Defence Spending Debate

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Department: Ministry of Defence
Thursday 12th March 2015

(9 years, 8 months ago)

Commons Chamber
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John Baron Portrait Mr Baron
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My right hon. and learned Friend makes a valid point.

With these major shortcomings in our defence, it was alarming that a report by the Royal United Services Institute published this week suggests that the defence budget might be cut by 10% after the next election. Talk that Britain has the fifth largest defence budget—and the second largest in NATO—rings hollow when MOD reforms are cutting manpower, capabilities and the armed forces’ capacity to deploy force. Some estimates suggest that we rank 30th in the world in our ability to deploy force overseas, and my hon. Friend the Member for North Wiltshire (Mr Gray) told us of the extent of the American concern about this issue.

Richard Drax Portrait Richard Drax (South Dorset) (Con)
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My hon. Friend is making a powerful speech. If we see defence cuts of another 10% after the election, another major concern will be the impact on our special forces. If we have an Army of 50,000 or 60,000, we will reduce the ability to recruit men into our special forces—currently probably the most respected in the world—and that will have a significant effect on our ability to project force.

John Baron Portrait Mr Baron
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I completely agree with my hon. Friend. He makes a very valid point, but time is pressing and this is a popular debate, so I will bring my remarks to a conclusion.

At the very least, the British Government should fulfil their NATO commitment to spend 2% of GDP on defence. Having implored fellow NATO members to reach this level at last year’s NATO summit, which we hosted, falling below this level ourselves would be a grave mistake as well as a national embarrassment. Given current levels, it would be a dangerous message to send to the Kremlin.

The past decade of questionable military interventions may have bred a reticence among the political establishment on defence. This must end. We must banish these demons and recognise the greater danger of state-on-state threats, which never really went away. It is essential that we have the capability to protect ourselves, our interests and our allies. Reassessing our defence spending should go hand in hand with a wider reappraisal of how we approach foreign policy generally. Budgets have fallen at the Foreign and Commonwealth Office. Our key soft power institutions, such as the BBC World Service and the British Council, have suffered accordingly. This has resulted in a dilution of skills that has hindered policy making and reduced our options.

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Malcolm Rifkind Portrait Sir Malcolm Rifkind (Kensington) (Ind)
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I strongly agree with what has just been said by the hon. Member for Birmingham, Edgbaston (Ms Stuart). I also pay particular tribute to the impressive and remarkable speech that we heard from the hon. Member for Penrith and The Border (Rory Stewart), the Chairman of the Select Committee, who explained the practical implications of our situation in a very detailed and convincing way. I shall not repeat the points that he made, because they were made so well by him.

Let me begin by emphasising that this debate is not just about defence expenditure, but something far wider. If we continue to make cuts in our defence budget of the kind that are being contemplated, we shall find that we are making a profound and irreversible change not just to our defence capability, but to the ability of the United Kingdom to conduct a global foreign policy with authority, conviction and credibility. That, in essence, is the fundamental choice that we are being asked to contemplate.

We have had these cuts over a number of years. I have not until now criticised the Government for their defence cuts over the five years of this Parliament, for several reasons. First, I have recognised—as have most of us—that in a period of great austerity it is of course impossible to remove the contribution that the Ministry of Defence, given the size of its budget, might be able to make to resolving matters. I was privileged to serve as Secretary of State for Defence, and I had to implement defence cuts myself, so I am very conscious of the pressures that exist, and the need to try to find a way of resolving them.

Richard Drax Portrait Richard Drax
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May I counter that argument by saying that, with defence, if we cut ships, regiments or planes, we cannot just reinvent them when we need them? It takes months or years to bring them back.

Malcolm Rifkind Portrait Sir Malcolm Rifkind
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My hon. Friend helps to take me to exactly the next point I was going to make. What also enabled me to modify my concerns—to not feel the need to speak out during those few years—was the way in which the MOD addressed the difficult decisions it had to make. To a considerable extent, it tried to preserve the major improvements to our overall capability —our carrier capability, for example, and the need to renew the Trident submarines because of our strategic requirements. A lot of the reductions were made in the areas of manpower. That is painful and difficult, but the reality is that if we had cancelled the carriers, they could never have been reintroduced. That would be gone for ever, with profound and permanent impacts on our maritime capability. When we reduce Army manpower, it is painful, but the changes can be reversed, if the resources are available and the need is there, over not too long a period. That will still be difficult, but it can be done without the implications that come from a major reduction in capability.

Perhaps the most important thing that reassured me—rightly, I hope—over the last five years was the clear assurance that my right hon. Friend the Prime Minister gave that once we had resolved the immediate economic crisis, and had economic growth and economic development, there would be, as an absolute necessity, real-terms increases, year on year, in our defence expenditure. That was, so far as anything can seem to be a commitment, a commitment at the very highest levels of our Government five years ago, and we have been told ever since that that remains the Prime Minister’s view.

We face a most extraordinary situation. The Government say—I happen to agree with them—that the United Kingdom is going through a period of remarkable economic recovery. We are now one of the strongest economies in Europe, we are told; our economic growth is now higher than that of almost any other country in Europe, and our employment situation has improved. All these economic developments, which will rightly be very important in the forthcoming general election, are being shown as examples of how we have succeeded in our strategy, and how the UK is therefore stronger than many other countries in the western world. Yet ironically, simultaneously, precisely because our GDP is growing substantially, meeting that 2% requirement becomes that much more difficult, if not unattainable. It is a great irony that the more our economy improves, the more we seem likely to fall below the 2% requirement, when the reverse should be the case: if our economy is growing and doing well, it should be easier to find the resources required, because the revenues coming into Government will also increase considerably. That irony is not one that I have yet heard explained.

I hope that when the Minister winds up, he can reassure us on how we will benefit from the remarkable economic growth for which we are taking the credit. We certainly did not expect increases in defence spending when the economy was in a mess. Now it seems to be much healthier. I recognise that the budget deficit continues, but that is only part of the overall economic situation.

Something else worries me, too, and it has been mentioned by colleagues and those outside this House. Of course this 2% is a nominal figure, a totem, and it is the real resources that are important, but I find it difficult, if not impossible, to reconcile a cavalier approach towards the 2% objective, which we have held for many years, with saying that overseas development is somehow untouchable, and indeed may have to be given statutory protection in the current economic circumstances. Indeed, it now has statutory protection of a kind that I find extraordinary. These are very curious situations.

The consequence of what is happening, particularly if it continues after the general election, will be not just pain for our armed forces and their capability, but an irreversible change to Britain’s ability to conduct a credible foreign policy. After the United States, our armed forces and those of France are unique around the world. We are the only other two countries that have been able to make a meaningful contribution—albeit that we come far behind the United States—to providing a global deployment of armed forces to assist with overall issues of global security. Our role and credibility in the Security Council of the United Nations as not just a member, but a permanent member, is because of our ability to contribute towards security. That is what the Security Council is all about.

Our foreign policy is conducted on the basis of three assets that we have: first, of course, our diplomatic capability, which is impressive, although it has been under considerable strain in recent years; secondly, our intelligence capability, which is strong, and I pay credit to the Government for the resources provided there; and, thirdly, our military capability. The UK’s military capability is in a serious condition, of a kind that we are all familiar with, and that has an impact on our diplomatic credibility.

I read some years ago a remark that I have used since—colleagues may have heard me use it. It is attributed to Frederick the Great: “Diplomacy without arms is like music without instruments.” That remains true, not because we will necessarily always wish to use our armed forces, but because if we are pursuing, with good faith, a desire to develop a political and diplomatic solution to some intractable problem—there is a perfect example in our relations with Russia and Mr Putin at present—the fact that we have as the ultimate back-stop a military capability has a significant and profound impact on the likelihood of our delivering the result that we are trying to obtain. However, if we are seen as once having had that military capability, but as having opted, as a deliberate act of Government policy, to reduce that capability so that it remains significant but is not in any profound sense impressive, we will have seriously reduced our diplomatic clout and made the ultimate problem that much greater.

It is always dangerous to draw comparisons with the 1930s, but we know perfectly well that those in Berlin who were planning aggression believed that the western democracies were incapable of providing the resources required for a strong defence, and that influenced their foreign policy. I am not saying that the threats that we face today are of that order, or that the individuals concerned are comparable to the people who led Germany at that time—of course that would be unfair—but the fundamental principle is nevertheless the same.

What I beg of the Government, or any Government who emerge after the general election, is that they do not ask the facile question, “Does this win votes? Are the public demanding it? Is this therefore something we must respond to, or it will hurt us politically?” If a Government have one justification in a democratic society, it is that they do not just follow, or seek to follow, public opinion, but occasionally recognise the need to lead public opinion, and to take decisions that may involve painful choices, and that may be difficult in terms of newspaper headlines, but may have profound and beneficial impacts on our ability to make our contribution to sorting out some of the problems of the world.

Looking around the world, there are very few countries indeed that combine strong democratic institutions, genuine respect for the rule of law, and a military capability that can help build up security, restore peace and achieve the global objectives with which this country has always been proud to be associated. Let it not be the legacy of this Government, or any Government who emerge after this election, that we can no longer say that or make that contribution, not because the public rejected the idea, but because politicians failed to provide the right level of leadership.

Jeffrey M Donaldson Portrait Mr Jeffrey M. Donaldson (Lagan Valley) (DUP)
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It is a pleasure to participate in this debate. I commend all who have spoken, especially the Chair of the Select Committee on Defence, the hon. Member for Penrith and The Border (Rory Stewart). I have the privilege of being a member of the Committee but do not attend as often as I might like because of other commitments back home in Northern Ireland to do with the peace process, but what he said made a lot of sense. The hon. Member for Merthyr Tydfil and Rhymney (Mr Havard), vice-Chair of the Committee, made an excellent contribution, too. It has been a pleasure to serve on the Committee during this Parliament. The work that it has done has been of real value, and when a cross-party Committee of this nature comes together and says clearly to the Government that a minimum of 2% of GDP should be allotted to defence spending, the Government should listen to the wisdom of that Committee. We look at these issues week in and week out, taking evidence and examining all the facts.

Judging by what I have heard today, there is a high degree of support for the need to get on with the task of strengthening our armed forces and the United Kingdom’s defences, especially in the light of our improved economic conditions. Other speakers have rightly said that the world around us is changing, as is the nature of the threat against the United Kingdom and our allies. That threat emerges in various locations, and our capacity is being spread and stretched. I know that there are plans to enhance and improve our armed forces, but we believe that it will be critical for the incoming Government to make a clear commitment to spending 2% of our GDP on defence.

I shall go further than that. I acknowledge what the hon. Member for Birmingham, Edgbaston (Ms Stuart) said about the debate not being party political, and I entirely accept that. However, the Democratic Unionists are a small regional party in this Parliament and we might have some influence over who forms the next Government. Let me therefore place clearly on record, so that there can be no doubt, and so that this does not become a bargaining chip—it will not—that we will only support a Government of this nation who make the commitment to a minimum of 2% of GDP being spent on defence. That is not a party political comment; it is simply something that we believe to be important.

We have been accused in the past of focusing our interest narrowly on Northern Ireland. It has been said that when it comes to negotiating with coalition Governments or in confidence and supply arrangements, we will always be there with the begging bowl on behalf of Northern Ireland, but that is not the case. We have spelled out today certain key areas on which we want the next Government to make commitments on national issues. We are focusing on the national need and what is in the interests of the United Kingdom, and right at the top of that list are the defence and security of this nation and the need for a commitment to 2% of our national income being spent on defence. I agree that it is not enough just to make that commitment, and that it needs to be made clear how the money will be spent. It must be spent wisely and it must be prioritised towards the areas in which it is required.

Looking at the world around us, we see that we have two aircraft carriers under construction. The Queen Elizabeth is now being fitted out and the Prince of Wales is being built. There must be certainty that both ships will be brought into service and properly equipped with airframes and aircraft. We need a credible carrier force. That will be an essential component of our defence strategy’s capacity and global reach, not only in defending this nation’s security but in providing security to our allies. That needs to be a priority.

If I may say so, one of the mistakes that this Government made was to scrap our surveillance aircraft and to cut up the Nimrod aircraft. That was frankly an act of madness. We now have Russian aircraft flying around the coastline of the United Kingdom but we do not have the capacity to deal with it properly. We need to do something about that. That is an area of our armed forces that could, with extra expenditure, be re-equipped, to enable surveillance globally but particularly around the shores of the United Kingdom. The British Isles need defending—they need watching in the most literal sense—but our maritime surveillance capabilities are currently well below par. Vladimir Putin respects force, and we need to respect it too. We need to be able to show that we as a nation have the military capacity to defend ourselves against any possible attack.

Beyond equipment, we need to get the strategy right. Many Members have already referred to the strategic defence and security review. I stated in an earlier debate that we needed to bring forward that review, but in any event it is clear that the current SDSR is not fit for purpose, because the world has changed and things have moved on. It is therefore essential that we get the next SDSR absolutely right. We will need to know why and on what the 2% of national income will be spent, and to set that in the context of our strategic needs and defence requirements. That is not just some marketing commitment to be waved around as a policy commitment during the election. We need to know exactly what the policy will mean in terms of the numbers, what the money will be spent on, and what our strategic requirements are for national defence and security.

Beyond capabilities and strategy, we have to consider the daily needs of the men and women who serve in our armed forces. I get worried when I see the provision of housing and catering for our armed forces personnel, because decisions on these matters are often taken on the basis of the lowest tender that comes into the Department. I have had many complaints from members of the armed forces about the quality of the services that are put in place to support them. We need to improve on that. It should not always be about the lowest tender.

Richard Drax Portrait Richard Drax
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I am listening intently to the right hon. Gentleman’s excellent speech. Does he agree that we do not give sufficient consideration to the funding for treating those who have been wounded once they return to this country? Does he acknowledge how much our armed forces have to rely on charity to take care of those who have been wounded, both physically and mentally?

Jeffrey M Donaldson Portrait Mr Donaldson
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I thank the hon. Gentleman for that intervention. The military charities play an important role in supporting our veterans, but the military covenant must mean something and it must be real. I still meet too many armed forces veterans who feel, rightly or wrongly, that they have been abandoned after a number of years. That applies particularly to those suffering from post-traumatic stress disorder. Sadly, as a result of Operation Banner being conducted in Northern Ireland for more than 30 years, we have a large number of ex-security force and ex-military personnel suffering from PTSD, and recent research has shown that the number is growing. The armed forces charities are really struggling to support those personnel, and more needs to be done. The hon. Gentleman is right to suggest that if we are going to increase our spending we should ensure that our veterans, especially those who have been injured on operational deployment, get the support, care and treatment that they need, and that they can continue to do so.

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Richard Drax Portrait Richard Drax (South Dorset) (Con)
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I, too, have been awestruck by what I have heard this afternoon, not least the speech we have just heard from my hon. and learned Friend the Member for Torridge and West Devon (Mr Cox) and the excellent speeches by my hon. Friends the Members for Penrith and The Border (Rory Stewart) and for Harwich and North Essex (Mr Jenkin). I also pay tribute to the hon. Member for Birmingham, Edgbaston (Ms Stuart) who made a fantastic speech from the Opposition Benches.

Tribute has been paid to the armed forces this afternoon, but I do not think that we can pay high enough tribute to them. Year after year and throughout history, we in this place have sent our armed forces into harm’s way. Ultimately, we decide how to finance and nurture them, and take care of them when they come home. It is a huge responsibility.

I wish to make the point to the Ministers that any comments I make—and I know others feel the same way—are not aimed personally at them. They are both honourable men. I know the Under-Secretary of State for Defence, my hon. Friend for Ludlow (Mr Dunne) well and I know that he feels very strongly about the state of our armed forces.

I find it strange that defence is a partisan subject, not just in the House but as reported by commentators and others, although there is an element of truth in that even in my own party. It is suggested that the right represent the armed forces and the left represent overseas aid. That should not be the case, and I do not believe it is. As the hon. Member for Birmingham, Edgbaston said so eloquently, it is the collective responsibility of the whole House to ensure the defence of our island and our dependants, and the meeting in full of all the commitments that we have—not least to NATO.

Allegedly, polls show that there are no votes in defence. I would like to put any politician who claims that in front of a battalion of the Coldstream Guards that has just returned from its second or third tour of Afghanistan. I do not think that that politician would return to the House in one piece. Millions have died to defend peace, democracy and freedom throughout history, many of whom were servicemen and women. Are we saying that all that sacrifice does not get any votes? Do we really mean that? I do not think we do, but what concerns me greatly is where politics has got to. I read a very good book recently about Winston Churchill, and when he was shown the results of a poll, he threw the poll in the dustbin and did completely the opposite. Some would argue that on some occasions that is rashness, but some would call it leadership. It is on subjects that do not necessarily seem to attract the voter that parties, of all political persuasions, have to lead. If we do not lead, we will endanger our country.

Expenditure on defence has never been—and I suspect never will be—a popular political topic. It is, as someone said earlier, like an insurance policy. We groan as we pay the annual fee, but we do so because when the dread day comes that we shuffle off this mortal coil, our loved ones will benefit from the investment that we have made. By God, if we did not have such an insurance policy, we would rightly be attacked by members of our family, our wives or anybody else whom we have not provided with security. That is what we should bear in mind when we debate expenditure on defence.

How many times throughout our great island history have we spent less money on defence? I am an avid reader of military history—as an ex-soldier it is particularly pertinent to me—and politicians of all colours have made the same mistake that we are making today countless times. Why do we go on making the same mistake? We are told that tanks will not rumble across the plains of central Europe. I suspect they probably will not, but I would not like to bank on it. I suspect that the Poles did not bank on their country being invaded at one end by the Russians and at the other by the Germans, but it happened. It is happening again, as we know, in Ukraine. Without defence, there will be no security at all for the other subjects we have to meet and pay for.

I would like to touch, if I may, on a very delicate subject: overseas aid. How many of us in this Chamber set ourselves a target every year to give, say, £500 to charity? I bet no one does, but if, at the end of the financial year, we had spent only £300, would we then splurge £200 on any old charity? Of course we would not. We would keep that money for a better cause. That is where I think we are getting it wrong. We have to target better what few resources we have for overseas aid. We have proof that much of the money we spend does not get to where it is intended to go.

One or two hon. Members have suggested that somehow the military should be incorporated into overseas aid. There are arguments for and against, but on the whole when it works there is no one better than the British serviceman or servicewomen to deal with such predicaments. That again has proved what an honourable and fantastic task they all do. Overseas aid has been ring-fenced. Other areas have been ring-fenced. If we cannot defend our country, our people, our dependants, meet our commitments and stand together—we are never going to stand on our own; we cannot afford to—and for the Americans to publicly now say to the world that Great Britain is not meeting its commitments, that means the position is incredibly serious. I know friends who have contacts in America. Their contacts say that they really hate saying that publicly, but they do so because they are so concerned.

It is not just hon. Members in this House who are concerned. It is the former US Secretary of State, Hillary Clinton; former US Defence Secretary, Robert Gates; former British Defence Secretary, the right hon. Member for Coventry North East (Mr Ainsworth); former British Defence Minister, my hon. Friend the Member for Mid Worcestershire (Sir Peter Luff); former NATO Secretary-General, Anders Rasmussen; current NATO Secretary-General, Jens Stoltenberg; President of the United States of America, Barak Obama; US army chief of staff, General Raymond Odierno; former defence attaché to Washington, Sir Anthony Dymock; former ambassador to the United State, Sir Christopher Meyer; former UK Chief of the General Staff, Sir Peter Wall; US ambassador to the United Nations, Samantha Power; former First Sea Lord, Admiral Lord West; and my hon. Friend the Member for Penrith and The Border (Rory Stewart), the Chairman of the Defence Committee. That is by no means the whole list. It is not just us who are saying that we must meet at least—at least—the 2% commitment; it is everybody else who is looking to this island for leadership to protect all the things that we hold dear.