Lord West of Spithead
Main Page: Lord West of Spithead (Labour - Life peer)Department Debates - View all Lord West of Spithead's debates with the Ministry of Defence
(4 years, 1 month ago)
Lords ChamberTo ask Her Majesty’s Government what assessment they have made of the value for money to the taxpayer of building the new Fleet Solid Support Ships in (1) the United Kingdom or (2) overseas; and whether any such assessment includes (a) the level of tax paid onshore, (b) any requirement to maintain skilled jobs, and (c) any strategic requirement for a minimal shipbuilding capability in the United Kingdom.
My Lords, it is too early in the procurement process to assess the value for money of building fleet solid support ships in the UK compared to overseas, and it would be inappropriate to comment in advance of a new competition. The Secretary of State has already said that he will make an announcement about the progress of the programme during the autumn, and the criteria for assessing the FSS bids will be produced in accordance with Her Majesty’s Treasury guidelines on seeking best value for money.
I thank the noble Baroness for her Answer. I am delighted that the Secretary of State has classed Royal Fleet Auxiliary vessels as military. These three ships should have been ordered more than three years ago. I hope that the integrated review is concluding that our outward-facing island nation needs a maritime strategy as a basis for its national security. Will the Minister confirm that a maritime strategy needs ships, that the UK’s shipbuilding strategy needs ship orders and that building of military ships will be onshore?
I reassure the noble Lord that it would be a very curious defence capability that did not have a maritime capacity. As we look to the challenges of the global world in the years to come, it seems that a maritime capacity will be an essential part of our capability. The Government are aware of the importance of the UK’s maritime industries. As the noble Lord will be aware, the Prime Minister appointed the Secretary of State for Defence to be the shipbuilding tsar for this very reason. The challenges which the noble Lord articulated are recognised.