Rearmament and Warfighting Readiness

Debate between Mark Francois and Steve Barclay

Wednesday 8th July 2026 Commons Chamber

[Steve Barclay (North East Cambridgeshire) (Con)]

The hon. Member for Dunfermline and Dollar (Graeme Downie) has highlighted a number of pertinent questions that collectively pointed to the increased threat that we face. I also very much agree with the hon. Member for Macclesfield (Tim Roca). There is a lot of common ground in the Chamber today. One example of that is that I agree fundamentally with the comment from the hon. Member for Birmingham Selly Oak (Al Carns) that we

“must not underestimate the level of change that is required.”

None of that detracts from the point that the hon. Member for Tunbridge Wells (Mike Martin) highlighted in his opening remarks on the structural flaws in the funding allocated through the defence investment plan. The hon. Gentleman elaborated in more depth but, for example, less than half the headline figure announced is new money. Of the £15 billion announced, £6.9 billion over four years is new money, with £4.7 billion for the next budget, and £3.4 billion from asset sales and moving liabilities around. As he said, that is in addition to £10.7 billion of efficiencies.

In addition to the hon. Gentleman’s remarks, I want to illustrate how the Government’s narrative contradicts itself with regard to the efficiencies; three Government documents, which the Government agree with, actually contradict each other. For example, on page 79 of the DIP we see the total resource departmental expenditure limit of £7 billion, from savings on staffing, and a capital departmental expenditure limit of £3.4 billion. Those are figures in the Government’s own annex, yet just last year on page 5 of the strategic defence review, the Secretary of State said, in no less than his own foreword:

“We will unlock nearly £6 billion of new savings”.

In a year we have gone from the Secretary of State saying, “We’re going to unlock £6 billion” to “We’re going to unlock over £10 billion.”

As the hon. Member for Tunbridge Wells alluded to, there is no clear plan and confidence is low. Confidence is not just low because the defence investment plan states that it is low, although indeed its working states

“of which remaining plans at lower maturity”

with £5 billion on RDEL and £3.4 billion on CDEL—£8.4 billion of low confidence. Let us look, too, at the independent findings of the National Audit Office. It is stated on page 10 of one of its most recent reports, from December 2025, that the accounts were qualified in a number of areas and that:

“Lack of effective departmental oversight of a number of these arrangements has meant that the MOD did not have appropriate information nor assurance to ensure that transactions and balances”—

blah-de-blah. In other words, the Department itself does not have a grip. Quite rightly, the hon. Member for Birmingham Selly Oak pointed to the scale of challenge, but we have a set of efficiencies in a 10-year plan that fundamentally contradict the Secretary of State’s own assurances just a year ago.

The main point I wish to highlight—I say this as someone who has spent time in the Treasury, and I keep raising this point with MOD colleagues—is that I continue to be baffled as to why the Department is not highlighting and prioritising the reserves more than it is. Again, I think an area of consensus is the value of the reserves in delivering scale, and the fact that they are value for money as an option. Page 61 of the DIP just states £4.2 billion for reserves over four years—there is no breakdown, no detail, and no information, and it is not even clear if the training days and reserve service days for this year are secured. Can the Minister give us an assurance? Can he say what equipment will be funded for the reserves over the next four years? Can he give any colour on that, and can he explain why the reserves are not being prioritised more than they are?

My next point speaks directly to the issue of national resilience that the hon. Member for Birmingham Selly Oak correctly identified. Looking at the Red Book, £310 million has just been agreed for a digital campus in Manchester, and there is £1.196 million—£1.2 billion—on boiler upgrades over four years. But that is not enough, so the Government are extending that by £400 million this year, £600 million next year, and over £600 million the year after. I am not saying that those programmes are not useful—I am sure they are—but if the Prime Minister’s Munich speech is correct, and given comments from colleagues in the House, is this really the priority? Is £4.7 billion over four years on cycling and walking really this Government’s priority if we are to boost national resilience?

[Mr Francois]

My right hon. Friend mentioned reserves. During the debate on the Armed Forces Bill, we talked a lot about enhancing the reserves. Is he aware that while there is some funding for the so-called active reserve, in the DIP there is hardly any funding at all for the strategic reserve, which the Government made a very big thing of for five months while we were debating the Bill? There is hardly any money for it.

[Steve Barclay]

My right hon. Friend is right to highlight the broader point, which is the lack of detail on reserves, other than to say that it is all being parked until the next Parliament. That is a wasted opportunity. Reservists also need clearer communication from the Government, including on the training days and reserve service days this year. I hope that when the Minister winds up the debate, he will say a bit more about that.

Finally, we know that a Government reshuffle is coming, and if issues such as national resilience are to be addressed, they quite rightly require an all-of-Government response. Yet there is very little detail. As the hon. Member for Dunfermline and Dollar said regarding the answer to his written question, the MOD is often reluctant to answer on national security grounds, and there is very little detail on how other Departments will prioritise their budgets and what the key performance indicators are, particularly when new Ministers are likely to be coming in. Will the Minister clarify whether there will be KPIs relating to the defence investment plan for those Departments, and if so, when will they be set out?