Oral Answers to Questions

Stuart Andrew Excerpts

Monday 8th July 2019 Commons Chamber

[Nick Thomas-Symonds (Torfaen) (Lab)]

19. When her Department plans to make an announcement on the award of the contract for the fleet solid support ships.

[The Parliamentary Under-Secretary of State for Defence (Stuart Andrew)]

Subject to normal approvals, we anticipate that a design and build contract will be awarded in 2020.

[Christian Matheson]

This has been a shambolic process in which overseas bidders have dropped out and the Government have begged them to rejoin the bidding process. Have Ministers not read the report by the right hon. Member for Ludlow (Mr Dunne) on the importance of defence spending to the UK economy? Is it not about time that the Government stopped this whole process and started offering the bids to UK-based shipyards, so that we can get the benefits of this major Government contract?

[Stuart Andrew]

I remind the hon. Gentleman that we do have a team UK bid in there, and I am pleased to see that. As I have said on many occasions, we are trying to ensure that we get the very best price for all the capability we need. If we were to cancel this competition now, we would put at risk the services that we need for the carrier. That being said, we have been listening to all the debates and the many questions on this matter, and my right hon. Friend the Secretary of State has written to the Secretary of State for Exiting the European Union stating that the option to support onshore defence funding for shipbuilding should be a red line in our future relationship with the EU. Of course, that will apply only to future programmes.

[Nick Thomas-Symonds]

Other countries such as France and Italy classify these vessels as warships, meaning that they have to be built in domestic yards. Why will the Minister not just guarantee that a UK contractor will be the successful bidder and give a much-needed boost to UK industry?

[Stuart Andrew]

As I have said, the EU has raised questions about the classification of some of those countries and the decisions that they have made. Also, some of those vessels are manned by those countries’ navies, whereas ours will be manned by the auxiliaries.

[Fabian Hamilton (Leeds North East) (Lab)]

All of us on the Opposition Benches were heartened to hear the Defence Secretary say recently of the Ministry of Defence that

“we can and we must buy British”.

That would represent a welcome shift from her predecessor’s tendency to simply buy off the shelf from abroad, but the British shipbuilding industry needs action, not just warm words. So will the Minister now reconsider the Government’s short-sighted decision to put these ships out to international tender, and build them here instead?

[Stuart Andrew]

As I have just announced, my right hon. Friend has made that policy decision. I also remind the hon. Gentleman that we have significant orders in UK shipyards. There is 20 years of work on the Clyde, for example. I cannot think of any other industry in the UK that can say that it has 20 years of work on its order books.

[Maggie Throup (Erewash) (Con)]

12. What plans she has to mark the anniversary of VE Day.

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[The Parliamentary Under-Secretary of State for Defence (Stuart Andrew)]

MOD official statistics show that our spending with UK industry in 2017-18 directly supported 115,000 jobs across the country.

[Mark Pawsey]

I thank the Minister for his work to ensure that the propulsion systems for the Navy’s Type 26 frigates will continue to be built in Rugby and for the security and future opportunities that that will give much of the workforce. What steps are the Government taking to ensure that we train up the next generation of skilled engineers to continue that vital work?

[Stuart Andrew]

I recognise the important role that my hon. Friend played in ensuring that the GE facilities were maintained in Rugby. I agree that it is absolutely vital to ensure that the defence sector has the right skills to meet all our needs. Many of our suppliers have well established programmes and schemes to ensure that that happens, and we continue to work through the Defence Suppliers Forum and the Defence Growth Partnership to ensure that those skills and training are maintained.

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

rose—

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[Mr Jones]

The Secretary of State highlighted in an earlier answer the importance of the prosperity agenda for defence contracts. I know that the Minister has read the recent report on shipbuilding and ship procurement in the UK by the all-party parliamentary group on shipbuilding. Will he tell the House what weighting will be given to prosperity in awarding the fleet solid support contracts?

[Stuart Andrew]

I was looking at the two right hon. Gentlemen and wondering whether it was more like Waldorf and Statler, but I will not be so rude—although I have just have been. The right hon. Gentleman is absolutely right: when we look at the contracts, not just for the shipbuilding but for the content within, there are huge opportunities for the UK supply chain, where much more of the value exists. I recognised that in his all-party group’s recent report, and his and other right hon. and hon. Members’ work will inform much of the decision making on our future policy.

[Mr Speaker]

Come, come, young Spellar—your turn now.

[Stuart Andrew]

I thought I had shown some gumption. As I have said, my right hon. Friend the Secretary of State has said that the policy will be changing—

[John Spellar]

Why don’t you change it now?

[Stuart Andrew]

I have just explained that the timelines are critical in the current competition, because the existing fleet that will offer support to the carrier will be coming to the end of its life. We have to have that capability. Surely he thinks that is more important than just trying to score a political point.

[Grahame Morris (Easington) (Lab)]

18. What steps she is taking to improve (a) pay and (b) industrial relations in the Royal Fleet Auxiliary.

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[Maggie Throup (Erewash) (Con)]

T4. Given the increasing threat that drones pose to our national security, as recently highlighted by the insightful BBC documentary “Britain’s Next Air Disaster”, what assessment has my right hon. Friend made of our armed forces’ ability to respond to a potential drone strike, and what investment is her Department making in new technology to rapidly neutralise such threats?

[The Parliamentary Under-Secretary of State for Defence (Stuart Andrew)]

My hon. Friend raises an important point, and the MOD takes the threat of the nefarious use of drones very seriously. Using the defence transformation fund, we are working with the Defence Science and Technology Laboratory, international partners and industry to further develop our counter-drone capabilities, and of course they will be used to protect defence infrastructure wherever they are needed. More broadly, a lot of the responsibility for protecting other sites in the UK lies with the police, but we will always be there to help if needed.

[Stewart Malcolm McDonald (Glasgow South) (SNP)]

The last time the Secretary of State was at the Dispatch Box, we discussed an internal MOD policy on torture that contravenes domestic and international law. She promised a review. Has the review happened? Has the policy been dumped?

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[Mr Virendra Sharma (Ealing, Southall) (Lab)]

Will the Secretary of State commit to spend more to protect UK intellectual property, which is the underpinning of our high-tech defence industry?

[Stuart Andrew]

The hon. Gentleman raises an important point. We had that extra £1.8 billion in the most recent Budget because this is the exactly the sort of area we will look at. I assure him that I have regular meetings with industry and with the forces to talk about those very issues.

[Jack Lopresti (Filton and Bradley Stoke) (Con)]

I am sure my right hon Friend the Secretary of State would agree that the reserve forces are a crucial component of our armed forces generally, so will she update the House on how retention and recruitment is going? Specifically, are we managing to get former regulars to rejoin as reserves and bring their expertise with them?

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[Jessica Morden (Newport East) (Lab)]

Defence Equipment and Support procures for the Ministry of Defence, but constituents who work there tell me that morale has plummeted since it became a bespoke trading entity, and it is now the joint worst-performing department in the civil service top people survey index. Will Ministers look into this?

[Stuart Andrew]

The hon. Lady raises an important point. The staff survey results were frankly disappointing, but I assure her that a tremendous amount of work has been done with the workforce to improve the situation. We look forward to seeing improved results in the next survey.

[Several hon. Members rose—]

[Mr Mark Francois (Rayleigh and Wickford) (Con)]

Thank you, Mr Speaker. The A400M is an emerging procurement disaster. We have paid £2.6 billion for an aircraft with appalling reliability, bad engines, a virtually broken gearbox, problem propellers, massive vibration problems and an inability to deliver paratroops. There was recently a NATO ministerial meeting of the partner nations to decide what to do about the disaster. What was the outcome of that meeting?

[Stuart Andrew]

My right hon. Friend is right to highlight the issues with the A400M. I can assure him that I attended that ministerial meeting: it was an extremely robust meeting with industry. The performance has been totally unacceptable. We are now expecting EuroProp International, the engine manufacturer, to be more empowered to negotiate the support solutions that we need. Airbus Defence and Space has also been held to account, but, following the problems with the engines and gear boxes, those parts will be replaced on each of the aircraft by the middle of next year.

[Chris Stephens (Glasgow South West) (SNP)]

Coming back to the fleet support ships, will the Minister tell us whether the savings from tax and national insurance of workers building these ships will be one of the criteria used for a successful UK bid?

[Stuart Andrew]

As I have said on many occasions when answering these questions, we follow the Green Book rules with the Treasury, but we will continue to have those conversations with the Treasury about the wider prosperity agenda that our defence industry brings to the UK.

[James Gray (North Wiltshire) (Con)]

Rates of pay have an important role to play in retention and recruitment, particularly perhaps among the younger, newly recruited members. What consideration has my right hon. Friend given to introducing the concept of the living wage to our armed forces?

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[Mr Paul Sweeney (Glasgow North East) (Lab/Co-op)]

The Canadians and Australians are applying to build more Type 26 frigates than the United Kingdom now is. Part of the reason is that they have invested in world-class purpose-built new shipyards whereas the UK has not. Will the Secretary of State review our 2015 decision to cancel the purpose-built shipyard for Type 26 and ensure that we get the investment needed to make our industry world class?

[Stuart Andrew]

The hon. Gentleman will know that that was a decision made by BAE Systems, and it is ultimately responsible for it. The fact is, as I said earlier, that we have 20 years of work at those shipyards. I cannot remember them having such significant orders under the previous Government.

[Stephen Kerr (Stirling) (Con)]

There does not seem to be any lack of applicants to join the armed forces, so can the Minister tell us what progress is being made to shorten the time between application and the start of basic training?