Business of the House

Jeremy Lefroy Excerpts

Thursday 16th January 2014 Commons Chamber

[Mr Lansley]

If we had such an opportunity with the former US Defence Secretary, he would understand that we, like many across the world, have had to take tough decisions on defence spending. However, he would acknowledge that, as a consequence of the decisions this Government have made and the value for money that we are achieving not least in procurement, we have closed that enormous black hole in commitments against resources that our Ministry of Defence had. That has enabled us to plan to spend £160 billion on equipment over the next decade, giving us a formidable range of cutting-edge capabilities. As for the Navy, the new aircraft carrier is almost complete, and the Type 45 destroyers, Type 26 frigates and seven new Astute class submarines are coming into base, which demonstrates that we have the best trained and equipped armed forces outside the United States.

[Jeremy Lefroy (Stafford) (Con)]

The Government’s welcome banking reforms, including the raising of capital, are one part of countering the excessive risk-taking over many years by the banks. Another part of that is for the banks to acknowledge the consequences of that risk- taking. May we have a statement on the slow rate at which banks are looking into things such as the mis-selling of interest rate swaps to so-called unsophisticated investors?

[Mr Lansley]

I am grateful to my hon. Friend for that. The Financial Services (Banking Reform) Act 2013 will allow us to make important steps in ensuring that we have a banking system that is not prey to the regulatory failures of the past. None the less, he makes an important point about mis-selling in relation to interest rate swaps. I know that my hon. Friends at the Department for Business, Innovation and Skills are anxious to make progress in settling that. I hope that the new Financial Conduct Authority will see that as one of its priorities.