Defence Expenditure (NATO Target) Bill Debate

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Department: Ministry of Defence

Defence Expenditure (NATO Target) Bill

Rachael Maskell Excerpts
Friday 23rd October 2015

(8 years, 6 months ago)

Commons Chamber
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Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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I am grateful for the opportunity to speak on Second Reading and to respond to the hon. Member for Aldershot (Sir Gerald Howarth), who is renowned for highlighting the importance of our security. I thank him for his kind words to me today.

There have been many excellent contributions to this debate. The right hon. Member for New Forest East (Dr Lewis) made a plea for a 3% minimum underpinning and highlighted the challenges of accounting across Departments. The hon. and gallant Member for Beckenham (Bob Stewart) highlighted the inequality in defence spending across different European nations and in comparison with the US. The hon. Member for Romford (Andrew Rosindell) warned of the risks of making further cuts to defence and supported the case for a 2% target. The hon. Member for Eddisbury (Antoinette Sandbach) spoke about the wider benefits that we receive from our military and looked, in particular, at the investment in skills that is part of that 2% spend.

The hon. Member for North West Norfolk (Mr Bellingham) talked about the vital role our forces play in our community. As the Member for York Central, with Imphal barracks in my constituency, I concur with those comments. I recognise the huge contribution that the barracks make to my community.

The hon. Member for Gainsborough (Sir Edward Leigh) made a broad contribution. He warned about the accounting challenges for Departments and talked about the changing spend across Europe, particularly in Germany. He also reflected on the wider contribution of our servicemen and servicewomen in humanitarian efforts, and he particularly drew attention to the humanitarian challenges that we currently face with the immigration and refugee situation.

The hon. Member for Congleton (Fiona Bruce) brought to the debate her growing experience and her respect for the forces. She particularly reflected on the 0.7% of GDP commitment for the international aid budget, and she highlighted the important role that our service personnel play in humanitarian work, particularly the 800 service personnel who supported those affected by the Ebola crisis in Africa. We pay tribute to them.

Finally, we heard from the hon. Member for Torbay (Kevin Foster), who reflected on his experience in the armed forces parliamentary scheme.

It is a huge privilege to highlight the importance that the Labour party places on our national security and our role in safeguarding the wider world. We live in an ever complex and challenging international landscape, in which our service personnel selflessly give of themselves to keep us safe. Today we have been reminded of new threats such as cyber-threats, which we have seen over the past 24 hours, and we have heard about the expanding spend on the defence capability of China, with which we have struck a deal on nuclear power this week. Clearly, the Labour party would place a question mark on that.

Jeremy Quin Portrait Jeremy Quin (Horsham) (Con)
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Given what the hon. Lady is saying about all the threats that this country faces, is giving up the nuclear deterrent really the best way forward?

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Rachael Maskell Portrait Rachael Maskell
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I will come on to our defence strategy later in my contribution.

The first duty of any Government is to ensure that we have the capacity and capability to defend ourselves against current and future threats, while ensuring that every precaution is taken to safeguard those who put themselves in danger for our security. The Opposition are determined to scrutinise each decision the Government take and ensure that there is a modern and strategic plan to maximise our security.

As the party in power, Labour consistently spent well above the minimum 2% NATO target, and we therefore embrace the principle that the Bill is intended to achieve. In 2006 NATO recognised the sharp decline of an average of 10% in many of its European members’ defence budgets, but we have witnessed an even sharper decline in the UK, with the Conservative-led Government cutting the defence budget by 18% between 2009-10 and 2014-15. We can thank the current Administration, and the previous Conservative-led Administration, for the scepticism about our defence budget. Because of such actions by the last Government, and by other European countries, an agreement was made through NATO that Governments should commit to apportioning 2% of their GDP to defence spending. Under a Labour Government in 2006, Britain was recognised as the largest NATO contributor of its GDP to defence outside the US.

At the September 2014 summit in Wales, progress had not been made, so the nations again embraced the 2020 minimum target of 2% with renewed commitment, although it must be noted that no nation has enshrined that target in its domestic law. In fact, academics have been quite critical of the 2% target, as it does not commit to how much investment should be hypothecated, for instance, for research and development to provide cutting-edge technology. Even with a 2% spend, the proportion of national defence spending does not necessarily align with the capability that a nation is willing to deploy and how relevant its equipment is to the challenges faced in any particular operation.

I am sure that a further air of scepticism has developed among Members, because if a statutory 2% of GDP is apportioned to defence, we know that it will be met, even if that happens through creative cross-departmental definitions involving wider security. As the NATO report on financial and economic data highlights, and as we have heard in the debate, the UK is projected to spend 2.08% of GDP on defence this financial year. However, when measured against the NATO determinants, spend sits at 1.97%, and that is before accounting for the £500 million cut to the MOD announced on 4 June. So let us be clear: Labour Governments deliver on the minimum 2% target, and it is only since 2010 that the target has been put at risk. Indeed, it is at risk this year.

Stretching definitions to wider defence and security interests does not make our shores safer. Not putting the 2% into statute enables a more honest assessment of our capability and spend. I mention both capability and spend because output is more significant to Labour Members than input. To give an example, £800 million is being spent on military pensions, which the Government have now classified as defence spending. Spending on the single intelligence account, from which MI5, MI6 and GCHQ derive their funding, has also now appeared within the Government’s 2% classification, and today we have heard that up to £1.4 billion has been added from other budgets.

Labour is determined that the Government’s defence spending should become not just a smoke-and-mirrors exercise to justify a target, as has happened with so many targets, but that it should reflect a serious commitment to safeguard our security. After the last strategic defence and security review, we were left with aircraft carriers without aircraft, and the UK was left without any maritime patrol capabilities. Shamefully, serving personnel were left without the most up-to-date equipment.

Antoinette Sandbach Portrait Antoinette Sandbach
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Will the hon. Lady give way?

Rachael Maskell Portrait Rachael Maskell
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I am going to continue at this time.

Even this week, we heard in Defence questions about how old equipment, not the most up-to-date, is being used for training. Not only do such decisions seriously shrink our capability in proportion to spend, they also create risk. There is clear nervousness among the Government’s own Back Benchers, which is why they want to tie the hands of their Front Benchers today so that that can never happen again.

Labour Members can therefore understand the concerns that have been raised throughout the House as a result of the last strategic defence and security review, which was neither strategic nor sought to maximise our security. The huge scale of the cuts driven by the Chancellor since 2010 has placed ideology ahead of our national security. Labour is taking a different approach to defence spending. We have already announced that we will carry out a strategic review of our security, which will be evidence-led to ensure that our nation is safe and that we secure strong global partners in defending those at risk and creating a safer world.

Edward Leigh Portrait Sir Edward Leigh
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Will Labour vote against Trident?

Rachael Maskell Portrait Rachael Maskell
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I do not want to repeat myself for the hon. Gentleman, but I have just said that we are leading an evidence-led strategic security review, and obviously we will have to see the findings.

Labour has a proud history on these matters. We need only look to the record of the Labour Government’s last term, when we spent an average of 2.4% of GDP each year, compared with the little over 2% predicted for this year, which includes wider spending commitments beyond those strictly defined as defence. That is a worrying trend. With NATO having been founded under that great Labour Government led by Major Attlee, our party is committed to the principle of spending a minimum of 2% on defence so that we have the modern capabilities we need to secure our nation’s future.