(9 years, 6 months ago)
Commons ChamberMy right hon. Friend is nothing if not a survivor, as have been his illustrious predecessors who have served in this House. With regard to his specific suggestion, he is one of a number of Members of Parliament who have made the suggestion to me recently. We have passed the proposal on to the Chief of the General Staff, who is now considering the issue, and we are awaiting the CGS’s comments. The idea might well have merit.
Following on from the comment made by my right hon. Friend the Member for Mid Sussex (Sir Nicholas Soames), will the Minister specifically consider the notion of a Sikh company within the reserves as a starting point? There seems to be much more possibility within the reserves to begin what seems like an excellent idea.
I thank the Chairman of the Select Committee for his additional suggestion. I said earlier that the idea might have merit, and we are considering as one specific option the possibility of a reserve company that would inherit many of the proud traditions of Sikh regiments in the British Army going back many years. My hon. Friend the Minister responsible for the reserves is leading on that aspect and he, too, remains in contact with the CGS on the matter.
(10 years, 2 months ago)
Commons ChamberI will give way in a moment. UK defence exports in 2012 were assessed to be £8.8 billion, up from £6 billion in 2010, which is the second highest by value in the world.
I turn to overall defence spending and the defence budget. The defence budget this year is £33.6 billion, which makes it the fourth largest budget in Government. Defence spending will be a key issue at the NATO summit in Wales this September. My understanding is that the agenda has not yet been finalised, but we will certainly make the point that despite the fact that we have had to constrain UK public spending, UK defence spending has consistently met and exceeded the NATO target to spend at least 2% of GDP on defence. That point has been mentioned by almost every contributor to the debate. Indeed, we are one of only four NATO nations that currently meet that target. According to NATO, the UK has the second largest defence budget in NATO and the largest in the EU.
Do I understand that the Minister has formally committed, on behalf of the Government, to stick with that 2% base level on spending?
The Chair of the Defence Committee pre-empts me. On current plans, defence spending will continue to meet the 2% target this year and next year. Decisions on public spending after financial year 2015-16 will be taken in the next comprehensive spending review, but that applies to all Departments and not only to the Ministry of Defence. I hope that that is a clear answer to his question.
At this juncture, it is important to recall that in 2010 we inherited a financial situation in the Ministry of Defence which was, to say the least, distinctly sub-optimal. It was exacerbated by a culture of short-term decision making, prevaricating over big decisions, slipping everything to the right and storing up costs over the long term. As Nye Bevan—that is Bevan, not Kevan—told the Labour party conference in 1949:
“The language of priorities is the religion of socialism”.
If that is so, there was a pretty atheist period when the Labour party last ran the Ministry of Defence. We inherited a financial shambles, which we have had to deal with for four years. The defence programme is affordable over 10 years after some difficult and painful decisions, and as a result of our better financial discipline, the Treasury has allowed us to roll forward recent in-year underspends to supplement our future plans. We are continuing to examine a package of additional investment, including on equipment and cyber. The details of that are currently being finalised, and they will be announced soon.