Oral Answers to Questions

Philip Dunne Excerpts

Monday 22nd October 2012 Commons Chamber

[Penny Mordaunt (Portsmouth North) (Con)]

6. What the timetable is for the production of the Type 26 combat ship.

[The Parliamentary Under-Secretary of State for Defence (Mr Philip Dunne)]

The Type 26 global combat ship programme is still in its assessment phase, and the timetable for the build programme of the ships will be determined at the main gate investment decision, currently scheduled for the middle of the decade. Build will commence to meet the current planning assumption of the first ship entering service as soon as possible after 2020.

[Penny Mordaunt]

When the carrier work ends there will be more than 200,000 tonnes of warship in Portsmouth dockyard, and 1,000 extra sailors—numbers not seen in my city since the 1950s. There will then be a two-year gap before work starts on the Type 26. Rather than pay more to stretch out those contracts to cover that gap and retain sovereign capability, would it be a better use of funds to build some much-needed ocean patrol vessels? Would, and when might, the Minister consider such an option?

[Mr Dunne]

As my hon. Friend knows, the Ministry of Defence has a terms of business agreement with BAE Systems Maritime Naval Ships. That agreement commits the company to maintain warship design and build capability, and elements of support covering all complex service warships in the UK. The Government continue to work with BAE Systems on the utilisation of shipbuilding capability once work on the current carrier programme is complete. As my hon. Friend knows, Corvette offshore patrol vessels are currently under construction by BAE Systems in Portsmouth for the royal navy of Oman.

[Mr Kevan Jones (North Durham) (Lab)]

I welcome the Minister to his new position. As he will know, there is a long and proud record on the Clyde of building warships for the British Navy, and a complex ship for the British Navy has never been built in a foreign country. Will the contract for the Type 26 ships contain a clause for the event of a vote for an independent Scotland in 2014?

[Mr Dunne]

I thank the hon. Gentleman for his kind words. As my right hon. Friend the Minister for the Armed Forces said, the Government are not currently planning on the basis that the Scottish people will vote in favour of independence in a referendum. The hon. Member for North Durham (Mr Jones) is right to say that the UK has not built a complex warship outside its shores since the second world war, and I believe that the only times it did so during the first and second world wars were in then colonial territories for local use. The Government remain committed to using UK industry to build UK warships.

In the unlikely event that Scotland should decide to separate from the UK, the Scottish defence industry would be eligible to bid only for contracts placed by a future Scottish Government or competed outside the UK, or placed by the UK or other Governments. That is because, as the hon. Gentleman knows, many UK defence contracts are exempted from procurement rules for reasons of national security.

[Stephen Gilbert (St Austell and Newquay) (LD)]

The Prime Minister told the House last Wednesday that the Type 26 programme is “fully funded”. How many Type 26 combat ships are fully funded, and when can we expect to see them in service?

[Mr Dunne]

The hon. Gentleman needs to be aware that the programme is currently in its assessment phase. A decision on main gate assumption is due to be taken in a few years’ time, and the build programme will roll forward from that point. The Government have made some assumptions in the equipment plan, which we will publish shortly, and the hon. Gentleman will be able to glean more information from that once it is available.

[Mr Philip Hollobone (Kettering) (Con)]

7. How many UK service personnel are based in the Gulf; and whether reserves are earmarked for deployment to the Gulf in the event of military action against Iran.

--- Later in debate ---

[Alison Seabeck (Plymouth, Moor View) (Lab)]

I, too, welcome the new Front-Bench team. Two and half years into this Government, there is a hiatus in the decision making on Defence Equipment and Support. Ministers’ views seem to ebb and flow, and indecision is rampant. We need clarity, so when exactly will the Minister set out plans for a Government-owned contractor-operated body—a GoCo—or whatever other body he intends to bring forward?

[The Parliamentary Under-Secretary of State for Defence (Mr Philip Dunne)]

The hon. Lady talks about a hiatus. There were 13 years during which the previous Administration made no attempt to transform procurement within the Ministry of Defence, but this Government are determined to make procurement efficient and effective so that our armed forces can be given the right equipment at the right time and at the right cost. In July, my right hon. Friend the Secretary of State announced an investigation into the GoCo route, narrowing the options for Defence Equipment and Support. A value-for-money exercise is nearing completion, and we expect to make a decision before the end of the year on whether to move forward.

[Jeremy Lefroy (Stafford) (Con)]

T4. What progress is being made on moving bases from Germany to the United Kingdom, and to Stafford?

Invincible Class Carriers

Philip Dunne Excerpts

Monday 10th September 2012 Written Statements

[The Parliamentary Under-Secretary of State for Defence (Mr Philip Dunne)]

I can today announce our plans to preserve the legacy of the Royal Navy’s Invincible class aircraft carriers.

The three Invincible class aircraft carriers—HMS Invincible (in service July 1980), HMS Ark Royal (in service November 1985) and HMS Illustrious (in service June 1982)—served this country with great distinction having played key roles in conflicts in the Falkland Islands, Iraq and Bosnia. The last of these, HMS Illustrious, is due to retire from the Royal Navy in 2014. After that date and in recognition of the service given by these ships in protecting the UK over the last 30 years, it is our preference to see HMS Illustrious preserved intact as a lasting tribute to the service personnel who served on all three of the carriers.

In early 2014 we intend to hold an industry day to launch a competition for the innovative reuse of the ship to which interested parties will be encouraged to attend. We will invite a range of organisations, including private sector companies, charities and trusts to put forward viable proposals to ensure that HMS Illustrious remains intact and available for future private use while still offering taxpayers value for money.

HMS Ark Royal was withdrawn from service last year, following the 2010 strategic defence and security review. Retiring the ship five years earlier than planned was a difficult decision but it was the right one that, combined with her sale, has saved over £100 million. That has helped the Ministry of Defence to achieve a sustainable and balanced budget for the first time in decades.

Following a competition, we have awarded a contract to sell HMS Ark Royal to the ship recycling company Leyal for around £3 million. The recycling will be carried out at the company’s site in Turkey, the same location at which HMS Invincible was recycled.

Although a number of proposals to find an alternative use for the ship were tendered, it was decided, after extensive evaluation, that the recycling of HMS Ark Royal was the most viable option and offered the best value for money for the taxpayer. Bids received for further use were either not feasible or appropriate, or carried too much risk.

HMS Illustrious is more suitable for preservation for further non-military use and, as such, is expected to attract interest from organisations who would be able to put forward mature and viable proposals, in keeping with the role and history of the Invincible class of ships.