Defence Modernisation Programme

Lord Tunnicliffe Excerpts

Monday 29th January 2018 Lords Chamber

[Lord Tunnicliffe (Lab)]

My Lords, I thank the Minister for repeating the Statement, and perhaps I may be the first to congratulate him on his birthday. That is the charming bit over.

We welcome the decision to separate out the modernising defence programme from the national security capability review. That, frankly, is not much of a statement because anything has to be better than a Cabinet Office-led NSCR which is financially neutral. But this Statement reads as though one has had access to a whole series of other Statements, so I will confine myself to trying to understand the detail of what it sets out. Early on in the Statement it says:

“Following agreement of the high-level findings of the national security capability review”.


Are the high-level findings of that review already in the public domain? If not, can the noble Earl tell us what the other high-level findings of the review are? Have they been published, and if they have not, will he explain why we have heard about just one finding and not the whole suite?

Later in the Statement we are promised that the national security capability review will be published later in the spring. Seasons of the year can be variable in this place, so can I ask for an assurance from the Minister that we will have a precise definition of “spring”? This morning I took the trouble to google the word and you have two choices: meteorological spring ends on 31 May while astronomical spring ends on 21 June. I will settle for either date provided that we have a commitment that the review is going to be published. The reason I am looking for that assurance is that I think I have been told—I may be misquoting the noble Earl—in one of our many debates on defence that there would be the second annual report on SDR 2015 by the end of 2017. The end of 2017 was last month. Is there to be a second annual report on SDR 2015? If so, when?

Later in the Statement there is slipped in—“slipped in” is unfair, but it is towards the end of a long paragraph—the commitment:

“However, we must do more to ensure that we use our resources effectively and deliver the efficiencies that the department has committed to”.


What are those efficiencies? Are they the ones committed to in SDSR 2015? The noble Earl will know from our debates about defence, of which we have had several in recent months, that virtually nobody believes that such efficiencies are achievable. Indeed, in the areas that one has been able to measure, the reduction in resource has clearly stalled. What does the noble Earl mean by “efficiencies”? Having been in the efficiency business in my professional career, I define “efficiencies” as achieving the same with less resource or achieving more with the same resource. All too often in defence, “efficiencies” has meant cuts. Could we have a categorical assurance that these efficiencies genuinely will be about achieving more with less? If it really is about more with less, why, in the last seven years, have the Government not achieved those efficiencies anyway?

Later in the Statement, we are told that the “programme”—that is, the defence modernisation programme—

“will involve four strands of work”,

but it then goes on to define only one. What are the other three strands? It sounds very precise and as though there is a very clear plan behind the Statement. If there is, could it be revealed to us? The fourth strand is to look at what is required to contribute to the “three national security objectives”. I am sure that in the tons of paper that the MoD produces I could find what the three national security objectives are, but could the Minister enlighten us as to what the three national security objectives are that the fourth strand pursues?

Following the Statement in the other place there was a debate. Somewhere in that debate there was a commitment by the Government to deliver the report on the defence modernisation programme by the Summer Recess. Will the Minister restate that it will be delivered by the Summer Recess? Could he give us some feel as to the certainty of that, particularly given the failure to deliver previous reports by their due date?

I do not think that the Statement says anything about “financially neutral”, but in the debate that followed the Secretary of State for Defence said on at least four occasions that the defence modernisation review would not be financially neutral. I think he said it four times, but perhaps it was more often. Does “not financially neutral” mean that the Government have decided to provide more money for defence? Presumably “not financially neutral” does not mean that there will be even less money. I hope that is what it means, but could we have a straightforward yes or no answer: is more money to be found for defence? Whatever the answer to all these questions is, I have real trouble in my own mind understanding how a fiscally neutral NSCR will work with a not fiscally neutral defence modernisation review.

[Lord Campbell of Pittenweem (LD)]

My Lords, I join in the congratulations to the noble Earl on his birthday and thank him for repeating the Statement. He must feel, to some extent, that today is a rerun of the discussion we had last Monday. On these occasions tribute is often paid to the Armed Forces, but I have a question on that. What evidence is there of any impact on recruitment and retention as a result of the uncertainty that has surrounded these issues? I also remind the noble Earl that, as some of us in the House will remember, a lot of the language in the Statement is very similar to what we saw and heard in Options for Change and Frontline First. We know that the outcome of both exercises was a substantial reduction in defence expenditure and hence in capability as well.

There are only two passing references to NATO. I press the noble Earl on how far, and to what extent, interoperability with NATO and our other allies will lie at the very heart of the exercise it is now proposed to carry out. As has been said on a number of occasions in response to questions in the other place, the Secretary of State asserted that the exercise would not be fiscal-neutral. Last Monday the noble Earl rather adroitly avoided answering my question as to whether he agreed with the Secretary of State, and indeed the head of the Army, that more money needs to be spent on defence. I offer him another opportunity to answer that question and I hope he will forgive me if I ask: yes or no?