(1 day, 11 hours ago)
Commons ChamberI do indeed, and my hon. Friend is right. Firms such as that in her constituency hold the future of our security and our economic growth. That is why we have set up UK Defence Innovation and ringfenced it with at least £400 million in the Budget this year, with fresh freedoms. We have also doubled to £4 billion the amount of money that we will invest in British drones and autonomy over this Parliament.
    
        
    
    
    
    
    
        
        
        
            Gurinder Singh Josan 
        
    
        
    
        A key ingredient in strengthening the industrial base is the innovation that our companies bring to the table. A&M EDM Ltd in my constituency is a specialist engineering company working with aerospace, automotive, Formula 1 and other industries. When I visited recently, it was testing a drone engine that it had designed and built, with most parts being produced in house. What routes are available to companies such as A&M EDM Ltd to bring that innovation, specialist engineering capacity, and research and development ability to the defence industrial supply chain?
UK Defence Innovation has been set up to transform defence’s innovation system. One of its priorities is to foster collaboration with small and medium-sized firms in fields beyond defence, just like A&M EDM Ltd in my hon. Friend’s constituency. I have set out my determination to see Britain become the best place to start, grow and invest in new defence companies.
(7 months, 1 week ago)
Commons Chamber
    
        
    
    
    
    
    
        
        
        
            Gurinder Singh Josan (Smethwick) (Lab) 
        
    
        
    
        A lot has happened since the last defence oral questions six weeks ago. The Prime Minister announced the largest sustained increase in defence spending since the end of the cold war, hitting 2.5% of GDP by 2027 and 3% in the next Parliament. I chaired the Ukraine defence contact group of nearly 50 countries—the first European Defence Minister to do so—which secured an extra €1.5 billion of military support for Ukraine. With France, the UK is leading plans to put together a coalition of the willing to secure a peace deal in Ukraine; 31 nations joined a planning meeting last week at the permanent joint headquarters, and there are further meetings there this week as we accelerate that planning. This is a Government stepping up on European security, on Ukraine, on defence spending and in all areas. This is UK leadership in action.
    
        
    
    
    
    
    
        
        
        
            Gurinder Singh Josan 
        
    
        
    
        The Government’s commitment to use defence procurement to strengthen our industrial sector is welcome. Will the Secretary of State please outline how the Government are supporting local manufacturers across the UK and ensuring that defence contracts contribute to long-term industrial growth and job creation? In particular, how are they encouraging and supporting companies such as Pargat Housewares in my constituency, which is a private, ethnic minority-owned business and one of the UK’s largest producers of pots, pans and bakeware using advanced and extremely energy-efficient techniques?
My hon. Friend is right that SMEs are often the drivers of productivity and innovation. We recently announced that we will be setting targets for an increasing share of defence contracts to go to SMEs, alongside the formation of a new defence innovation office.