Defence Acquisition Reform

James Wild Excerpts

Wednesday 28th February 2024 Commons Chamber

[James Cartlidge]

I am grateful to my hon. Friend. He is a champion of the rotary industry, which supports so many jobs in his constituency. It is thanks to the championing of that interest by him and other colleagues who have constituency interests in the procurement that it is moving forward as it is. Obviously it is a competition, so we have to be even-handed and recognise that all three companies have their strengths, but I would emphasise two points about that procurement. First, there is a strong emphasis on UK industrial contribution, particularly in design work. That is the most important work, and it is what we want to see in the UK.

Secondly, there is the huge weighting for exportability. As far as I am aware, Type 31 is the only other such procurement where we have had a weighting for exportability. I want that to be the default so that my hon. Friend can say to his constituents that, because of his campaigning, this procurement will give a strong weighting to UK jobs and prosperity.

[James Wild (North West Norfolk) (Con)]

Defence procurement has been a work in progress since Samuel Pepys, and I welcome the latest reforms. One issue when I was in the Ministry of Defence and then on the Public Accounts Committee was that SROs are in place for a fraction of the contract life cycle. Will the Minister ensure that longer terms apply across all programmes, not just those in the Army? How will the much-needed reforms help get better value for money, particularly for contracts that are awarded without competition?

[James Cartlidge]

My hon. Friend makes an important point about Samuel Pepys. My diplomatic answer would be that defence procurement has perhaps been subject to spiral development for longer than we think. My hon. Friend makes an important point about value for money, particularly for single source. I stress that the changes will come into force at the same time as we are also reforming single source regulations. I will soon have the great pleasure of bringing forward a statutory instrument, which will make a number of changes to single source regulations to ensure that they are optimised. They are a good way of ensuring that the inevitable single source procurement that we will always have in defence, not least in highly sensitive areas or where there is one specialist supplier, is as effective as possible. He makes a very good point.