Defence Industrial Strategy

Baroness Foster of Aghadrumsee Excerpts

Wednesday 10th September 2025 Lords Chamber

[Lord Coaker (Lab)]

I absolutely take my noble friend’s point on the need for pace. Even though I listed some committees, they will be the result of an amalgamation of certain bodies, so I hope that will be of some reassurance.

I thank my noble friend for his comments on the need for defence jobs and defence investment to be not only in the south and south-east but across the regions. He has been a brilliant champion of the north-east for a number of years in the other place. He has spoken to me about other industries, such as shipbuilding, with respect to the north-east and other areas of the country. As for the defence growth deals, we have seen two in England, in South Yorkshire and Plymouth, and then those in the nations in Scotland, Wales and Northern Ireland. Such growth deals will ensure that the defence investment taking place will be spread across the country and benefit the whole country.

[Baroness Foster of Aghadrumsee (Non-Afl)]

My Lords, I warmly welcome this Statement, with its intent to create British jobs across the UK and make defence an engine for economic growth. I especially like—this will come as no surprise to the Minister—the reference to a union dividend. I want to probe the Minister a little on how SMEs across the UK—including in Northern Ireland, where we have a history of innovation and flexibility—can be practically helped to be part of the supply chain in those huge announcements, such as the one we saw last week with Norway. How can we practically help those companies to become part of the supply chain in those enormous deals? I congratulate the Government on that as well.

[Lord Coaker (Lab)]

I thank the noble Baroness for her comment about the Type 26 success that our country had and the frigates that will be built on the Clyde. It is a massive success for our industry. I also thank her for her continued efforts with respect to small businesses, not only in Northern Ireland but across the whole of the UK.

I hope the noble Baroness will notice that in the defence industrial strategy we tried hard to make sure that all the regions and the nations of the UK were properly represented. In one diagram on page 33, the noble Baroness will see the number of jobs in Northern Ireland: a total of 3,300 MOD-supported direct industry, civilian and military jobs. The noble Baroness is quite right to point out that we need to make sure that it is not only Thales in Northern Ireland which is of benefit, important as that is, but the small and medium-sized businesses. I do not want to incur the wrath of my noble friend Lord Beamish, but we have set up a specific body to drive small business growth and made a commitment to ensure that billions of pounds-worth of investment in the industry is directed towards small and medium-sized businesses.