Strategic Defence and Security Review

Liam Fox Excerpts

Thursday 4th November 2010 Commons Chamber

[The Secretary of State for Defence (Dr Liam Fox)]

I beg to move,

That this House has considered the matter of the Strategic Defence and Security Review.

Last month, the Government published the strategic—

[Mr Speaker]

Order. The Secretary of State should resume his seat. Given that he was manifestly late for the debate, I thought that, as a matter of straightforward courtesy, he would begin his remarks with a fulsome apology to the House. That is what he will now do.

[Dr Fox]

Mr Speaker, I completely apologise for any inconvenience to you or the House as a result of my late attendance.

Last month, the Government published the strategic defence and security review. This was a thorough, cross-Government strategic effort, overseen by the National Security Council, looking at all aspects of security and defence. It describes the adaptable posture that we have chosen to meet the threats and exploit the opportunities that we identified in the national security strategy.

[Bob Russell (Colchester) (LD)]

I intervene to assist the Secretary of State. He should pour a cup of water and catch his breath, so that he can be fully refreshed as he makes his statement. I hope that my intervention has been helpful.

[Dr Fox]

There always had to be very good reasons for the coalition; my hon. Friend shows how collegiate we have become in the past few months.

I pay tribute, after a long and complex process, to Lord Stirrup and Sir Bill Jeffrey, the outgoing Chief of the Defence Staff and the permanent secretary at the MOD. I would like to thank them for all their hard work on behalf of the Department and the armed forces over many years.

The fiscal environment that we inherited from the previous Government has required us to make some very difficult and complex decisions in the SDSR. That should not come as a surprise to the Labour party. In his Green Paper, my predecessor, the right hon. Member for Coventry North East (Mr Ainsworth), who is in his place today, wrote with characteristic understatement that defence faced

“challenging financial pressures…which will constrain Government resources.”

His Green Paper, a cross-party effort, said:

“We cannot proceed with all the activities and programmes we currently aspire to, while simultaneously supporting our current operations and investing in the new capabilities we need. We will need to make tough decisions”.

We have had 12 years without a fundamental rethink and we are in the midst of the biggest financial crisis in a generation, with an inherited defence budget that is in overdraft to the tune of some £38 billion and is tied up by a byzantine system of contractual obligations. There was a record in-year increase of £3.3 billion in the equipment programme during Labour’s last year in government alone. All that has come at a time when our armed forces are fighting at a high tempo in Afghanistan. It has fallen to this Government to take the tough decisions required without undermining serious capabilities, the military covenant or the UK industrial capacity.

If we had a clean sheet of paper without the financial pressures that face all Government Departments as a result of the inherited fiscal deficit, and if we were unencumbered by existing contractual obligations and in different operational circumstances, the results would undoubtedly have been different. Nevertheless, although difficult, the decisions that we have made are coherent and consistent, and will provide us with the capabilities that we require for the future.

We now know that, as the former Chief of the Defence Staff has said, Labour Ministers were offered advice on which cuts to make to get the defence budget back into balance, but that advice was rejected owing to the lack of political will in the run-up to the general election. Only the coalition Government have had the political courage to do what was financially and militarily right with defence. We have had to implement the cuts that Labour Ministers lacked the courage to make.

[Mike Gapes (Ilford South) (Lab/Co-op)]

The Secretary of State said that if he had had a clean sheet of paper, he would have made different decisions. Does that mean that the agreement with the French that was signed this week would not have happened?

[Dr Fox]

Quite the reverse. In opposition, we spent considerable time discussing with the French what we would want to do in terms of greater co-operation were we to win the general election. What we saw this week were the fruits of considerable labour on both sides for a considerable time.

It is rational and reasonable simply to want greater co-operation with our biggest military ally in continental Europe. What has been amazing in the last few days is the level of agreement, which seems to have occurred across the political spectrum, that this is not a drastic threat to UK sovereignty, but a common-sense use of both our nations’ resources.

[Mr Bob Ainsworth (Coventry North East) (Lab)]

As the Defence Secretary for the last year of the Labour Government, I remind the right hon. Gentleman that in that year we took £900 million out of the defence budget, rather than increase the deficit by £3 billion, and that that was met with howls from the then Opposition. Without wanting to fall out with the then Chief of the Defence Staff, I have to say that I cannot remember his ever having said anything to me about defence cuts that I was not prepared to make. I say that on the record.

[Dr Fox]

The right hon. Gentleman has made his point very clearly. Obviously, I am unable to say what discussions might have taken place. However, the point is that, as the National Audit Office said, there was an added overspend of £3.3 billion in the final year alone in the projects budgets. That is very clear.

As the Prime Minister has said, the SDSR was about taking the right decisions to protect national security in the years ahead, not simply a cost-saving exercise to get to grips with the biggest budget deficit in post-war history. However, let us be absolutely clear that those are not two separate things. Proper strategic thought encompasses ends, ways and means, matching ambition and policy to commitments and resources. A strategy that does not take account of fiscal or budgetary measures is no strategy at all; it is simply wishful thinking.

As Lord Ashdown recently put it, we cannot defend a country on flights of fancy. Furthermore, history has clearly shown how fundamental a strong economy is for effective national security and defence over the long term. We were left an economically toxic legacy by the previous Government. They doubled the national debt and left us with the biggest budget deficit in the G20. We are spending £120 million every single day just to pay off the interest on Labour’s debt. The interest we will pay next year on the debt is some £46 billion, significantly more than the entire annual defence budget, and we will get nothing for that money. Without regaining economic strength, we will be unable to sustain in the long term the capabilities required, including military capabilities, to keep our citizens safe and maintain our influence on the world stage.

If we learned anything from the cold war, it is that a strong economy equals strong defence. The economic legacy of the previous Government is a national security liability. We were left with a situation in which the country’s finances were wrecked while the world is a more dangerous place than at any time in recent memory.

Every Department must make its own contribution to deficit reduction and the MOD is no exception, but because of the priority we place on security, the defence budget is making a more modest contribution to deficit reduction relative to almost all other Government Departments.

The SDSR meets twin priorities of protecting front-line capability for Afghanistan and beginning the process of transforming our armed forces to meet the challenges of the future, setting the path to a coherent and affordable defence capability in 2020 and beyond.

[Angus Robertson (Moray) (SNP)]

As the right hon. Gentleman knows, decisions still have to be made on the future of the joint combat aircraft and RAF Lossiemouth, which the MOD recently concluded to be the ideal JCA base because it provides excellent access to training areas and modern facilities and is the most cost-effective. The Secretary of State is in Oslo next week meeting Nordic partners. Will he discuss the opportunities for air defence co-operation with the Norwegians, who will have the same aircraft and will station them closest to RAF Lossiemouth?

[Dr Fox]

The hon. Gentleman makes a useful point. We will be discussing a wide range of future issues, including air defences and the common threats that we face. The hon. Gentleman’s point is important but, as he recognises, it will have to be balanced against a number of other interests. We fully recognise the problems and anxieties that the uncertainties will create until the decisions are taken, but we will try to expedite them as best we can while fully understanding the issues involved.

As I said, the SDSR dealt with Afghanistan and the future 2020 force so, if I may, I shall take them in turn. Our armed forces are in Afghanistan first and foremost to protect our national security by ensuring that transnational terrorists cannot find safe and unhindered sanctuary there, as they did before 9/11. There is no difference across this House and those who seek to do ill to British forces or British interests should understand that there is a united House of Commons behind our armed forces.

Under the leadership of, first, General McChrystal and now General Petraeus, we have the right strategy in place to succeed. We now have the right number of troops in theatre with the right equipment and we will soon agree a plan for the transition of key responsibilities to the Afghan Government at the NATO summit in Lisbon in a couple of weeks’ time. We now have to be patient and let the strategy run its course.

The Foreign Secretary set out to Parliament last week the steady progress that is being made in the security mission. Afghanistan is the top foreign policy priority for the Government and the main effort for defence and we will do all that is necessary to achieve operational success and ensure that our forces have the tools they require to do the job. I am grateful to the shadow Defence Secretary and the shadow Foreign Secretary for showing such an interest in detailed briefing on the subject so early in their time in office.

[Keith Vaz (Leicester East) (Lab)]

Of course the Opposition support what the Government are doing in Afghanistan but, as we saw from the events of this week, as al-Qaeda is displaced from Afghanistan, it ends up in places such as Yemen. May I urge the Secretary of State to recognise that when we take action in one country, it affects another, and can we please also pursue a strategy to ensure that Yemen is as stable as possible?

[Dr Fox]

I am not sure that I accept the basic premise that it is an either/or situation. We have to deal with al-Qaeda in Afghanistan and Pakistan. Even if we deal with them effectively, that does not mean that there will not be a terrorist threat from elsewhere. We need to be ever vigilant and to recognise that the problem of dealing with an ideology is that it can occur in any part of the globe. We also need to be aware that it is most likely to be present and to have effect where there are failed states.

I believe that proper joined-up government that is willing to consider how we support failing states and how we get improved governance, resources and development into those countries is one of the best ways of ensuring that the ideology never takes root. It is true in whatever dispute we are talking about that people who have nothing to lose may gamble with it, whereas people who have a stake are far more likely to be circumspect about what happens. That is one of the best ways to deny territory to those with that sort of fanatical ideology.

[Ms Gisela Stuart (Birmingham, Edgbaston) (Lab)]

I agree with the Secretary of State’s assessment of Afghanistan and that there is a united House. However, could he enlighten the House by telling us at what stage the Prime Minister consulted him on the withdrawal date of 2015?

[Dr Fox]

We have so many ongoing discussions, not just inside the Government but, as the hon. Lady knows, with our NATO partners and with our American partners. It is essential that when we set these dates we are also cognisant of what the Afghan Government want. The Afghan Government have for some time—as the previous Government fully understood—had the ambition to manage entirely their own security apparatus by the end of 2014. The approach that has been taken by this Government and more widely in NATO has been to ask how we tie our timetables in with the ambitions of the Afghans. It is perfectly reasonable. As the NATO summit in a couple of weeks’ time will show, it is increasingly the view of NATO that we should transition out of a combat role and allow the Afghan Government to have control by the end of 2014, but that we should maintain the resources required to give them support. For example, whether the Afghans will be able to develop any sort of meaningful air wing according to their timetable of 2014 is something that we must consider.

[Bob Russell]

May I take the Secretary of State back to his comments on last week’s statement by the Foreign Secretary? So far, his speech has concentrated, quite rightly, on the military, but may I press him on the importance of joined-up government across Departments here so that in Afghanistan the political and economic sides—the other two sides of the triangle—get equal weight? Does joined-up thinking happen in Government here?

[Dr Fox]

It is increasingly happening, not only here but on the ground. To be fair, I must say that it is increasingly happening within NATO. The planning to co-ordinate military activity with the civilian reconstruction element is increasingly successful. There remains a gap which is what people talk about as “hot” construction, “hot” intervention or “hot” reconstruction, however we want to define it, which is at the initial period when we have military success, how do we begin the reconstruction process early enough and maximise the benefits from our own actions there? There are many people who would look at the example of Afghanistan in recent years and say that between 2003 and 2006 we perhaps did not ensure that we had in the optimal way joined the different elements that my hon. Friend mentions. However, we are seeing regular improvements in that regard, both nationally and internationally.

[Richard Ottaway (Croydon South) (Con)]

As the Secretary of State is probably aware, the Foreign Affairs Committee visited Afghanistan last week, when we had an opportunity to see the components of the settlement that he has described put in place. We welcome the indications of cautious optimism that are coming out of that country. As for 2015, does he accept that when that pledge was made, it related to a period that was almost the length of the second world war? Does he agree that that provides an ample opportunity for a solution and a settlement to be realised?

[Dr Fox]

My hon. Friend makes a very constructive point. I think that the time scales are realistic.

Where proposed changes in the SDSR had implications for operations in Afghanistan, we have ensured that the success of the mission was given priority. Consequently we have made no changes to combat units involved in Afghan operations and have postponed changes in other key capabilities such as the RAF’s Sentinel ground surveillance aircraft for as long as they are required there. This is in addition to the enhancements planned in capabilities such as counter-IED, protected vehicle surveillance and remotely piloted aircraft. And of course we have doubled the operational allowance, as we promised.

The men and women of our armed forces risk an awful lot to keep us safe. In Afghanistan, their sacrifice has been significant, and it will continue to be a dangerous place in which to operate. All of us in this House owe them our respect and gratitude, but most of all we owe them our support. This Government will not let them down.

[Mrs Madeleine Moon (Bridgend) (Lab)]

I appreciate what the right hon. Gentleman says about the debt of gratitude that we owe to our armed forces; that will be endorsed on both sides of this House. We also owe a huge debt of gratitude to their families. When the Prime Minister brought the defence and security decisions before this House, he said that there were decisions to be made about the allowances made to the armed forces and their families. When will we have that information? Can we have an assurance that those families will not be worse off as a result of the ongoing sacrifice of their family members on the front line?

[Dr Fox]

The hon. Lady makes a very important point. Indeed, when we recently met a number of our armed forces coming home from Afghanistan, we both pointed out that without the support of families it would be infinitely more difficult for our service personnel to be engaged in Afghanistan. It is important that when we look at allowances, we strike a balance between what will enable our personnel and their families to get an adequate standard of living, particularly when they face the unique difficulties of postings abroad or extended periods away from family, and ensuring, in the very difficult financial climate we inherited, that we get value for money. We will carry out the review as quickly as we can, but I have to say to the hon. Lady that I would much rather get it right than get it quickly. We need properly to understand the implications for changes to the allowance, and any changes that are made must be phased in in a way that makes it possible for families to adjust to and absorb any of the financial changes that we are forced to undertake.

[Mr Bernard Jenkin (Harwich and North Essex) (Con)]

My right hon. Friend has rightly won admiration for the very difficult settlement that he has had to reach in this review. He is clear from his remarks that the Afghan campaign, which may be costing the British taxpayer up to £8 billion a year, has significantly skewed the shape of the core defence programme. Can this be quantified? Should not those distortions to the core defence programme also be funded from the reserve so that defence policy in the long term is not affected by what we are doing in Afghanistan?

[Dr Fox]

If my hon. Friend is saying that defence should permanently have more money than it gets in any one year, neither I, nor—I suspect, as I look at him—the shadow Defence Secretary would disagree with that. We have to live within the financial constraints that we have. When we say that there were inevitable distortions because of Afghanistan, that is merely to state the blindingly obvious. We need to have a regular period of review so that we are able to take account, on a constant basis, of changing circumstances. That is why we want to have a five-yearly defence review that is able to do that, so that we are not having to wait for disproportionately long periods before making any adjustments that we might need. The 2015 review will be a very useful point at which to try to assess what the legacy of Afghanistan may be on our armed forces and what adjustments are required in the light of that.

Let me now turn to the detail of the SDSR in relation to defence. The new national security strategy set out the policy framework that was the force driver of the SDSR. The adaptive posture demands that our armed forces become a more flexible and agile force with global reach, capable of providing nuclear and conventional deterrence, containment, coercion and intervention.

The Government are committed to the maintenance of the UK’s minimum effective nuclear deterrent. We will proceed with the renewal of Trident and the submarine replacement programme, incorporating the changes set out in the value-for-money study published in the SDSR. The decision to extend the life of the current Vanguard class submarines and changes in the profile of the replacement programme mean that initial gate will be approved in the next few weeks. The next phase of the project will commence, and the main gate decision will take place in 2016. This programme does not in any way alter the continuous nature and credibility of the nuclear deterrent.

[James Morris (Halesowen and Rowley Regis) (Con)]

There has been a lot of discussion about the renewal of Trident. Irrespective of the decisions about gates, can my right hon. Friend confirm the absolute centrality in his thinking of the fact that we need to maintain a continuous at-sea deterrent?

[Dr Fox]

I have absolutely no problem in agreeing with my hon. Friend about the importance of continuous at-sea deterrence. Let me make two simple points about that. First, having a continuous at-sea deterrent has a diplomatic utility. It means that because it is a background and consistent deterrent, we do not have the problem of choosing when to deploy it at a time of rising tension, which could exacerbate a difficult situation. Secondly, if we do not have continuous at-sea deterrence, we have to decide at what point we are physically going to put the deterrent to sea. That may require our having additional military assets effectively to fight it out to sea if required. Those who think that taking risks with continuous at-sea deterrence because it is a cheap option economically might need to think again in the light of what I have said.

The adaptable posture required by the NSC also means that we will be investing in new technology and capabilities more suited to the likely character of future conflict, such as cyber-security, while reducing our stockholdings and capabilities that have less utility in the post-cold war world, such as heavy armour and non-precision artillery. We will, however, maintain the ability to regenerate capabilities that are not needed now if threats change. Capabilities that we have the option of regenerating include increased amphibious capability as well as heavy armour and artillery in the event that more is required. We have taken less risk against those capabilities that are more difficult to regenerate, such as submarines, to take the point made by my hon. Friend the Member for Halesowen and Rowley Regis (James Morris).

Alliances and partnerships remain a fundamental part of our approach. In taking decisions in the SDSR, we have given significant weight to the fact that we and our NATO allies consciously rely on each other for particular capabilities. Sometimes even our biggest allies do that. I think, for example, of the United States and the British mine-hunting capabilities in the Gulf.

[Ms Gisela Stuart]

Our biggest ally always retains certain sovereign capabilities. What would be the Secretary of State’s thinking and planning on which of our sovereign capabilities we need to maintain as opposed to where we just share?

[Dr Fox]

If the hon. Lady will forgive me, I shall deal later with our thinking about what the United Kingdom needs to be able to do itself and in what circumstances.

We rely on our allies, and we will deepen our multilateral and bilateral defence relationships. This week, we set out our deepened relationship with France. On Wednesday, as I intimated to the House the other day, I will have a meeting with the new British-Scandinavian NATO group. That is very important for a number of reasons. We want a closer bilateral relationship with Norway, which is one of our key strategic partners. We want to create a NATO framework that makes it easier for Sweden and Finland to have a closer relationship, and as a nuclear power we want to give even greater reassurance to the Baltic states about the reality of article 5 of the NATO treaty. We also want to create regional structures to make it easier to engage with Russia, where we can, on regional problem solving. It is a useful lesson for the UK that in a world in which there is a multi-polar power base, we need more different levers to act in the interests of our national security.

The UK has unique national interests, however, and we cannot always expect to depend on our partners when Britain’s direct national interests are threatened. I wish to make it clear that we will maintain an autonomous capability to sustain a considerable and capable military force on an enduring basis, if required, for both intervention and stabilisation operations. That means, at best effort, a one-off intervention force of some 30,000, including maritime and air support, or a force of some 6,500 plus enablers for enduring operations. That is not hugely dissimilar to the level of effort in Afghanistan today.

As delivering effective defence capability in the 21st century becomes more expensive at a time when budgets are under growing pressure, we should exploit economies of scale and increase co-operation where national security allows it and sovereign capability is not jeopardised. That means exploring deeper co-operation with NATO members, as demonstrated with France this week, and with partners further afield in key regions around the world.

I wish to set out the future shape of our armed forces and the process by which we have made our decisions. I will then deal with specific issues, particularly those on which we have taken calculated risks with capability.

The SDSR is a point of departure, not the end of the line. We have set a path to 2020 and beyond, with regular reviews every five years. The first period, from 2010 to 2015, is necessarily a period of rebalancing our strategic direction, in the light of the factors that I outlined earlier. That is required to tackle the unfunded liability in the defence programme, to live within our means as the deficit is addressed and to focus our efforts on Afghanistan. Overall, the resources allocated for the spending review period will allow us to pursue today’s operations and prepare for tomorrow, but that means scaling back the overall size of the armed forces.

To make those judgments, we have contrasted cost savings and capability implications with the risks that we face in the real global security environment and our ability to reconstitute or regenerate capabilities that we might need in future. We have taken the tough decisions that the previous Government ducked. The Prime Minister has set out to Parliament in his statement and in the White Paper the implications for the structure and establishment of the armed forces, and I will not tax the patience of the House or yourself, Madam Deputy Speaker, by repeating each of them here. I will, though, address specific issues later.

There are still difficult decisions to be taken for the coming period as we implement the SDSR, including the basing decisions mentioned by the hon. Member for Moray (Angus Robertson), who is no longer in his place, and the rationalisation of the defence estate. As the hon. Member for Bridgend (Mrs Moon) said, we will also have the issue of allowances to deal with in the coming months. I can assure the House that we will take those decisions as quickly as possible, to minimise uncertainty, but in a way that is sensitive to economic and social pressures and the needs of our people and their families. In addition, three further reviews are being undertaken to bring other areas of defence into line with the new force structure.

[Julian Smith (Skipton and Ripon) (Con)]

Will the Secretary of State give us a little more colour about how shocked he was by Labour’s legacy?

[Dr Fox]

In the interests of brevity, I will say that I knew it was going to be bad, and it was much worse.

[Bob Russell]

Will the rationalisation of the MOD estate include such things as the scandal in 1995 of the sale of the married housing stock to Annington Homes, and the ongoing revenue rip-off that Annington Homes is enjoying at the expense of the public purse?

[Dr Fox]

There is no doubt that we need to deal with armed forces accommodation. We will want to do so as quickly as possible and in a way that produces the best and quickest improvement, at the best deal for the taxpayer. We will learn all the lessons from the previous Government, and even from times before them.

The three further reviews that I mentioned are the six-month study of the future role and structure of reserve forces; a review of force generation and sustainability by the service chiefs and the defence reform unit; and the remodelling of the MOD itself, which is overseen by Lord Levene’s defence reform unit. Let me be very clear: I entirely agree with Lord Levene’s view about the staff in the MOD, who are among the most able people I have worked with. I am sure that former Ministers would concur. However, I wish to be equally clear that the Department must be restructured to serve the interests of the new national security posture, and smaller armed forces will require a smaller system of civilian support.

I am acutely aware that behind the bare numbers of the reductions that we plan are loyal people, with livelihoods and families, who face an uncertain future through no fault of their own. We will do everything we can to manage the process sensitively and with care and support, but manage it we must if we are to meet our vision of the future force structure. The Government are determined to reinvigorate and respect an enduring military covenant. We cannot shield the armed forces from the consequences of the economic circumstances that we face, but we will make progress wherever we can. I look forward to receiving soon the report of the independent armed forces covenant taskforce that we set up earlier this year.

The second period, from 2015 to 2020, will be about regrowing capability and achieving our overall vision. That will include the reintroduction of a carrier strike capability, with the joint strike fighter carrier variant aircraft manned by a joint Royal Navy and RAF force, and an escort fleet including the Type 45 destroyer and, soon after 2020, the Type 26 global combat ship, which used to be called the future surface combatant—the names keep changing. We will also reconfigure the RAF fast jet fleet around the JSF and the Typhoon, and consolidate the multi-role brigade structure in the Army.

One of my goals as part of the SDSR was to reduce the number of types of equipment used to provide the same capability. Achieving that by 2020 will mean less duplication and less expense overall, when we take into account the complex training and support requirements of each piece of kit. That will include reducing the number of types of equipment in the air transport and helicopter fleets, and of destroyers and frigates.

Nevertheless, my very strong belief, which the Prime Minister shares, is that the structure that we have agreed for 2020 will require year-on-year real-terms growth in the defence budget beyond 2015. It would be nice to do more sooner, but as the great hero of the Labour party, Tony Benn, once said, albeit in different circumstances,

“the jam we thought was for tomorrow, we’ve already eaten.”

How well he understood his own party.

There is a hard road ahead, but at the end of the process Britain will have the capabilities that it needs to keep our people safe and live up to its responsibilities to our allies and friends, and our national interests will be more secure.

I turn to some specific issues. The carrier strike capability that we plan will give the UK the ability to project military power over land as well as sea, from anywhere in the world, without reliance on land bases in other countries. Britain will require the strategic choice and flexibility in force projection that carrier strike offers. I also believe that that capability should be as interoperable as possible with the allies with whom we are most likely to work in future. The inherited design of the carriers would not have achieved that.

The House and the country must understand that any decisions regarding the carriers must be taken in the context of their extended service life of 50 years. The final captain of a Queen Elizabeth carrier has not even been born yet. When they go out of service, I will be 109 years old and the shadow Defence Secretary a sprightly 103. We are taking decisions now on what will be best for us as a country in the middle of the century. That is why we have taken three decisions. First, we have decided to take a capability gap in carrier strike, because we assess that the risk of not having access to basing and overflight for our fast jet force in the next decade is low. However, the same cannot be said looking further ahead.

Secondly, we have decided to install catapult and arrester gear, which will allow greater interoperability, particularly with US and French carriers and jets, and maximise the through-life utility of our carrier strike capability. Thirdly, we have decided to acquire the carrier variant of the joint strike fighter. Adding the “cats and traps” will allow us to use the carrier variant of the JSF, which has a bigger payload and a longer range than the STOVL variant planned by the previous Government. Overall, the carrier variant will be significantly cheaper, reducing the through-life cost compared with the STOVL version.

Contrary to popular belief, there will not be a new Queen Elizabeth class carrier in service without the planes to go on it, apart from in the period required by law for us to have the carrier properly crewed up and ready to accept the planes. The idea I have come across in some parts of the media—that we can get brand-new carriers and the brand-new planes to fly off them almost on the same day—simply defies the complexity of the operation involved.

When the carrier enters service towards the end of the decade, the JSF will be ready to embark on it. Yes, there will be a delay to the programme as a consequence of the decisions I have mentioned, but unlike the previous Government’s delay to the carrier programme in 2008, which added £1.6 billion to the overall cost—more than the whole Foreign and Commonwealth Office budget next year—and gave us nothing in return, our delay will give us a carrier that is best configured for the next 50 years.

[Mr Ainsworth]

I am seriously concerned about the decision that the Government have taken. They have not only scrapped the Harrier, but retreated from STOVL, going back to what is basically today’s and yesterday’s technology of “cats and traps”. They have left themselves potentially reliant on two aircraft that do fundamentally the same thing, giving up the ability to use short-take-off and vertical-landing aircraft. This is about more than the capability of the carrier. We are giving up—not temporarily, but permanently—the capability that the Harrier has given us. We will have two fleets of aircraft that fundamentally do the same thing.

[Dr Fox]

First, “cats and traps” are not yesterday’s technology. In fact, considerable expense is going into ensuring that there are more modern, more effective “cat and trap” systems. The United States is spending a great deal of research and development money on that at present. Secondly, if we are to have genuine interoperability, it makes sense to have carriers that the American navy or the French can land on and, in the case of the French, use when their carrier is in refit and they require ongoing training. It is perfectly rational to buy the plane with the longer range and bigger payload, which is in fact cheaper. In the past, it was decided, for whatever reasons, to build 65,000-tonne carriers without a “cat and trap” system, and that decision was augmented by the STOVL decision. That would have been the most expensive variant, with the shortest range and the smallest payload. We are bringing those greater capabilities into better alignment with the carrier itself.

The right hon. Member for Coventry North East mentioned the Harrier. We had to face up to the difficult choices that the previous Government put off. Regrettably, we have decided to retire HMS Ark Royal three years early and to retire the Harrier force—both in 2011. Of course, that is not unprecedented. The UK’s carrier strike capability was gapped during the late 1970s, as we transitioned from Buccaneer to Harrier itself. While Harrier was operating in Afghanistan between 2004 and 2009, our ability to generate carrier strike was at best severely curtailed.

Over the next five years, life-saving combat air support to operations in Afghanistan has to be the overriding priority. In Afghanistan, the Joint Force Harrier did wonderful work, and I pay tribute to the Harrier aircraft, the crews that have serviced them and the pilots who have flown them since they entered service. During its deployment to Afghanistan, the Joint Force Harrier flew in excess of 22,000 hours on more than 8,500 sorties, more than 2,000 of which were close air support missions. It is my understanding that every Harrier pilot from every Harrier squadron took part at some point during the Harrier’s deployment to Afghanistan.

Tough and unsentimental choices had to be made, however, and the military advice was that Tornado was the more capable aircraft to retain, due to its wider capabilities and force size, for not only Afghanistan but other significant contingent capabilities. Operations in Afghanistan between 2004 and 2009 took their toll on the Harrier force. By the time the aircraft was withdrawn from theatre, the force’s ability to recuperate and regenerate a fully operational carrier strike capability—notwithstanding the strenuous efforts to do so by Joint Force Harrier—had understandably been affected.

The decision taken by the previous Government in 2009 drastically to salami-slice the number of Harriers meant that, even if we had wanted to, we could not sustain our current fast-jet requirement in Afghanistan using Harriers alone. The decision in 2009 reduced the number of Harriers from 18 force elements at readiness to 10, but the military advice is that we require 40 force elements at readiness of Harriers to maintain our fast-jet contribution in Afghanistan on an enduring basis and without breaching harmony guidelines.

[Nicholas Soames (Mid Sussex) (Con)]

What steps does my right hon. Friend intend to take to retain the critical mass of flying skills of the absolutely admirable and remarkable Fleet Air Arm?

[Dr Fox]

The Fleet Air Arm will require something of a transitioning with the new joint strike fighter when we get towards the end of the decade. I have had discussions with my American counterparts, who have made it clear that, should we require help to maintain skills in any way in the run-up to that period, the United States will make the facilities available to us, and we fully understand that. Let me make it clear, as I did earlier, that the joint strike fighter will be flown from our carriers by both Royal Navy and Air Force pilots. We will maintain a joint force, which is an important message to both services at a time of uncertainty.

Some of the things we have read about Harrier have been hugely over-simplistic. As a result of decisions taken in recent years, I am afraid that the previous Government loaded the dice against Harrier a long time before the last election. I fully understand the consequences of retiring Harrier for livelihoods and basing, and the emotiveness of this beautiful and iconic aircraft, particularly in relation to the Falklands conflict of 1982, as everyone in the House will appreciate. However, I believe that we have made the right decision, based on unsentimental military logic.

The Falklands have been the subject of some comment in recent days. The Government are unequivocally committed to the defence of our overseas territories and dependencies, but the situation now is far removed from that of the early 1980s. First, we maintain a far more robust and capable force in the Falklands to act as a deterrent and to secure our interests there, and that force is able to be reinforced as the need arises. Secondly, and more importantly, Argentina is no longer ruled by a military junta that is repressive at home and aggressive abroad. Argentina is now a vibrant, multi-party democracy, constructive on the world stage and pledged to peaceful resolution of the issues that undoubtedly remain between us. Of course, we maintain robust contingency plans for times of crisis, and there is no questioning our resolve to defend the Falklands whenever required and from whatever quarter.

The decision to cancel the Nimrod MRA4 programme was extremely difficult due to the nature of the military tasks to which the aircraft was designed to contribute, the amount of public money that had been spent on it and the impact of such a decision on the people who have dedicated their careers to delivering this capability or who depend on it for their livelihoods. However, the severe financial pressures faced by the Government and the urgent need to bring the defence programme into balance meant that we could not retain all our existing programmes, as recognised by the previous Government in their Green Paper.

I recognise that this decision means taking some risks on the capability that Nimrod was to provide. Since the withdrawal of the Nimrod MR2 in March—a decision taken by the previous Government—the Ministry of Defence has sought to mitigate the gap in capability through the use, on a case-by-case basis, of other military assets, including Type 23 frigates, Merlin anti-submarine warfare helicopters and Hercules C-130 aircraft, and by relying on assistance from allies and partners. In view of the sensitive and classified nature of some of those military tasks and the implications for the protection of our armed forces, including the nuclear deterrent, it is not possible for me to comment on those measures in detail, but as the previous Government did, I am happy to make the Opposition spokesman fully aware, as far as the classification allows, of our decisions and the military advice upon which we take them.

As Defence Secretary, I have concentrated today on issues within my remit, but the guiding principle of the SDSR has been to join national security efforts across the Government, flowing from the direction that the new National Security Council now delivers. The SDSR covers far more ground—from conflict prevention to counter-terrorism, energy security, cyber-security and border security, and resilience at home and overseas—and I hope that hon. Members will take the opportunity to raise those wider issues today.

The Government had to take some difficult decisions, and the transformation will be painful, but we will emerge with a robust national security structure and a coherent set of capabilities that supports our foreign policy goals of rebuilding our prosperity and safeguarding our security both overseas and at home, but I should like to end by restating my commitment to sustaining operations in Afghanistan. We must succeed there—that must be our main effort. At the heart of those operations are the men and women of our armed forces, the civilians and families who support them, the intelligence and security agencies, and all those who stand between us and those who would do us harm. The whole House will agree that they are the best of the best and thank them for their dedication, professionalism and selfless commitment. All of us in this country owe them a very deep debt of gratitude.

[Mr Jim Murphy (East Renfrewshire) (Lab)]

I am delighted to have the opportunity to respond in today’s debate and I welcome the Secretary of State’s comments. At the beginning at least, his was a rather breathless speech. He spoke of being 109 years of age when the new Queen Elizabeth type aircraft carriers go out of service, but I hope he leaves more time to get to the Chamber from the Ministry of Defence when he is 109. He certainly will not be able to get here at the speed he did today.

Earlier in the week, the Secretary of State had to be summoned to the House to explain in detail the treaties with France, and today the House was treated to a quite remarkable filibuster to accommodate his diary and those of his fellow Ministers. I was tempted to reflect that perhaps they were on French time, but that would have brought them here in time for business questions rather than making them late for this debate. I welcome the ministerial team, who took the approach of arriving in shifts for their boss’s speech this afternoon.

Despite that, it is with a sense of honour that today I am making my first speech at the Dispatch Box as the shadow Secretary of State for Defence. My sense of pride is only slightly diminished by having the word “shadow” in my job title.

[Dr Fox]

You had better get used to it.

[Mr Murphy]

I hope it will not be for too long. Even in opposition, it is an honour to work to support our armed forces and their families, and the defence of our nation and all our interests. The most important responsibility of the Government is the safety and security of our country. All MPs of all parties also carry that responsibility. I want the House to know that this Opposition will always act in the interests of what we believe to be right for our country, and not any narrow party interest.

Although the Secretary of State and I may disagree across the Dispatch Box, I want to tell him that I will never question his personal commitment to the defence of our nation. All Conservatives are patriots, but the Secretary of State must be aware that all patriots are not Conservatives. Therefore, I look forward to working with the Government to ensure that our forces, who are the best of Britain, operate with the right equipment. I also want to ensure that their service to their country is properly rewarded and valued, and where possible, that even more is done to value their dedication and patriotism. In addition, we should also recognise the crucial role played by so many MOD civilian staff, as the Secretary of State did. I should like to put on record the House’s gratitude for the unheralded work of our security services.

I thought that the Secretary of State, in what was in large part a thoughtful speech, struck a better tone on the issue of MOD redundancies than has been struck before. Hitherto, there was almost a sense of celebration at the reduction in head count. It will be reassuring for MOD officials, who are perhaps watching this debate or will read Hansard, that there was no waving of Order Papers today at the announcement of potential future redundancies.

As the Prime Minister has rightly said in recent times, our power and influence is enhanced by our integration with political, social and economic global networks. However, I sense that the unprecedented scale and pace of global change will, if anything, increase ever more sharply in future. Although our openness increases the threats that we face, conversely it assists us, in part, in overcoming those contemporary challenges. Today’s threats are more complex and difficult to map, and they are harder to repel. Terrorism, cyber-attack, natural resource shortages, large-scale disaster or unconventional attacks from chemical or biological weapons all threaten our shores, our interests and our values. Although we might face fewer conventional threats, our defences at home remain subject to frequent aerial and maritime probing and challenges.

The strategic defence and security review was an opportunity to reshape the UK’s military force in that changing global security landscape. Unfortunately, according to the Royal United Services Institute, 68% of the defence and security community felt that it was a

“lost opportunity for a more radical reassessment of the UK’s role in the world”.

It seems that the security review did not clearly define Britain’s place in the world, nor did it alter the balance of Britain’s armed forces to meet existing and emerging threats. The review leaves unanswered many questions about Britain’s place in this ever-changing world.

[Dr Fox]

In that case, can the right hon. Gentleman enlighten the House on what he and his party believe is Britain’s proper role in the world, and say how it differs from that set out by the National Security Council and the Government in the White Paper?

[Mr Murphy]

I will come to that later in my comments, but it is clear that Britain must make a pragmatic assessment of our global ambition. As the Secretary of State has acknowledged—tersely in his letter and, I am sure, in private conversations with others in government—the review process has been driven largely by the cuts that the Government have been determined to make. Some people say that the 38-page document to which the Secretary of State referred looks like a decent executive summary, but no fewer than 10 pages in it are entirely blank. In parts, it lacks historical accuracy. On page 23, we read:

“For 800 years, the UK has been at the forefront of shaping the relationship between the rights of individuals and powers and obligations of the state”.

The document predicts future threats, which cannot be an exact science—we know that—but it lacks historical accuracy. The fact is that the UK did not exist in its current form 800 years ago. A document that aims to set out a process and to predict the nature of future threats does not even get its history right. Its assessment of our nation’s past lacks real intellectual vigour—[Interruption.] One of the Ministers who arrived a little late for the Secretary of State’s speech says that that is a pedantic point, but I do not think that it is. To say that they do not understand the nature or the history of this collection of nations of the United Kingdom when it comes to an assessment of our role in the world is not pedantic.

There are major challenges facing our national security, as the Secretary of State has said, and as was emphasised only last weekend, with the bomb plots to bring down cargo planes. The defence review rightly makes it clear that primary among the myriad defence and security issues we face is Afghanistan.

I, my shadow Defence team and the shadow Foreign Secretary appreciated the first of what I hope will be many regular briefings on Afghanistan held yesterday in the Ministry of Defence. I also look forward to the opportunity to visit Afghanistan, and of course I, along with others on the Opposition Front Bench, will liaise with the MOD about such visits. I want to make it clear that we will work with the Government in a spirit of co-operation to help to bring the conflict to an end, and to ensure peace and reconciliation in Afghanistan. Our forces—and, indeed, our enemies—should continually be reminded of that unity of purpose. Our military aim must be to ensure that never again can al-Qaeda use Afghanistan as an incubator for terrorism, and we must use our military forces to weaken the Taliban to such an extent that the Afghan people can determine their own future.

--- Later in debate ---

[Dr Fox]

If, as the previous Government said in their own study, the current Trident replacement was the most efficient and cost-effective way of defending Britain against a unique existential threat, and if the reason for having the deterrent in 2006, as set out in the previous Government’s White Paper, was that we could not predict the threats in the next 50 years, what has changed since the election?

[Mr Ainsworth]

The answer is a treaty that the right hon. Gentleman has just signed with France; technological capability going forward; another five years; and a need to analyse the cost-benefit as against the other defence benefit that will be lost. It is all very well for the Foreign Secretary to say there will be no strategic shrinkage, but the Government have embarked on a fairly substantial degeneration of the military capability in this country that underpins our strategic position in the world. It may well be that Trident remains the most effective option and that a continuous at-sea deterrent is still essential, but with another five years we will have to examine that. Other people will examine it and if we do not, we will be seen to be putting our heads in the sand and not prepared to undertake a proper analysis of the choices that we face.

I have one further point to make, and it relates to force generation. The Secretary of State will know that his personnel costs are rising every bit as much as his equipment costs. The equipment costs catch the headlines, and people talk about them and the press get excited about them, but the personnel costs are rising every bit as fast. The Commandant General of the Royal Marines addressed a meeting in the House of Commons just a week or so ago, when he was able to say that the Royal Marines could generate deployable capability more cheaply than the infantry. If he can stand on his feet while he says that, something needs to be examined in the way the Army force- generates. The Royal Marines’ training is much longer and is therefore a lot more expensive. In addition, the Royal Marines’ capability is arguably considerably higher, so if it is cheaper as well, something is wrong and this needs to be examined.

One important job that the Secretary of State needs to do, and one that I started to get into, is to deal with how the Army force-generates, although he will be hugely resisted if he does so. If he is going to keep that minimum ongoing deployable capability force of 6,000—or whatever he said is the figure he is trying to maintain—he is going to need a 90,000-strong Army, so that corner needs considerable examination. I urge him to do this job, because it is necessary if we are going to get value for money and motivate the very fine people who make up our armed forces.