Oral Answers to Questions

Philip Dunne Excerpts

Monday 19th October 2015 Commons Chamber

[James Cleverly (Braintree) (Con)]

8. What plans his Department has to invest in new equipment for the armed forces.

[The Minister for Defence Procurement (Mr Philip Dunne)]

This Government are committed to meet both NATO pledges to spend 2% of GDP on defence and to spend 20% of the defence budget on equipment for each year of this Parliament. We intend to publish the latest annual iteration of the defence equipment plan shortly, which will show that we are investing more than £160 billion in equipment and support for the armed forces over the next decade.

[James Cleverly]

I welcome the commitments to spend 2% of GDP on defence and 20% of the budget on equipment, but what is the Department doing to ensure that such equipment is appropriate for the full spectrum of potential future conflict so that we are equipping ourselves not for the last war but for the next?

[Mr Dunne]

My hon. Friend is absolutely right to focus on present and future threats, which are being assessed through the national security strategy and the strategic defence and security review. The UK remains one of only two European nations able to provide a full range of responses to threats posed to our security, and this full spectrum of capabilities will remain our posture throughout the SDSR. It is vital to maintain technological advantage over those who would do us harm and we are therefore investing in innovation in particular, as my right hon. Friend the Secretary of State announced earlier this month, and in cyber-defence to protect our capability edge and our supply chain.

[Carol Monaghan (Glasgow North West) (SNP)]

Since the Nimrod aircraft were decommissioned in 2011, the north coast of Scotland has effectively been left wide open to potential threats. Will the Minister explain what plans there are to reinstate fixed-wing maritime patrol aircraft to ensure that the north coast is adequately defended?

[Mr Dunne]

I am not totally surprised to hear our friends in Scotland refer to the issue, as it seems to be the only one that they can talk about in the Chamber in relation to adding defence capability. It is a capability gap which, we acknowledge, was taken as a result of SDSR 2010, and it is one of the major capability challenges that are being assessed through this SDSR. I am afraid that the hon. Lady will have to wait another few months before we know the outcome of those considerations.

[Toby Perkins (Chesterfield) (Lab)]

I could not agree more with the Minister about needing to equip the country for the future and to fight the battles of the future, not the past. He will be aware that in August the Secretary of State signed off a document entitled “Defence in Numbers”, described as providing the key information on UK defence capability, including equipment such as Jet Provost trainers from 1955, obsolete and grounded helicopters from the 1960s, and battle tanks retired from service in 1991. Does he agree that revelations that museum pieces are considered defence assets risk making the Department a laughing stock, and suggest that the Government have attempted to mislead the country about the capabilities that our armed forces have at their disposal?

[Mr Dunne]

I start by welcoming the hon. Gentleman to the Front Bench. I think that this may be his third Department, so he is one of the most experienced members of the new Front-Bench team. It is a pleasure to serve opposite him.

In relation to the report in the newspapers about the “Defence in Numbers” snapshot, which was recently published by the Ministry of Defence, and which I have with me, there is absolutely no intention to mislead anyone. The equipment referred to in the document covers a number of capabilities, which are still in use for training purposes, if not necessarily in use on the front line.

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

9. What progress his Department has made on procuring Type 26 frigates; and if he will make a statement.

[The Minister for Defence Procurement (Mr Philip Dunne)]

As the hon. Gentleman knows, in February this year we awarded a contract for the demonstration phase of the Type 26 programme, which was valued at £859 million and brings into force some of the long-lead items for the programme, including Rolls-Royce engines, the first of which will be delivered in the next month or so. Progress continues on commencing the manufacturing phase next year. I was pleased that the hon. Gentleman could witness our commitment to shipbuilding on the Clyde when I cut steel for the third offshore patrol vessel in Govan earlier this month.

[Chris Stephens]

The Minister noted my constituency interest and that of my hon. Friend the Member for Glasgow North West (Carol Monaghan) in the Clyde shipyard. Does he accept the concerns of shipyard workers and the trade union representatives on the Clyde who seek a speedier and stronger commitment from the Government? Will he meet me, my hon. Friend, and trade union representatives to ensure that there are no gaps in the order book and that jobs are maintained in this iconic industry?

[Mr Dunne]

I was pleased to meet local conveners when I was in the yard in Govan earlier this month, and I would be happy to meet them again if the hon. Gentleman chose to bring them to Parliament any time soon.

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

The Government have brought us aircraft carriers without aircraft, but even for them, warships without sailors would be going a bit too far. Can the Minister outline how the personnel requirements for the new Type 26 will be met? Will there be a reliance, as we have recently seen in the press, on overseas recruits to fill those capability gaps?

[Mr Dunne]

As the hon. Gentleman knows, the Type 26 global combat ship programme is designed to replace the existing frigate fleet—the Type 23. We generally find when updating naval capability that ships with more power and capability can be manned with fewer men, so we do not see any particular challenge with this programme, apart from the natural challenge of recruiting to the armed forces during periods of economic growth.

[Mr Robin Walker (Worcester) (Con)]

10. What steps he is taking to increase the proportion of his Department’s procurement spending that goes to SMEs.

[The Minister for Defence Procurement (Mr Philip Dunne)]

That is me again. Small businesses provide a vital source of innovation and flexibility in meeting defence and security requirements. As I have already said, there was an announcement of a new target earlier this month to increase the proportion of MOD procurement to be spent with small and medium-sized enterprises to 25% by 2020.

[Mr Walker]

Worcestershire hosts many small businesses in the defence, aerospace and cybersecurity sectors. How can these smaller businesses, such as Aeromet in my constituency, access the £70 million investment in innovation announced by the Secretary of State last week?

[Mr Dunne]

We see small businesses and academia as playing a vital part in developing technical innovation, so it is important that they can access this and other funding to maintain the operational advantage of our armed forces. We are doing this in a number of ways. Last month at Defence and Security Equipment International I announced the winners of one of the £10 million defence growth partnership innovation challenges. There were over 100 applications and 23 winners were announced, many of which were small businesses.

[Tom Pursglove (Corby) (Con)]

The UK steel industry needs support through Government procurement, and where we can we should always buy British. A functioning steel industry is crucial for our national security, so can the Minister assure me that that approach will feature heavily in our procurement policy in future?

[Mr Dunne]

I can reassure my hon. Friend that the steel for the Queen Elizabeth-class carrier, a contract which was placed some time ago, came from British steel foundries. It is something that we consider, but we have to look after value for money when we place orders through our contractors, and steel supplies need to be available at a competitive cost, at a competitive time and at a competitive quality.

[Patrick Grady (Glasgow North) (SNP)]

13. Which elements of his Department’s expenditure will contribute both to the target of 2% of GDP for defence and to the target of 0.7% of GNI for overseas development assistance.

--- Later in debate ---

[Julie Elliott (Sunderland Central) (Lab)]

T2. What steps is the Department taking to ensure that the UK defence industry, as well as the multibillion pound domestic supply chain, benefits fully from the procurement decisions that will be taken and outlined as part of the forthcoming strategic defence and security review?

[The Minister for Defence Procurement (Mr Philip Dunne)]

This Government have placed a considerable emphasis on maintaining a vibrant and healthy defence industrial supply chain in this country. That is why we set up the defence growth partnership and support British defence companies in major defence export exercises around the world. This Government are not embarrassed to do that and will continue to do so.

[Bob Blackman (Harrow East) (Con)]

T6. In the 19th century, the Royal Navy disrupted and eventually halted the evil slave trade from Africa to other parts of the world. What action can my right hon. Friend take to ensure that the Royal Navy now disrupts and prevents evil people from trafficking people from Africa on unseaworthy boats, so that they do not lose their lives in the Mediterranean?

--- Later in debate ---

[Mr Alan Mak (Havant) (Con)]

T7. Defence contractors and supply chain partners in my Havant constituency are proud to be part of the Government’s equipment upgrade programme. Will the Minister update the House on what progress is being made in introducing equipment, on time and on budget, into our armed forces?

[Mr Dunne]

The Ministry of Defence continues to make excellent progress in delivering equipment on time and to budget. That was recognised in the last National Audit Office major projects report, which reflected our best cost performance in 10 years and the best time performance in almost 15 years. I would like to pay tribute to the defence contractor in my hon. Friend’s constituency, Lockheed Martin, which has supported the Merlin helicopters outstandingly in recent years.

[Steven Paterson (Stirling) (SNP)]

T10. What steps have been taken to change section 104 of the Scotland Act 1998 to allow Scotland to legislate for fatal accident inquiries involving service personnel?

--- Later in debate ---

[Douglas Chapman (Dunfermline and West Fife) (SNP)]

An article in the Washington Post said that the F-35s are not yet ready for “real-world operational deployments”. Is the Minister supremely confident that the F-35s will be ready to be fully deployed on the first carrier that leaves Rosyth?

[Mr Dunne]

As the hon. Gentleman may be aware, the United States marine corps declared the operational capability of its fleet of F-35Bs—the same aircraft that we will be flying—in August. Our aircraft are engaged in testing, evaluation and training in the United States.

[Mark Field (Cities of London and Westminster) (Con)]

Does the Secretary of State agree that some of the concerns about Chinese investment in critical infrastructure in this country, which have understandably been raised, can be placated by reference to the work that has been done between our security services and Huawei in relation to investment in telecommunications? Will he look on that as a useful template that can be utilised as and when there is investment in the nuclear industry by Chinese investors?

Avro Vulcan XH558

Philip Dunne Excerpts

Tuesday 21st July 2015 Westminster Hall

[The Minister for Defence Procurement (Mr Philip Dunne)]

Sir David, I am sure you will join me in congratulating my hon. Friend the Member for Aldershot (Sir Gerald Howarth) on securing this debate and on paying such a moving tribute to this magnificent aircraft, which, as we can all tell from the tone of his remarks, he holds in very high regard indeed.

My hon. Friend also told us how he originally became a trustee of the Vulcan to the Sky Trust; I suspect that on the back of that public explanation, he may be invited to become a trustee of several other aviation charities in the future. He has been a doughty advocate for the trust. I share his respect and admiration for the dedicated enthusiasts, many of whom he named, whose tireless efforts returned this iconic aircraft to flying condition so that another generation might witness it in the skies over the UK. I met several of those volunteers at the royal international air tattoo last year, and was impressed by their dedication and commitment to this remarkable aircraft, which I enjoyed seeing again, albeit static, at RIAT this year.

The Avro Vulcan was introduced into service with the RAF in 1957. As we heard, 134 were produced for the Royal Air Force by Avro at its Woodford aerodrome site near Macclesfield between 1956 and 1965. It was designed as a long-range bomber capable of reaching targets far into the then Soviet Union. On its introduction, it represented the cutting edge of aviation and was a step change in technology from its wartime predecessors. It was a clear, iconic demonstration of the quality and vision of British engineering. The last operational Vulcan squadron disbanded in 1984, but the Vulcan continued with the RAF in a display role until it finally left service in 1993.

The Vulcan bomber was a stalwart of the so-called V-force, which comprised Vulcan, Victor and Valiant aircraft. The V-force provided Britain’s strategic nuclear deterrent during the dark days of the early cold war. The RAF’s Vulcan fleet was held in a state of continuous readiness to respond to any nuclear threat from potential aggressors. It required continuous training and dedication to maintain aircraft and aircrew at a constant state of peak readiness.

[Bob Stewart]

I want to challenge my very good friend the Member for Aldershot slightly on one point. My hon. Friend stated that there was only one operational attack by a Vulcan on the Falklands; as the Minister just outlined, the Vulcan fleet was operational from about 1957 to ’69, flying in the cold war on operations, defending our freedom and our right to exist. I should like to point that out. I slightly disagree on that small point.

[Mr Dunne]

My hon. Friend is right to emphasise the role played by Vulcan crews during the cold war, but of course my hon. Friend the Member for Aldershot is also correct in saying that the aircraft was only ever used once in a strike capacity, during the Falklands war. I will mention that in a moment.

The state of high readiness continued for many years, until the nuclear role of Vulcan bombers was replaced in 1969 by the Royal Navy’s fleet of Polaris and later Trident submarines. It is precisely because of the deterrent capability that it provided to our country that the Vulcan was never called on to use its nuclear capability in anger against the Warsaw pact. I am sure that my hon. Friend the Member for Aldershot agrees that that is precisely why the Government remain committed to the provision of a continuous at-sea deterrent today.

As we have just discussed, Vulcans did see action during the 1982 Falklands conflict. At that time, the Vulcan was already a 25-year veteran, approaching the end of its service life. There was no expectation that it would shortly be thrust into a critical role in the Falklands war. In the Black Buck raids, RAF Vulcan aircraft flying from Ascension Island carried out what were then the longest-distance bombing raids in history, covering a return distance of some 7,700 nautical miles. A total of five successful raids were made by Vulcan aircraft against the airfield and Argentinean radar installations at Port Stanley. A Vulcan bomber cratered the runway at Port Stanley and denied Argentinean fast jets a base from which to attack the taskforce. It also sent a clear strategic message to Argentina that Britain would take any necessary steps to defend its sovereign territory and protect the islanders’ right to determine who governed them—a policy that this Government still hold dear today. The House will be interested to know that Vulcan XM607, which completed the first of the Black Buck raids, is preserved at RAF Waddington, is much prized and can be seen by members of the public from the Waddington aircraft viewing enclosure.

The Black Buck raids were a testament to the courage of the men who flew all the aircraft involved and to those who supported them. I know that my hon. Friend will share my admiration for the Handley Page Victor tanker crews that assisted with the raids: a remarkable relay of some 12 tanker aircraft that ensured that the Vulcan was refuelled in mid-air five times per mission. That is a remarkable example of improvisation, professionalism, airmanship and military logistics.

Vulcan XH558 made its maiden flight in May 1960 and has flown more hours than any other Vulcan. It first served with 230 Operational Conversion Unit, providing training for pilots new to the Vulcan type, before transferring to front-line service with the Waddington wing. In 1973 it transferred to the maritime radar reconnaissance role and in 1982 was converted for use as a refuelling tanker. It finished its RAF career with the Vulcan display flight before making its final RAF flight in 1993.

Retiring from the RAF after many years of sterling service, the Vulcan was taken into private ownership, as we heard, thanks to the work of the Vulcan to the Sky Trust. It was returned to flying condition in 2007, since when it has been seen at many air shows across the UK. Although the preservation of the aircraft is not a core defence requirement, the RAF has in the past assisted where it could with this project to restore and maintain Vulcan XH558. It seconded a number of skilled RAF engineers to the restoration project and provided hangar space, notably at RAF Lyneham.

As I said, I saw the aircraft on the ground at RAF Fairford on Friday. Although it was static, it was the air platform subject to the greatest intensity of interest at the show. I saw the video of it flying in formation with the Red Arrows on Sunday, which must have been an utterly thrilling sight for the thousands of spectators present. I cannot think of a more fitting way for the RAF to mark its affection for this fine aircraft, with two icons of British aviation flying side by side. Even more appropriately, the Vulcan was once based at RAF Scampton in Lincolnshire, now home to the Red Arrows—evidence, if any was needed, of the great heritage of the RAF and the comforting ebb and flow of the past giving way to the future.

The MOD takes its commitment to the aviation heritage of this nation very seriously and is proud to do so. It is RAF heritage strategy, where possible, to preserve one of every aircraft type in the national collection at the RAF Museum. In the financial year that ended in April ’14, the MOD donated just over £9 million pounds in grant in aid to the RAF Museum, which preserves many of the nation’s finest military aircraft, including two Avro Vulcans, which can be viewed by all who visit the RAF Museum sites at Hendon or at Cosford, just outside my constituency in Shropshire—a good visit for all. The Imperial War Museum, which received a £21 million grant from the Department for Culture, Media and Sport last year, also has a Vulcan aircraft at its site at Duxford.

Many will share my hon. Friend’s disappointment that the Vulcan will not continue to fly and that we will not be able to spot it in the skies of the nation that it served and protected so diligently. But as we have also heard, it is encouraging to learn that the Vulcan will continue to play a pivotal role in the future, just it has in our past, albeit in a heritage capacity.

I was delighted to hear my hon. Friend mention the plans for the XH558 to be a living centrepiece for a Vulcan Aviation Academy and Heritage Centre at Robin Hood airport, near Doncaster, providing inspirational opportunities for the next generation to learn about aviation and help prepare them for future jobs in the aviation world. I am sure the House will welcome this admirable initiative, and I wish the project the very best.

I congratulate my good friend the Member for Aldershot on his fine championship of the Vulcan through his work on the trust. I also congratulate him on securing this debate and on giving us this opportunity to highlight the role that the Royal Air Force has played in serving this nation so well, using various aircraft types for close to 100 years.

Question put and agreed to.

Submarine Dismantling Project

Philip Dunne Excerpts

Wednesday 15th July 2015 Written Statements

[The Minister for Defence Procurement (Mr Philip Dunne)]

On 16 October 2014 I announced that the Ministry of Defence (MOD), Submarine Dismantling Project (SDP) public consultation process would take place between 14 November 2014 and 20 February 2015. Today I can announce, with the conclusion of that process, an initial report from the public consultation is being published online.

Five sites were shortlisted to house an interim store for intermediate level radioactive waste (ILW) removed from 27 nuclear submarines that have been, or will be, decommissioned. The interim store will have the capacity to hold all this ILW until it is transferred to a geological disposal facility (GDF) some time after 2040.

The public consultation sought views about the sites that had been shortlisted and how people felt about the site near them being chosen. The report draws together all the views and collates them under themes to provide a clear and accurate consensus of the opinions raised by site and subject.

This initial report contains only views from the public and no response from MOD as yet, this will come in a later report. It has been published today on the Government website at:

http://www.gov.uk/government/consultations/submarine-dismantling-project-site-for-the-interim-storage-of-intermediate-level-radioactive-waste

Moving forward, assessment continues, taking into account the public consultation findings and information that has been requested and gathered from the sites themselves. The five shortlisted sites are: AWE Aldermaston in Berkshire; AWE Burghfield in Berkshire; Capenhurst in Cheshire; Chapelcross in Dumfriesshire and Sellafield in Cumbria.

A final decision about which site will house the interim store will be made in 2016.

A copy of the report has been placed in the Library of the House.

[HCWS110]

Oral Answers to Questions

Philip Dunne Excerpts

Monday 13th July 2015 Commons Chamber

[Jeremy Lefroy (Stafford) (Con)]

1. What plans he has to invest in the armed forces helicopter fleets.

[The Minister for Defence Procurement (Mr Philip Dunne)]

The Government are investing to transform the helicopter fleets supporting our armed forces. Last week’s news of a bigger budget and confirmation that we will meet NATO’s target of 2% of gross domestic product reinforces confidence in our equipment plan, which sets out our plans to spend more than £12 billion on helicopters over the next 10 years.

[Jeremy Lefroy]

I thank the Minister for the welcome investment in the helicopter fleet, which is underpinned by the commitment to spending 2% of GDP. The tactical supply wing of the RAF, which is based in my constituency of Stafford, supports UK, NATO and allied helicopters around the world by performing hot refuelling, which means that the rotors are running. Will he confirm that sufficient resources will be made available to TSW so that it can support the investment in the new fleet?

[Mr Dunne]

I congratulate my hon. Friend on taking such an interest in the tactical supply wing, which is based in his constituency. I believe that he has seen it on duty, supporting our training activities in Kenya. I join him in paying tribute to the unit, which provides invaluable support to deployed helicopter fleets, at extreme and very high readiness. It recently supported our Merlin helicopters on HMS Bulwark to assist in the fight against Ebola in Sierra Leone and in the human trafficking efforts in the Mediterranean. I know that he takes a great interest in both matters.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

The Minister will know that it is not only what we buy that is important, but where it is manufactured. What percentage of our helicopters are made in the UK, and what about the other defence industries that seem to be declining? We are relying too much on imported defence equipment.

[Mr Dunne]

I confirm that of the five principal helicopter fleets, two are manufactured by AgustaWestland and supported from Yeovil; one is supplied by Eurocopter, which has activities in Oxfordshire; and the Chinook and Apache fleets are Boeing.

[Mr Peter Bone (Wellingborough) (Con)]

Does the Minister agree that we want the best helicopters for our forces? It is right that there is a spread, but we want the best, not necessarily just ones that were made in this country.

[Mr Dunne]

I completely agree with my hon. Friend, who has some knowledge of this subject; I met his son flying one of the Chinook aircraft in his constituency. It is right that we invest in the best capability and provide our forces with the best equipment that is available across the world, irrespective of where it is manufactured.

[Mr Robin Walker (Worcester) (Con)]

2. What steps he is taking to increase the number of cadet units in schools.

--- Later in debate ---

[Scott Mann (North Cornwall) (Con)]

14. What capability upgrades are planned for Typhoon jets.

[The Minister for Defence Procurement (Mr Philip Dunne)]

The Eurofighter Typhoon is a dynamic multi-role combat jet whose capability is continuously evolving. Tranche 2 and tranche 3 aircraft are now fitted with the Paveway IV bomb. Integration of the Storm Shadow deep-strike weapon is under way. The Meteor beyond visual range air-to-air missile and the Brimstone 2 precision effect missile will add world-class air-to-air and precision strike capabilities to the aircraft.

[Scott Mann]

I thank my hon. Friend for his response and I am sure he and the whole House will join me in welcoming the Chancellor’s announcement that this Government are committed to spending 2% of GDP on defence. How will this improve our air force capabilities?

[Mr Dunne]

I am glad that my hon. Friend recognises the importance of the 2% commitment, and I welcome him to his place. We have successfully intercepted all potential incursions that have been shadowed by our quick reaction Typhoon aircraft and we can be confident that the Typhoon’s exceptional performance makes it capable of combating any threats sent in the direction of our shores.

[Victoria Atkins (Louth and Horncastle) (Con)]

20. Typhoon jets fly from RAF Coningsby in my constituency, as does the Battle of Britain memorial flight. Will the Minister join me in congratulating the RAF on a magnificent flypast last Friday of Spitfires, Hurricanes and a Typhoon to mark the 75th anniversary of the Battle of Britain?

[Mr Dunne]

I also welcome my hon. Friend to her place and she is right to highlight the importance of the magnificent flypast last Friday to mark the 75th anniversary of the Battle of Britain. I am very happy to join her in congratulating today’s RAF pilots on this fitting tribute to their predecessors in years gone by. These events highlight the bravery and professionalism of the men and women who have served and continue to serve our country so well. She might like to know that my hon. Friend the Minister for the Armed Forces will be visiting RAF Coningsby to congratulate them in person later this week.

[Diana Johnson (Kingston upon Hull North) (Lab)]

17. What recent discussions he has had with the Foreign Secretary on the relationship between the national security strategy and the strategic defence and security review.

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[Kirsten Oswald (East Renfrewshire) (SNP)]

19. How existing and anticipated threats to UK interests will be taken into account (a) as part of the strategic defence and security review and (b) in future allocations of defence expenditure.

[The Minister for Defence Procurement (Mr Philip Dunne)]

The SDSR will consider the broad range of threats we face, both now and in the future. The national security strategy is being reviewed and will draw on the latest version of the national security risk assessment. As my right hon. Friend the Chancellor made clear last week, this Government are committed to increasing the defence budget by 0.5% in real terms and meeting the NATO pledge to spend 2% of GDP on defence each and every year of this decade.

[Kirsten Oswald]

I thank the Minister for his answer. When considering the SDSR, we are all aware of the highly skilled workforce on the Clyde who are waiting to build Type 26 frigates. Can he explain what was meant by the article in The Sunday Times which stated that the Government would be “bringing realism” to this programme? What does that mean for the future of this vital project? Can he guarantee that there will be no further delays or doubts cast upon it?

[Mr Dunne]

My right hon. Friend the Secretary of State has already answered that question in response to a previous one. The workforce on the Clyde are currently manufacturing three offshore patrol vessels commissioned by the previous coalition Government. We want to make sure that before we enter the full manufacturing contracts, the contracts’ structures are robust and we can hold the contractors to account, unlike what happened with the aircraft carrier contracts, which blew up to more than double their original cost.

[Sir Gerald Howarth (Aldershot) (Con)]

I am a great fan of my hon. Friend and my right hon. Friend the Secretary of State, but we need a little more clarity on the question of defence spending. Paragraph 2.22 of the Treasury Red Book states:

“The Ministry of Defence budget will rise at 0.5% per year in real terms to 2020-21.”

Given that the economy is growing at about 3%, can my hon. Friend tell me how we are going to meet the 2% commitment when there is to be only a 0.5% increase in the budget? Is it to be done by raiding other accounts?

[Mr Dunne]

I am very much aware of my hon. Friend’s success in securing a position in the private Members’ Bill ballot to introduce legislation on this very subject. I have the privilege of confirming to him and to the House that I will be answering those debates, so we will have plenty of opportunities to discuss this issue. The bald fact is that we are meeting the 2% commitment this year, and as I have just said, we will meet it each and every year of this Parliament.

[Will Quince (Colchester) (Con)]

21. What plans he has to invest in new equipment for the armed forces.

[The Minister for Defence Procurement (Mr Philip Dunne)]

Once again, this Government, in stark contrast to what happened during 13 years of the Labour Government, have not relied on a wish list of unfunded equipment projects. Instead, we have balanced the budget and committed to a real-terms increase in the defence budget. We will be meeting our NATO commitments, not just—I will say it once more—on spending 2% of GDP on defence, but on investing 20% of the defence budget on equipment.

[Will Quince]

Colchester is home to 16 Air Assault Brigade, the Army’s rapid response unit. Will my hon. Friend ensure that it has the best possible equipment to tackle the many challenges that we may ask it to face?

[Mr Dunne]

I am very pleased to welcome my hon. Friend to the House. He has a considerable military interest in his constituency, not least the 16 Air Assault Brigade. The new A400M Atlas air transport aircraft is being introduced to replace the C-130 Hercules fleet, and the third of those aircraft was delivered to the RAF last week. The ongoing development trials of the Atlas will mean that parachutists and their equipment from the UK rapid reaction force will be able to parachute from both sides of the aircraft and the ramp, and it will become the air mobility transporter of choice for rapid reaction forces—

[Mr Speaker]

Order. We are grateful to the Minister. Alistair Carmichael. Not here.

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[Ian Blackford (Ross, Skye and Lochaber) (SNP)]

T4. The Minister will be aware of concern in my constituency about the implications of the expansion of the British Underwater Test and Evaluation Centre, particularly the threat of the closing off of the fishing grounds which would threaten the livelihoods of 70 fishing boats and 120 families in my constituency. Will the Minister tell us when the consultation exercise that we have long been promised will begin?

[The Minister for Defence Procurement (Mr Philip Dunne)]

I am slightly surprised that the hon. Gentleman feels the need to raise this matter again, three weeks after his Adjournment debate in which I addressed those questions very directly. The consultation exercise is part of 200 defence establishments’ bylaws being consulted on—we will be beginning that later this summer. There is a separate exercise with the fishermen, who will not lose their livelihoods as he is suggesting, and that will be undertaken by QinetiQ shortly.

[Mr Speaker]

Of course, repetition is not a novel phenomenon in the House of Commons.

[Simon Hoare (North Dorset) (Con)]

T6. Does my right hon. Friend agree with my analysis that the very welcome investment in both Typhoon and the joint strike fighter to provide the Royal Air Force with the best aircraft possible is a direct result of, first, a growing economy and, secondly, sorting out the basket case of an MOD budget that we inherited?

[Mr Dunne]

My hon. Friend lights on a very important point—that defence plays a part in the prosperity of this nation. ADS, the trade association, has estimated that some £22 billion of economic activity is attributable to the defence industry and it employs some 200,000 people in this country. The combat jet component of that is significant.

[Mr Graham Allen (Nottingham North) (Lab)]

T5. Does the Secretary of State believe that after the invasion of Iraq and the intervention in Afghanistan and Libya, we have less international fundamentalist religious terrorism or more?

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[Mr Nigel Evans (Ribble Valley) (Con)]

T7. BAE systems at Samlesbury is about to hit another milestone with the manufacturing of the 200th aft fuselage of the F35. Will the Minister come to BAE Systems at Samlesbury during this period to see at first hand some of the most dedicated and skilled workforce in the United Kingdom?

[Mr Dunne]

My hon. Friend is right. As the only tier 1 partner in the F35 programme, the United Kingdom is playing a very significant role. Every aft section of every F35 is manufactured at Samlesbury in his constituency, providing high-skill jobs to many of his constituents. I am quite certain that I or one of my ministerial colleagues will have the pleasure of visiting his constituency soon.

[Mr Douglas Carswell (Clacton) (UKIP)]

T10. The Government have given a commitment to implement my party’s policy and spend at least 2% of GDP on defence. This target has been achieved by including the single intelligence account as defence spending. When might the Government meet the 2% target without cooking the books?

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[Kate Green (Stretford and Urmston) (Lab)]

Bidders in my constituency report a worrying picture of the Crown Commercial Service’s handling of defence procurement contracts, with unreasonable timescales, inappropriate specification, and tenders being issued and then withdrawn. What steps are being taken to improve matters, especially for SME bidders?

[Mr Dunne]

The Crown Commercial Service is run through the Cabinet Office, and we are in a long series of discussions with it about transferring commodity-type procurement from Defence Equipment and Support to the CCS. I believe it currently has nine separate categories of activity accounting for over £1 billion of our spend. We are regularly in discussion with it to ensure that its processes are as smooth and efficient for the supply to our armed forces as they are for the contractors involved.

[Mark Pritchard (The Wrekin) (Con)]

The Secretary of State will be aware that hundreds of Syriac Christians have been murdered by ISIL in Syria. What discussions could he have with the Kurds to see what non-lethal assistance could be given to the Syriacs? Certainly, the Syriac Military Council has four battalions of men who are prepared to fight ISIL in Syria.

BUTEC Facility (North-West Scotland)

Philip Dunne Excerpts

Tuesday 23rd June 2015 Commons Chamber

[The Minister for Defence Procurement (Mr Philip Dunne)]

Madam Deputy Speaker, I should like to add my congratulations to you on your election. This is the first time I have had the opportunity to serve under your chairmanship. When we first arrived in Parliament in 2005, we served together on the Work and Pensions Select Committee, and I have fond memories of the agreement that we reached on many matters despite coming from opposite sides of the Chamber. This is a great pleasure.

I should also like to congratulate the hon. Member for Ross, Skye and Lochaber (Ian Blackford) not only on securing this important debate for his constituents but on his presence in the Chamber tonight having won his seat in Parliament. I have listened carefully to what he and the hon. Member for Argyll and Bute (Brendan O’Hara) have said, and I shall seek to address the points that they have raised. I am grateful to the hon. Member for Argyll and Bute for alerting me to the fact that he was going to contribute to the debate.

Before I address those points, it might be helpful if I explain our plans for the British Underwater Test and Evaluation Centre—widely known as BUTEC—and other associated facilities. BUTEC is currently located on two sites in the Inner Raasay Sound: a control centre on the Applecross peninsula and the site support base at Kyle of Lochalsh. Together with a third site, the underwater acoustic signature range operated from the Island of Rona, these are collectively known as the Raasay ranges. All three facilities are operated on behalf of the MOD by QinetiQ under the terms of a long-term partnering agreement. The LTPA is a 25-year contract, effective from 2003, worth about £5.6 billion over the life of the contract for the delivery of test, evaluation and specialised training support services. That partnering arrangement delivers an efficient and affordable service that provides access to QinetiQ’s test and evaluation capabilities and expertise, while sustaining investment in new technology and facilities.

I would like to make it absolutely clear that there remains an enduring defence requirement for the capabilities provided by the Raasay ranges. Important work that could not easily be undertaken elsewhere is carried out there to support UK defence, including the measurement of acoustic, electromagnetic and radar signatures of naval platforms, and the testing of some maritime conventional weapons systems. As with all Departments, the MOD must continually strive to deliver capability efficiently. I am proud to have been part of the team helping to deliver more than £5 billion of cost savings since 2010. All areas of defence are regularly examined to ensure that we can deliver our required capabilities at best value to the taxpayer.

As part of our work on potential cost reductions, QinetiQ developed a proposal, at the request of the Department, to optimise and sustain the Raasay ranges. This proposal would see the closure of the Rona facility and the relocation of in-water acoustic measuring equipment to the BUTEC water space, as well as technical enhancements at the Applecross and Kyle of Lochalsh sites. This will result in a significant modernisation of the range architecture. The enhancements would mean long-term investment of approximately £22 million in the constituency of the hon. Member for Ross, Skye and Lochaber, although much of the investment will be made under water. This is expected to deliver some £1 million of annual operating cost savings until 2028, when the current agreement with QinetiQ expires.

As part of this reorganisation, up to 13 posts currently based at the remote Rona facility will be lost. Those posts are manned by personnel who operate in a similar way to workers on offshore oil rigs. In other words, they are not locally housed individuals—they often come from the central belt in Scotland—and therefore have no immediate impact on the local economy because they do not have the opportunity to spend their wages locally. That is because there are no facilities there, other than their own facility and a local household living on the Rona Island. It is hoped that as many of these reductions as possible will be achieved through voluntary means.

It is important to set this in context. Aside from those job reductions, the proposed enhancements will be very good news for the remaining employees of QinetiQ, about 80 of whom work at Applecross and the Kyle of Lochalsh. I understand that QinetiQ is the second largest employer, after the local authority, in that area, so it is a significant employer in the hon. Gentleman’s constituency.

[Brendan O'Hara]

May I get clarification on something? The Minister said that this would lead to £1 million of savings for the MOD, but the knock-on effect to the local economy will be that the fishing boats will be cleared out of the new extended range. There will therefore be a devastating effect on the local economy while the MOD is saving £1 million per annum.

[Mr Dunne]

I shall come on to deal with the hon. Gentleman’s comments about the impact on the fishing industry, because that is the thrust of the argument being made by Scottish National party Members. In short, that vision is not shared by the MOD, and I will come on to explain why. We believe that this investment will sustain the activity in Applecross and the Kyle of Lochalsh, and in the Inner Sound, which will have an enduring future in terms of maintaining economic prosperity in the area.

Relocating the in-water acoustic measurement equipment away from Rona will mean extending the current Ministry of Defence byelaws for the BUTEC protected water space by some 28 sq km. The current byelaw covers 82 sq km, which is currently divided into two areas. The first is an outer area of approximately 56 sq km, which prohibits the fishing by any method involving the use of a net or dredge. There is also an inner area of around 26 sq km within which all fishing, whether by line, net, trawl or creel, as well as the anchoring of vessels, dredging and dumping of rubbish are prohibited.

Under the proposed changes for the BUTEC water space, there would be a single water space provided for all range activities covering an area of approximately 110 sq km. This relatively modest increase in water area would be offset by removing the fishing restrictions currently in place in the area of water around the Island of Rona.

Let me assure the hon. Gentlemen that the Ministry of Defence takes very seriously its obligations to ensure the continued and sustainable use of waters that are used for defence purposes by other users. We already work closely with the Department for Environment, Food and Rural Affairs and with Marine Scotland to establish a sound informal consultation process in respect of the national marine plan development.

As part of the work to implement QinetiQ’s proposal for BUTEC, it will be necessary to revise the current byelaws. Part of that revision process involves the need for public consultation. It is intended that this formal public consultation will commence later this summer as part of a separate strand of work to review all current byelaws at some 200 defence sites. The consultation is in relation to byelaws, the timing of which is not determined solely by this site. It is affected by proposals across a range of defence sites, not exclusively in Scotland—most of them are in fact outside Scotland.

[Ian Blackford]

I am interested to hear what the Minister is saying. The reason there is so much concern is that some of the information that came from QinetiQ, which ended up in the public domain, referred to a much larger exclusion zone than he is expressing in his statement today. The map, which I am sure the Minister has seen, indicates a potential doubling of the area. I wish to hear some clarification on what was talked about. The information that was in the public domain is therefore not correct. My constituents and I would welcome an early consultation on that and to hear what it means for the fishing community.

[Mr Dunne]

My understanding is that QinetiQ enjoys a close and co-operative relationship with local fishermen and their representatives. Although it may not have engaged in a direct consultation in relation to the impact on fishing, it is absolutely our intention to do so, and I will come on to that in a moment. I cannot comment on what material may have appeared in the public domain by sources outside the Ministry of Defence, but I hope that I have given some reassurance already that the extension of the area that we are talking about is relatively modest, and not at the kind of dramatic level that the hon. Gentleman seems to think is likely to be the case.

The Ministry of Defence has a presumption in favour of public access wherever this is compatible with operational and military training uses, public safety, security, conservation and the interests of tenants. It is, therefore, important that the views of local communities are taken into account when we propose any changes to occupation or use of shared space.

To assist with the BUTEC public consultation, we will place notices in the local press that the draft byelaws will be made available on the Ministry of Defence website and copies will also be available in local libraries and other municipal buildings, providing the opportunity for anyone wishing to express their views to be able to do so.

I point out gently to the hon. Gentlemen that Members of the Scottish Parliament were notified by me in writing in February that this exercise would be undertaken in the summer. There was no suggestion in my correspondence with the local authority, the then existing Members of Parliament, or Members of the Scottish Parliament that there would be a consultation beginning any time before the summer. I am not aware that there was any suggestion that there would be a consultation starting in April coming out of the MOD, so I am not sure where the hon. Gentleman has got that suggestion from.

I would further like to make it clear to the Opposition Members present that all the views expressed by those taking part will be considered fully as part of the decision-making process, which will also require appropriate ministerial approval, ultimately, by me, and that will include consultation with fishermen. The suggestion that this has all been agreed in advance is not the case. Proposals have been made by QinetiQ. They will be consulted upon. We will consider the responses to that consultation and then we will make a decision.

[Ian Blackford]

If that is the case, why is it that construction activity seems to have started?

[Mr Dunne]

I will come on to that in a moment.

I recognise that the people who are most likely to be affected by the BUTEC plans will be those whose livelihoods depend on fishing the waters of the Inner Sound, which is the concern that has been particularly expressed in this debate. Naturally, they have legitimate concerns about how our plans will be implemented and how this might affect them in the long term, so we completely recognise that it would be wrong simply to ignore their views. For that reason, and in parallel to the byelaw consultation, I want to ensure that full and proper discussions are held with representatives of the local fishing communities, which we will start shortly, in advance of the byelaw consultation. The aim of these talks will be to investigate what options might be available that would allow some fishing to take place at certain times within the revised water space—much as happens at present in part of the area other than that which is completely prohibited, which the fishing communities are well accustomed to. Of course, this work will have to be balanced with the Ministry of Defence’s need to protect its investments and to ensure the continued operation of this vital defence capability.

As I mentioned, I wrote to the predecessor of the hon. Member for Ross, Skye and Lochaber, the well respected and late lamented Charles Kennedy, and met him shortly before the general election, to explain what was envisaged, the process of consultation, and that no final decisions had been taken, contrary to local press reports. I also wrote to Members of the Scottish Parliament and local authority leaders, and I look forward to developing a similarly constructive relationship with the hon. Member for Ross, Skye and Lochaber.

There is work to be completed before any final decisions are made, which on current plans is expected around the end of the year. Full implementation of the changes is due to be completed during 2017.

In relation to the construction that has started already, most of this investment will be in looking at sensors under the water. There is a modest amount of investment in the existing facilities to upgrade some of the physical capacity onshore. Where that does not require planning consent, that work can continue in any event and is already starting. That is part of the £22 million investment. Some elements require consultation; respect for local planning regulations, if any, is necessary, and consultation with statutory consultees such as Marine Scotland. Of course that work cannot be done until that process has been completed, but initial preparatory work can be undertaken. It is nothing to alarm hon. Members, as though that was prejudging that consultation. Much of this work needs to be done routinely as part of a 25-year contract. You would not expect there to be no improvements during the course of a contract as long as that.

I shall try to allay some of the fears of the hon. Gentleman, who represented an apocalyptic vision of the impact of these proposals on fishermen. I have seen nothing to suggest that that vision is remotely applicable to what we are proposing here. We are actively keen to engage with fishermen who, in particular, undertake creel fishing for prawn and other crustaceans in the sound. There is an established relationship with QinetiQ and a channel for communication to allow that to happen when there is no testing going on. There is no reason to suggest that that would change. There might be specific areas of the sound where we will be looking to extend the prohibition, but they are relatively modest, and certainly nothing like the scale that the hon. Gentleman suggested, which might lead to the devastation of the industry to which he referred.

[Ian Blackford]

I look forward to the consultation exercise, and I will be satisfied if what the hon. Gentleman has laid out turns out to be the case. Hopefully he understands why there are legitimate concerns. The information that came into the public domain from QinetiQ paints a very different picture from the one that he has put forward today; it suggests a much larger expansion in the area. Therefore, one can understand why people in my community are concerned when they see construction activity starting. If that is in any way related to the expansion plans, would it not be more respectful to the local community if that did not happen until after the consultation exercise?

[Mr Dunne]

All I will say to the hon. Gentleman is that I think it behoves him to act responsibly as a Member of Parliament and not to foment his constituents into getting overexcited about something until he is well informed about the situation. We all have to deal with contentious issues in our constituencies, and having been a Member of Parliament for 10 years, I think that it is always better to adopt an informed position before reaching for the panic button. Therefore, I hope that this debate has helped reassure the hon. Gentleman on how we propose to conduct ourselves and the extent of the consultation we are looking to undertake, because we will take into account the legitimate views of his constituents who might be inadvertently affected.

I would like to answer some of the hon. Gentleman’s questions. He asked who will be responsible for the consultation. The byelaw consultation will be undertaken by the Defence Infrastructure Organisation’s byelaw review team. The consultation with the fishermen will be undertaken primarily by QinetiQ, as it has the direct relationship with them. He asked whether the depth of the water would have an impact on what we are proposing, and the answer is no; the extension of the range would be in water of a similar depth, rather than shallower water. He asked whether we have any expectations of an adverse impact on the fishing community, which I think I have already addressed. The answer is that we do not think so, but we are keen to explore any concerns there might be.

On the question asked by the hon. Member for Argyll and Bute (Brendan O'Hara), I do not think that there is a question of undue secrecy by the MOD. As I have said, we have been very clear with his colleagues in the Scottish Parliament about what we are seeking to undertake, and we will do a consultation. However, we will maintain secrecy over the precise nature of some of the equipment and the capability it delivers, because that has a clear defence purpose. I do not think that he would expect us to be as transparent about that.

The hon. Member for Argyll and Bute also raised in a traditional way his concerns about whether this might be some underhand way of encouraging Trident renewal. I do not think that is a relevant concern here. This is about providing capability that is used for a wide variety of submarine testing, including the strategic deterrent, but it is by no means exclusively in relation to it.

[Brendan O'Hara]

Can I be absolutely clear that the extension of the range has absolutely nothing to do with the proposed renewal of Trident? I find it difficult to comprehend that such an investment would be made in an underwater submarine test facility when the Government are clearly on record as supporting Trident renewal. Is this not just under-the-line spending, by which we have seen billions spent preparing for Trident renewal before this House has had a chance to debate it?

[Mr Dunne]

As I tried to make clear at the outset, this is about improving the efficiency of the facilities that exist at the moment in the Inner Sound. We are, in essence, taking two separate locations under the water and combining them into one. The functionality of what happens under the water is being improved because of technological advances. This has to do with seeking to upgrade the existing facilities to make them fit for purpose for the future; it has no specific relationship to the strategic deterrent.

I think I have sought to address all the points that hon. Members have raised. I hope that the House will understand why the changes I have outlined for the BUTEC water space are required. Put simply, they are key to sustaining the continuing operation of this vital facility, which happens to be one of the largest employers in that part of the constituency of the hon. Member for Ross, Skye and Lochaber. I hope that he will come to recognise that this is something that he should support.

Question put and agreed to.

Oral Answers to Questions

Philip Dunne Excerpts

Monday 8th June 2015 Commons Chamber

[Mr Laurence Robertson (Tewkesbury) (Con)]

4. When he expects to complete negotiations on the sale of the Defence Storage and Distribution Agency in Ashchurch; and if he will make a statement.

[The Minister for Defence Procurement (Mr Philip Dunne)]

I know that my hon. Friend takes a keen interest in the Ministry of Defence presence at Ashchurch in his constituency. I am pleased to be able to inform him and the House that a land sale development partnership contract was signed with Vinci St Modwen in March this year to promote the site through the planning process and ultimately to enable its redevelopment, subject to planning consent. We expect to commence transfer of the site to our development partner in phases from early 2018.

[Mr Robertson]

I thank the Minister for that response and for the interest he has taken in the site. He will be aware that the threat of closure has hung over employees on that site for very many years. Can the redevelopment be moved along as quickly as possible with due regard to the future of those employees?

[Mr Dunne]

My hon. Friend rightly takes a great interest in the site for the welfare and future prospects of the employees from his constituency there. The 160 former employees and 80 agency staff within the Defence Support Group at Ashchurch were all transferred under the TUPE process across to Babcock on completion of that transaction on 31 March, and we have continuous and regular engagement with the trade union representatives to make sure that they are all fully informed.

[Derek Thomas (St Ives) (Con)]

5. What assessment he has made of the effectiveness of the contribution of the armed forces to tackling the spread of Ebola.

--- Later in debate ---

[Richard Graham (Gloucester) (Con)]

12. What progress his Department has made on the introduction of Type 26 frigates.

[The Minister for Defence Procurement (Mr Philip Dunne)]

As my hon. Friend knows, in February this year the Prime Minister announced the awarding of a contract for the demonstration phase of the Type 26 programme, valued at £859 million, to complete the detailed design for the ship and engage the maritime supply chain to procure essential long-lead items. This is an incremental programme and detailed discussions with the contractors continue. We intend to award a contract for the manufacture phase next year.

[Richard Graham]

That is welcome news for many manufacturers and specialist engineers. Can my hon. Friend confirm that there is no danger of falling behind our manifesto commitment for a 1% plus inflation equipment plan for our defence, and that that will not fall victim to any deferring of expenditure referred to by the Defence Secretary?

[Mr Dunne]

The current contract is completely taken into account in the equipment plan, which, as my hon. Friend rightly points out, is due to increase by 1% a year in excess of inflation for each of the next five years, and we have planned for it to do so during the currency of the 10-year plan.

[Julian Knight (Solihull) (Con)]

T1. If he will make a statement on his departmental responsibilities.