Counter-ISIL Coalition Strategy
Debate between Michael Fallon and Richard Burden(9 years ago)
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Michael Fallon
I can absolutely give my hon. Friend that assurance. Action in Syria, in aid of the collective self-defence of Iraq, is perfectly legal, particularly in an area such as northern Syria, where the authorities are neither willing nor able to act themselves. The action that is taking place is perfectly legal. So far as previous practice is concerned, there have indeed been embedded UK personnel in armed forces for the past 50 or 60 years, and it has never been our policy to announce the embedding in any particular operation, because those operations are matters for the countries of those forces.
Richard Burden (Birmingham, Northfield) (Lab)
When the Defence Secretary sits down at the end of the statement, will he reflect on whether some of his answers have been a little too casual in addressing the serious concerns that have been expressed about the use of embedded forces without the Government first volunteering that information? The House wants the Government to be straight with it, and to be proactive in doing so.
The Secretary of State was asked by the Chair of the Foreign Affairs Committee, the hon. Member for Reigate (Crispin Blunt), about the regional strategy into which these actions will fit, but I was not clear about his response, so will he again say what regional strategy he wishes to pursue in confronting Daesh?
Michael Fallon
On the first point, of course we give the House information about the military operations that we are conducting in Iraq and Syria. We do not announce every operation in the way the hon. Gentleman perhaps envisages, but we are always ready to give information to the House proactively in respect of UK operations for which we are responsible, and that is only right.
I am sorry if my answer to my hon. Friend the Chair of the Foreign Affairs Committee was not clear. I hoped I was making it clear that we agreed with him. This has to be a regional strategy that involves Syria’s neighbours, particularly Turkey, Jordan and Egypt, in finding a way forward for Syria, as happened in Iraq, with a Government who are genuinely open to all parties in Syria and can command the confidence of all sectors.
UK Automotive Industry
Debate between Michael Fallon and Richard BurdenWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
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The Minister of State, Department for Business, Innovation and Skills (Michael Fallon)
Thank you for the way you have chaired the debate, Sir Alan, and for allowing me a reasonably generous time to respond to the points that have been made. I congratulate my hon. Friend the Member for South Staffordshire (Gavin Williamson) on securing this debate on a subject about which he feels passionately. He made an excellent speech, and I want to echo his comments about the Jaguar Land Rover decision to invest £500 million in a new engine plant in his constituency. That is very welcome news indeed and will bring a massive boost to the area and the supply chain, creating some 1,400 jobs. I am pleased that JLR is already making good progress in recruiting to fill those positions. I am also pleased that the Government are able to support that investment with a £10 million grant.
Various points were made by several hon. Members in excellent speeches. I will touch on as many as I can in addressing the three themes that have emerged today: the supply chain and the need to continue to strengthen it; skills and the need to continue to attract people, including women, into the industry; and what we are doing to advance our enormous strengths in innovation, technology and design.
Our economy is growing now, and the automotive sector is contributing hugely to that growth. Last year, turnover in the automotive industry reached an all-time record, exceeding £60 billion, and was up 9% on the previous year. We have overtaken France, and the UK is now the third largest car producer in Europe, just behind Germany and Spain, producing more than 1.5 million vehicles in the UK in 2013. We have the most productive automotive workers in Europe.
Last July, with the industry we set out a long-term strategy—some hon. Members today reinforced the need for that strategy—for growth and sustainability for the automotive sector in our automotive industrial strategy, which will help to keep Britain at the forefront of the global auto market. We are working closely with the industry, through the Automotive Council and the strategy, to remove barriers to growth when we find them, and to create opportunities across the sector.
An excellent example is the co-operation between the Government and industry on an advanced propulsion centre over the next 10 years and investment of £1 billion from both the Government and the industry to help to research, develop and commercialise the next generation of low-carbon technologies, ensuring that the UK stays at the forefront of the design, development, manufacture and use of ultra-low emission vehicles and in so doing helping to secure up to 30,000 jobs.
The Automotive Council met last week to review developments since the publication of the industrial strategy last year. The advanced propulsion centre is progressing ahead of schedule with a senior team in place and two funding competitions well under way, covering innovation and the centre’s location. The council heard that the first successful collaborative research and development projects will be announced later this month with significant public support. A decision on the location of the centre will be made by the executive in the summer.
On the supply chain, the automotive investment organisation reported good progress with early wins and numerous investment opportunities in the pipeline. On skills, the council noted a successful skills bid to the advanced manufacturing supply chain initiative, and continuing progress on the industry employer ownership pilot bid.
Richard Burden
Will the Minister clarify a couple of points about the advanced propulsion centre, particularly the competition around the development of ultra-low emission vehicles? I understand that the budget for that development is £500 million, but it is projected that only £230 million will be spent in this Parliament and there is a question mark about whether any roll-over is anticipated. Will he clarify exactly how much of that £500 million will be spent and how?
Michael Fallon
I am certainly happy to write to the hon. Gentleman about that. The Government have committed our side of the £500 million funding, but we cannot commit expenditure through and beyond the next Parliament. Perhaps the hon. Gentleman will allow me to write to him about that specific point.
Although there has been recent growth and expansion in the centre, and a lot of positive news, we should not become complacent. There is much more to be done to ensure that the growth we have seen in recent years is sustainable, particularly in building the capability and capacity of the supply chain, and I will turn to that now.
My hon. Friend the Member for South Staffordshire is right in saying that there is much more to do to strengthen the supply chain. Currently, only about 40% of the components of a UK-built vehicle come from a UK supplier, so there is clearly an opportunity for us to capture more of the supply chain. Through the strategy and the council, the Government and industry are working together to boost the competitiveness of the UK’s supply chain growth. We are investing some £129 million to strengthen advanced manufacturing supply chains that will create around 1,400 jobs, and we are supporting a Society of Motor Manufacturers and Traders-led project with £13.4 million of funding to help to improve the competitiveness and capability of 38 automotive supply chain companies.
The sector is also benefiting from Government funding worth more than £56 million for a total of nine AMSCI bids across four rounds of the competition. Between them, the projects aim to create more than 3,700 jobs and to safeguard a further 3,800 jobs. The Automotive Council has identified a potential £3 billion of opportunities for UK-based vehicle and engine manufacturers, where components are currently sourced from overseas.
The sector has also been successful in gaining funding from the regional growth fund, and has secured some £236 million in awards from that funding in rounds 1 to 4. To marry the opportunity with investor appetite, the automotive investment organisation, to which several hon. Members referred, aims to double the number of jobs created or secured in the automotive supply chain through foreign direct investments over the next three years to 15,000, and is currently on target to achieve that. It has had some early wins and has many investment opportunities in the pipeline.
The hon. Member for Inverclyde (Mr McKenzie) asked about the supply chain and what I have been doing to help to promote supply chain events. I have attended and spoken at events in London, Detroit and Milan for suppliers in the Po valley, and I have done the same in Tokyo and Nagoya, where tier 1 and 2 component suppliers already have some interest in the UK. I have been working very hard with UK Trade and Investment, and now the automotive investment organisation, to persuade suppliers to increase their presence in the UK and to do more closer to the prime producers.
Oral Answers to Questions
Debate between Michael Fallon and Richard Burden(10 years, 4 months ago)
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Michael Fallon
I, too, congratulate Clifford Springs on its export success, particularly to the United States. UKTI has a team of 39 international trade advisers based in the west midlands. They have supported more than 1,400 companies across the region, including many companies in my hon. Friend’s constituency. They also support more experienced companies and companies of all sizes with advice, information and practical support to build their exports.
Richard Burden (Birmingham, Northfield) (Lab)
The Minister will know that one sector in which exports are great for Britain is the motorsport sector. That is to be applauded. However, does he share my concern that some of the exporting that appears to be going on is the exporting of jobs? That is what is happening at Dunlop Motorsport in Birmingham. It seems to be exporting some jobs abroad, when it has been offered alternative sites in Birmingham and when his Department has been pressing it to stay in Birmingham. Will he redouble his efforts to persuade Dunlop Motorsport to stay in Birmingham, where it should be?
Michael Fallon
My right hon. Friend the Secretary of State has met the company and it was the subject of a debate in the House recently. We will continue to do what we can. However, motorsport is an important and large business sector. I attended the Autosport exhibition in Birmingham recently, as the hon. Gentleman probably did. More than 45,000 people work in the industry across the country and it has a total value of more than £8 billion. We must do everything that we can to ensure that the sector continues to grow.