this Conservative Government will act now. We are going to deliver the greatest strengthening of our national defence since the cold war. Some will argue that the threats we face are perhaps not imminent or existential. They may claim that increased defence spending is not a good use of money, which perhaps should go on other commitments—there are many to discuss—but I argue that we have seen the consequences up and down the country of the more dangerous world that I described in that Lancaster House speech.
In recent years, we have suffered terror attacks. We have also suffered cyber-attacks on business, on Government, as we were just talking about, and on critical national infrastructure. They were mostly not successful, but the amount that it costs to get around them increases all the time none the less. We have suffered intellectual property theft. We have seen Hong Kong protesters dragged into the Chinese consulate in Manchester and beaten. We have seen Iranian journalists threatened and stabbed in London. We have seen former Russian military officers assassinated in hotels in Mayfair and poisoned in suburban homes in Salisbury and, just last month, British citizens charged with setting fire to Ukrainian-linked business units in east London, apparently on the instructions of Russian intelligence.
Grant Shapps
My right hon. Friend is absolutely correct. That is precisely the point, and that is exactly why it is right to invest in Ukraine. I do not want to make this a political speech—
Grant Shapps
This is a serious issue, and I am surprised by that sort of attitude. I want to ask, because it is a serious point, whether the Opposition are now ready to commit to that extra £500 billion if they were elected, because I have yet to hear that confirmed, and that is an important issue for our Ukrainian friends. I accept that the Ukrainians have the Opposition’s support, but they also need the pledge of money and the certainty that this House will provide it, come what may.
Defence Spending
Debate between Grant Shapps and Lord Beamish(8 months ago)
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Grant Shapps
My right hon. Friend is absolutely right. Although this is £75 billion and although it takes our budget to 2.5% of GDP, that is a fraction—a fraction—of what it would cost if Putin were successful in Ukraine. There is no chance he would stop there—none. Other autocrats elsewhere would look at that and exploit the idea that all they have to do is outwait the west and we will get bored of it—through some form of attention deficit—and give up defending the things we said we would never stop defending. That, in the end, would cost us all a huge amount more.
Mr Kevan Jones (North Durham) (Lab)
May I first of all congratulate the Secretary of State on his stellar used-car salesman act, which we have become used to? On 26 March, he appeared, along with officials, before the Defence Committee. His strategic finance director confirmed that next year, when we take Ukraine funding out of the budget, the defence budget falls. Can he tell the House how he reconciles that fact, which was confirmed by his own officials, with his claim today and the Prime Minister’s yesterday to be putting the country on a war footing?
Grant Shapps
I am really sorry that the right hon. Gentleman cheapens what is a very important discussion about the defence of the realm with such a ridiculous remark. We should all come here in the right spirit to discuss these important issues, given the subject matter. He asks about Ukraine. Ukraine is a part of what our armed forces and this country are having to deal with. We do not ask America to strip out its help to Ukraine, in the same way that we did not ask it to strip out its help to Afghanistan or Iraq, because it is part of the core defence budget. Yesterday—I did not mention this in my statement, and perhaps on this basis the right hon. Gentleman may be forgiven—we also said that our enhanced amount of money for Ukraine is not now just for this year, but we are going to carry on doing it every single year into the future. So, yes, it is part of our core expense.
Situation in the Red Sea
Debate between Grant Shapps and Lord Beamish(10 months ago)
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Grant Shapps
There are always good reasons to introduce new capabilities. In fact, I was recently down on HMS Somerset at Devonport, where a system is being fitted and trialled. It is not the case, as it is sometimes characterised, that we are using Typhoons because we do not have another option; our first preference is to work in this way for a range of reasons that I cannot enter into at the Dispatch Box. It is worth noting that when the US carried out actions in Iraq and Syria, its planes flew all the way from the United States, and I am not aware of anybody saying that that was because it did not have facilities closer to hand. We are using the correct facilities for the particular operation, notwithstanding the fact that it is always nice to have new facilities.
Mr Kevan Jones (North Durham) (Lab)
I agree with the Secretary of State that we must always think about our servicemen and women who carry out these tasks. As a former Defence Minister, it is news to me that it is up to the Defence Secretary to agree to any strikes, but perhaps this Defence Secretary has more power than his predecessors.
What is the policy and strategy behind this set of circumstances? I and a number of other Defence Committee members met the Defence Minister of Italy a few weeks ago in Rome. Italy is deploying to the region. How is it that this is now a US and UK-led operation? What are we doing to build alliances with Italy and other European nations that have an interest in doing so? As my hon. Friend the Member for Halton (Derek Twigg) asked, what ultimately is plan B and the long-term endgame?
Grant Shapps
I will avoid getting into the constitutional position of how that authority runs. It would be inconceivable to do that without the Prime Minister, but it is technically the case that the royal prerogative runs to the Defence Secretary, for what it is worth.
I am very familiar with my friend Minister Crosetto, whom the right hon. Gentleman met in Rome. The Italians have, as he knows, opted to join Aspides, the EU operation. We will work closely with our European friends and allies to ensure that that interacts properly with the wider Prosperity Guardian and the direct actions that we are taking. Of course, we welcome action from other friends and allies in that regard.
Global Combat Air Programme Treaty
Debate between Grant Shapps and Lord Beamish(1 year ago)
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Grant Shapps
I thank my right hon. Friend for his points. He is right that having a sixth-generation aircraft in our fleet will ensure that we keep ahead. He will know that Typhoons are at four and a half, and the F-35B is a very capable fifth-generation aircraft. Our current plan is to have 48 by 2025, and another 27 after that. For 2035, it is not possible right now to provide an exact number of a sixth-generation aircraft that is yet to be designed and built. As my right hon. Friend the Member for New Forest East (Sir Julian Lewis) pointed out, we do not know quite what the shape of air war will be at the time, particularly with drones, swarms and many other developments. We do know that air combat will continue to be vital in future, and that we will have the best form of air combat available through GCAP.
Mr Kevan Jones (North Durham) (Lab)
I thank the Secretary of State for his statement, delivered in his usual “never knowingly undersold” style. I welcome the treaty, but does he agree that if GCAP is to be successful, he must ensure that we have a vibrant manufacturing base in the UK? I do not know if he is aware or whether his officials have briefed him, but following the completion of the Qatari order at BAE Systems at Warton, there is no more manufacturing taking place at that site. What will he do to fill the gap between delivering the development phase of GCAP and the final aircraft?
Grant Shapps
It is worth pointing out that the Tempest programme, the UK side of GCAP, already employs 3,000 people in this country—I mentioned that £2 billion has been spent so far—and the right hon. Gentleman will be interested to hear that 1,000 of those are apprentices. He asks about a factory run by what is essentially a private business, or rather not Government, in BAE—
Grant Shapps
It is factually true to say that it is a private business. I was going to answer the right hon. Gentleman’s question by saying that he will perhaps be aware that there is further interest in Typhoon around the world. I cannot go into specifics, but I very much hope that it is successful in winning that. As a Government, we will certainly be fully behind that.
Post Office: GLO Compensation Scheme
Debate between Grant Shapps and Lord Beamish(2 years ago)
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Grant Shapps
I thank my hon. Friend, and yes, we will certainly keep the House fully informed. My hon. Friend the small business Minister will be providing updates as well. I want to pay tribute to my hon. Friend the Member for North West Leicestershire (Andrew Bridgen) for his work on, I think, at least one case in his constituency, where he has helped to keep this subject high on the agenda.
Mr Kevan Jones (North Durham) (Lab)
I thank the Secretary of State for his statement. I also thank the Under-Secretary of State for Business, Energy and Industrial Strategy, the hon. Member for Thirsk and Malton (Kevin Hollinrake). It is nice to see a poacher turned gamekeeper in the Department. Can I also put on record my thanks to the hon. Member for Sutton and Cheam (Paul Scully)? In a long list of useless and indifferent Ministers over the years, he was the only one who actually got it and was determined to sort it out. I would also like to give my personal thanks to Alan Bates and the Justice for the Subpostmasters Alliance, because without them the truth would not have come out, and that happened in spite of the Post Office throwing a tsunami of cash—£100 million—at them to stop the truth coming out.
This is the only scandal I have seen where cover-up and lies ran to the top, not only of the Post Office but, I have to say, of the right hon. Gentleman’s Department. Today represents a move forward, and I welcome what is being done. Does the Secretary of State agree that what we need next, following the public inquiry, is for those individuals who were responsible for ruining people’s lives—in some cases people took their own lives; others who were innocent went to prison—to be held to account? It has to be a determination for the Department to ensure that those individuals—whether they are in the Post Office or in his Department—face the day of reckoning that should be coming to them in a court of law.
Grant Shapps
I again pay tribute, as I think the whole House does, to the right hon. Gentleman’s extraordinary work on this issue. He is right not only to highlight my hon. Friend the Member for Sutton and Cheam, who I have engaged with this morning over this, but to pay tribute to Alan Bates and all the work that he and his team have done. I was talking to him earlier. It was not until he got going in 2009 that this really started to unravel for the Post Office.
To the right hon. Gentleman’s main point, he is absolutely right to say that we cannot allow an injustice such as this to not meet justice. Of course, we have a free legal system in this country, and Alan and his colleagues were saying to me earlier that if it were not for democracy and the freedom of our courts, we would never have got this far. To really get to the nub of the right hon. Gentleman’s point: I agree with him, and we will not allow any process or shyness of what it might uncover to prevent the legal process from being able to run its full course.
International Travel
Debate between Grant Shapps and Lord Beamish(3 years, 5 months ago)
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Grant Shapps
I am grateful for the direct message. Sadly, the pandemic and the virus do not give us much advance notice; we often find that a country is on the green list and we need to move it, as we saw with Portugal and Spain with the travel corridors last year. One thing that we have done to provide a little more forward guidance is use the green watch list, the purpose of which is to help my hon. Friend’s constituents to see when a country may be a bit closer to the amber border and when they would therefore want to be more aware. I hope that that provides a bit of additional guidance, but I will return to the House next month with more details of what double vaccination can mean for people and for the travel industry.
Mr Kevan Jones (North Durham) (Lab)
The Prime Minister has acknowledged that this summer will not be typical with regard to international travel. Regional airports such as Newcastle International rely on the summer season to generate the bulk of their revenue and tide them over during the quiet periods in the winter. Will the Secretary of State look particularly at regional airports this winter? What support can they be given to ensure that not generating revenue over the summer does not lead them into difficulty later in the year, once international travel has opened up?
National Bus Strategy: England
Debate between Grant Shapps and Lord Beamish(3 years, 9 months ago)
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Grant Shapps
First of all, I agree, and I just said, that London has been getting a very nice bite of the cherry with its buses, and we want the rest of the country to get the same. That is the point of launching this strategy. I am afraid that I do not recognise the second point that the hon. Member made. She may be getting confused by the fact that hard-working great MPs who lobby for their local areas may just end up being successful in bringing services to their area. I have no doubt that she will join her area to that list as well.
Mr Kevan Jones (North Durham) (Lab)
Many rural communities rely on bus services provided by small, often family-run businesses such as Stanley Travel in my constituency, who have found it hard during covid because they do not have the resource to capital that some larger companies have. What specific help will be available to such companies to ensure that they not only survive but that those important local bus services continue?
Grant Shapps
The right hon. Gentleman is absolutely right. As ever with the coronavirus, those small companies have had a tough time. It is worth mentioning that we put £240 million, and then £27 million a week, into supporting buses, so we have been pumping in a lot of money without which those services would not have been able to survive at all. Of course, individual smaller companies will have had access to things like furlough. The strategy overall is the sunlight at the end of this, because for the first time there will be a proper strategy that he and his local authority will be able to oversee. I am sure that there will be great opportunities for some of the smaller bus companies as well.
Thomas Cook
Debate between Grant Shapps and Lord Beamish(5 years, 3 months ago)
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Grant Shapps
It is not quite the case that we cannot distinguish, although I take my hon. Friend’s point. We can distinguish between the two, but there is a strong argument for making sure that, when someone books a flight one way or the other, it is insured and that the cost does not ultimately fall on the taxpayer.
Mr Kevan Jones (North Durham) (Lab)
The directors have walked away with millions while hard-working employees of Thomas Cook, such as Jemma Lynch in my constituency, who contacted me at the weekend, have lost their jobs. Will the Secretary of State outline how she and others can contact the Department for Work and Pensions for the help that has been outlined? Secondly, will he comment on the pensioners in receipt of pensions and on the future pension arrangements for those who have already paid into the pension schemes?
Grant Shapps
On the pensions front, I think there are four different Thomas Cook pensions, the largest of which is a £1 billion fund. That will now be handled through the usual insolvency pension fund process. It is, of course, a worrying time for everyone involved. With regard to the constituent the hon. Gentleman mentioned, the DWP is ready for her to make contact through the rapid response unit. If there are any difficulties, will the hon. Gentleman please alert me? I will make sure that the Business Secretary and the taskforce are immediately switched on to any problem that occurs. We are very keen to get realtime feedback on this.
Local Government Finance
Debate between Grant Shapps and Lord Beamish(12 years, 10 months ago)
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Grant Shapps
Before we have a barrage of interventions, let me explain to Opposition Members how we did so.
For a start, my hon. Friend’s local council had an 8.8% reduction in spending power, which was the highest of any authority represented in the House, yet he made the comments that he did. We kept the floors and damping in place, we introduced the transition fund, which continues this year, and we did something that no Government of any size or colour had ever done: we increased the needs index from 73% to 83% in the formula grants.
Grant Shapps
Perhaps when I take the hon. Gentleman’s intervention, he will tell us why he did not encourage his Government to increase the needs formula when they were in power.
Mr Jones
Why is Hartlepool, in the north-east of England, facing a 5.7% reduction in spending per dwelling and paying 0.2%—£5 a dwelling—into the damping fund, while Wokingham’s spending per dwelling is being cut by 1.5%? That surely cannot be fair when we compare the needs of Hartlepool with those of Wokingham.
Grant Shapps
The hon. Gentleman’s own local authority had a reduction of 3.2% this year—[Interruption.] His authority had a reduction of 3.2%, which off the top of my head is slightly less than my local authority’s. Different authorities will experience different reductions. We just heard from my hon. Friend the Member for Great Yarmouth (Brandon Lewis), whose local authority had an 8.8% reduction, yet he sent the very clear message to the House that, because his authority has made some of the right moves, it has been able to cope with the changes.