(4 days, 10 hours ago)
Commons ChamberKeeping our nation safe and preserving Ukraine for the future means showing Putin that we and our European allies have the resolve and the resources to defeat him. Showing him that we would win any war is the best way to prevent a wider conflict. Winning wars is a matter of resources being converted to fighting forces. We lost the first battles of world war two, but we won by converting our greater resources; Lincoln did the same during the American civil war. So it is now; we must reduce Russian resources and prepare ourselves.
Russia’s economy is straining at the seams. Putin’s demand for war matériel is outstripping the ability of his economy to supply it; the official inflation rate stands at 10%, and we may possibly be talking about double that; three quarters of Russian firms face staff shortages; Putin is losing tanks three times more quickly than he can replace them; and his national wealth fund has been halved. However, Russia is still out-producing us in shells and fighting forces, and its armed forces will reach 1.5 million personnel. Russia can rebuild, and Putin will rebuild and come back, so we can and must do more to reduce Russia’s resources.
First, we must seize central bank assets, rather than allowing Putin to use them to rebuild his fighting forces. Secondly, we must strengthen the oil price cap by making London insurance for foreign ports dependent on the proper verification of attestation documents. Thirdly, we need stronger export controls to stop western goods ending up in Russian tanks. That is what we can do right now.
Deterring Putin and defeating Putin are one and the same. Our economic power is greater: NATO’s GDP in Europe is 12 times greater than Putin’s in Russia. Converting that economic power into fighting forces is what we must do next. Prosperity means nothing if we do not have the forces to defend it, so, yes, this is about the percentage that we spend on defence, but for Europe as a whole it is also about so much more than that: long-term orders to build production capacity, securing strategic inputs such as steel, and the ability to scale rapidly if we must.
If we do face war, we must be prepared for it. Fighting a total war—converting an entire nation’s production to maximise fighting forces—is a problem that none of us has ever known, but that could be the economic problem before us: maximising the production of war, guns, tanks, drones. The rough outline of the answer is this: we must figure out national income, decide the maximum portion that can be allocated to war matériel production, and use taxes from those who can most afford them to transfer what is needed to the Government. If demand runs ahead of supply, it will lead to inflation. That means rationing consumption for more investment. Investment will have to go towards war matériel, so capital controls must be in place. We need import controls, and quotas to ensure that inputs such as steel are going towards war matériel. We must prepare for a financial world without lend-lease. Those are the preparations that the Treasury should be making.
We could not foresee the financial crisis or the pandemic, but we can foresee a greater war in Europe. These are the times in which we live. In the darkest days of our struggle against fascism, John Maynard Keynes wrote:
“A reluctance to face the full magnitude of our task and overcome it is a coward’s part. Yet the nation is not in this mood and only asks to be told what is necessary.”
That is where the British people are—a nation that remembers its finest hour—but where are we in this House? Are we preparing for the worst, so that we can prevent it? Are we showing that we will convert our far greater resources in order to protect Europe and ourselves? Are we ready to do what we must? Those are the questions before us.
(1 month ago)
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Let me say very clearly to the right hon. Gentleman that we inherited a position where it was not planned that Albion and Bulwark would go to sea for a single day before they were decommissioned—that was the plan we inherited from the Conservative Government. We are looking at new capabilities as part of the strategic defence review, and the Defence Secretary has also committed from this Dispatch Box to the multi-role supply ship project, to provide littoral and landing capabilities for our brilliant Royal Marines, who have a bright future in the strategic defence review.
I think both sides of the House can agree that our peace and security are founded on strong armed forces. Will the Minister therefore welcome the fact that we are spending £3 billion more on defence this year, as well as our firm commitment to get to 2.5% of GDP?
I agree that it is important that we spend more on defence. That is why the Chancellor laid out from this Dispatch Box that we will spend an additional £2.9 billion on defence in the next financial year. It is also why the Government have laid out our plan to renew the contract between the nation and those who serve. This is about not just kit and equipment but people. Addressing falling morale and poor-quality defence housing matter to our armed forces, and that is why this Labour Government are addressing those issues.
(1 month, 1 week ago)
Commons ChamberThe right hon. Gentleman has huge experience in this field, so he will recognise that I simply will not and cannot get into responding to hypotheticals. He urges me not to allow undue constraint of perhaps established practices or rules where there is a good case for flexibility. I hope he will take as a signal of the serious intent that I will bring, with the approach and return of the Yantar to UK waters, my readiness, as I have reported, to alter the permissions that the Royal Navy was using so that, should the captains of the warships that we deployed to watch and track the Yantar require it, they could go closer, see better and determine more carefully what exactly the Yantar was up to. Like the surfacing of the submarine in November, that was a move to deter and discourage the sort of activity that we simply do not want to see in our waters.
Keeping ourselves safer at home means ensuring that Putin loses abroad, because when Putin is finished in Ukraine—whenever that may be—he will come for more. Defeating him means showing him that we have the resolve and the resource to defeat him in the future. Can the Secretary of State assure me that, as part of the SDR, we will have a way to combat, prevent and protect ourselves from Russia?
I hope the content of my statement—the assertion that the most immediate and concerning threat to the UK comes from Russia—and the action I have taken in response to the Russian spy ship, Yantar, being in our waters again, will reassure my hon. Friend that, exactly as he urges and as the shadow Defence Secretary the hon. Member for South Suffolk (James Cartlidge) has recognised, Russia is a serious menace. In Ukraine, it is fighting the first full-scale war in Europe since the second world war, but as the shadow Defence Secretary said, its aggression particularly in the grey zone—warned about by the heads of the CIA and M16—tells us that this is a regime intent on disruption and on disrupting our way of life. My hon. Friend is right to start by saying that the defence of the UK starts in Ukraine. If Putin prevails in Ukraine, he simply will not stop in Ukraine.