Oral Answers to Questions

Debate between Philip Dunne and Jeremy Quin

Monday 10th January 2022 Commons Chamber

[Jeremy Quin]

The right hon. Gentleman has already decided how our competition will end, which is unwise. We have multiple potential providers of a vessel that needs already to have been built, so we are going through a buying process and we will see how that procurement exercise ends.

[Philip Dunne (Ludlow) (Con)]

May I commend my hon. Friend the Minister for Defence Procurement for the care that he is taking in dealing with the challenges of the Ajax contract, and for the transparency with which he is keeping the House up to date with the problems? Does he agree that the production contract, which was entered into in 2014, was characterised by transferring risk to the contractor? Had we followed the practice of the previous Labour Government, trumpeted by the shadow Secretary of State, the risk would have stayed with the Ministry of Defence and the taxpayer.

[Jeremy Quin]

My right hon. Friend is absolutely right. Had this been like the Nimrod situation, where £3.7 billion was wasted by the previous Government and they attempted to blame it on us, that would have been where we are, but we are not; we have a firm-price contract with General Dynamics.

Oral Answers to Questions

Debate between Philip Dunne and Jeremy Quin

Monday 20th September 2021 Commons Chamber

[Jeremy Quin]

We are engaged with the consortium as a whole. I would have to check for the right hon. Gentleman on the finer points of where exactly the contract lies within that consortium, but it is the consortium that is being appointed to conduct the design work and it is the consortium that will be expected to do that work. It is then the consortium that we will be turning to for the next stage. As he knows, four awards have been made and, from memory, they are for £5 million each. They go to each in that consortium, all of which have a UK component, and they will be presenting not only their design but their views on the next stage and the build programme. I will come back on the precise point he makes, as it is a fair question.

[Philip Dunne (Ludlow) (Con)]

It is a bit rich of Labour Members to be nit-picking on this contract, given that the competition that they were calling for, whereby shipyards in the UK were to be required to build these ships, is precisely what the Minister has engineered. Will he confirm to the House that following last week’s outstanding Defence and Security Equipment International exhibition in docklands, where, as he has mentioned, there were further contracts for British shipbuilders, and following the announcement of the establishment of the National Shipbuilding Office and AUKUS, the opportunities for defence shipbuilding in this country have never been greater?

[Jeremy Quin]

I was so flattered to be awarded the creative writing award by the right hon. Member for North Durham (Mr Jones) that I was perhaps too kind. There is an awful lot that is great going on in British shipbuilding at the moment. He has been calling for the design contracts to be awarded, and they have been awarded; we are getting on with the fleet solid support ships. As my right hon. Friend the Member for Ludlow (Philip Dunne) says, there is also great news on Type 31. There is a lot of good news in the sector.

Ajax Armoured Vehicle Procurement

Debate between Philip Dunne and Jeremy Quin

Thursday 9th September 2021 Commons Chamber

[Jeremy Quin]

Earlier this year I made a point of saying that, on Ajax, I did not want any IOC to be declared without its going through my office to ensure that I personally, as well as everyone else, was fully satisfied we had kit that would work. That was made clear early on, and I have made it clear when issues have re-emerged that under no circumstances would we be taking into IOC a vehicle that was not fit for purpose and that we need to find a pathway to long-term resolutions on noise and vibration. That is what my hon. Friend would want me to say. It is what the British Army would want me to say; it wants to have vehicles that work and are reliable. The flipside is that I cannot therefore, sadly, give my hon. Friend a date. What I can do is give him my assurance that we will have something that works and meets our specifications when we put it into IOC.

[Philip Dunne (Ludlow) (Con)]

The Minister has been very clear with the House today that the contract in place is a firm price contract to deliver the 589 vehicles and the various variants to their specification. Can he assure the House that the rest of the system, for which he is responsible to this House, shares his determination to deliver these vehicles once the health and safety issues have been addressed—that the British Army, the chiefs of staff in their entirety and the Ministry of Defence share his determination?

[Jeremy Quin]

As my right hon. Friend knows very well from his experience, this is an important platform for the future of the British Army, and it really will help us deliver against the threats we are contemplating daily. We need to have it sorted, and we need to have it into service. The commitment that I am showing to work with General Dynamics to resolve these issues, if they can possibly be resolved—and I sincerely hope they can be—is shared throughout the Ministry of Defence and throughout the armed forces. We want this into service, but we want it into service on the basis that it will work, fill our requirements and be the effective tool that our military deserve and need.

Ajax Programme

Debate between Philip Dunne and Jeremy Quin

Tuesday 8th June 2021 Commons Chamber

[Jeremy Quin]

I agree with the hon. Lady that we need to find the root cause of the defects—that is absolutely right—or at least, we have to first identify that there are defects and then make certain that we have resolved them. I think that would be a fairer way to put it, and that is what a lot of the testing is doing right now. On when these problems first occurred, I do not think awareness of them came from the Infrastructure and Projects Authority report. I have been aware from social media sources of a suggestion that the Army was aware back in 2017. That has not been my experience, having looked into it. The concerns over vibration are a far more recent occurrence.

[Philip Dunne (Ludlow) (Con)]

As the Minister is well aware and has articulated well today, this Ajax programme is a critical capability for the British Army. When originally the contract was let, we did not have in this country an assembly line capable of manufacturing land capability at scale, particularly armoured capability. The introduction of this capacity through General Dynamics into south Wales is a very important part of the defence industrial strategy, which he has referenced. It is valuable for the whole House to remind itself that we are not talking in a vacuum here; this is a capability that the Government in the coalition days ensured was built in this country.

We were looking at a design that relied upon economies of scale to bring a state-of-the-art turret, which was going to be jointly deployed on Warrior, with a cannon jointly developed with France, again with state-of-the-art capability and lethality. Can my hon. Friend reassure the House that the cancellation of the Warrior programme will not impact on the ability to deliver turrets and cannons into the Ajax programme and will not add further delay or cost increase?

[Jeremy Quin]

My right hon. Friend speaks with considerable experience, and I thank him for what he says about the production line. I do not know whether he ever had the chance to visit Merthyr. He probably did.

[Philip Dunne]

indicated assent.

[Jeremy Quin]

He did, as I have done recently. It is an impressive factory with impressive personnel doing a good job. We just need to make certain that the whole thing fits together and works, and that is what we are committed to do.

To reassure my right hon. Friend on the Warrior, I have seen no evidence that the cancellation of the Warrior capability sustainment programme should have an adverse effect on the turrets for Ajax. Indeed, I believe I am right in saying that 58 of those have already been manufactured.

Defence and Security Industrial Strategy

Debate between Philip Dunne and Jeremy Quin

Tuesday 23rd March 2021 Commons Chamber

[Jeremy Quin]

Global Britain is about many things, and one of those is helping to defend ourselves, our values, our freedoms and our allies. Part of that, as this Parliament has agreed, should be maintaining an independent nuclear deterrent that is credible and minimal. Of all the declared nuclear states, we have only one delivery mechanism for nuclear weapons, and we maintain a minimum credible deterrent. In order to do that, we have had to raise the ceiling of the total number of warheads we are prepared to have.

[Philip Dunne (Ludlow) (Con) [V]]

I very much welcome the focus of this DSIS on recognising the role that defence can play in contributing to UK prosperity. The Minister has highlighted several issues that I felt needed to change in defence procurement in my review, which was published nearly three years ago. I am grateful for his comments about it. In this statement, he has demonstrated a deep grasp of his brief, on which I congratulate him.

Key to gaining public and cross-governmental support for increasing defence expenditure is measuring the impact of that spend on the economy, especially the regional impact in helping to level up Britain. That requires a good handle on data, which is why I recommended establishing defence economics as a valuable tool for the MOD, Defence Equipment and Support, and the defence industry, to help to assess the merits of competing investment proposals when allocating spend. Will my hon. Friend update the House on the role of the joint economic data hub in delivering that information, its security for the long term, and the role that it can play in the UK Defence Solutions Centre and the Defence Growth Partnership, of which I should remind the House I am deputy chairman?

[Jeremy Quin]

I am grateful that my right hon. Friend has been called as the final Member to ask a question, if that is still the case, on the statement. It is appropriate that he should be. In my first week in this role, I spoke at the defence economics conference, and he presented me with a copy of his paper, which has been incredibly helpful for me, as it has been for the MOD, not only in introducing the defence prosperity programme in March 2019 but in laying some of the groundwork for the DSIS today. I am sure that as he reads it he will recognise a lot of the themes that emerge.

Part of that is, indeed, the role of the joint economic data hub, which has already reached its initial operating capacity, and it is conducting a full survey of defence employment. It will reach full operating capability by the end of the year. In doing so, it feeds into our analysis critical information about jobs, regional growth, prosperity and future development. It is really important, and it lies at the heart of what we are doing with DSIS—growing the prosperity of our United Kingdom while at the same time ensuring that we have the kit and equipment that our people need. I thank my right hon. Friend for the work that he has conducted, which he continues to conduct, in defence. It was a valuable contribution, and it will help us to make certain that DSIS is the great success that it deserves to be in supporting our brilliant defence manufacturers and armed forces.