Defence Spending (Wales) Debate

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Department: Ministry of Defence

Defence Spending (Wales)

Siân C. James Excerpts
Wednesday 8th December 2010

(13 years, 5 months ago)

Westminster Hall
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Siân C. James Portrait Mrs Siân C. James (Swansea East) (Lab)
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I am grateful for the opportunity to secure this important debate, and to the Minister for attending. Wales has a long and proud heritage with the armed forces, and is home to the British Army’s most famous regiments, great ports, and RAF bases. Many towns are affiliated with Royal Navy warships and submarines. It is a world leader in the aerospace and defence industries, and from a strong cluster around Airbus UK in the north to GE Aviation, General Dynamics, NORDAM and British Airways in the south, manufacturers and suppliers employ thousands of highly skilled people in high-tech, highly paid jobs throughout the country. Wales is also an important recruiting area, and many young men and women in Swansea, and particularly in my constituency, join up.

That legacy dates back more than 300 years, and is strongly intertwined with our industrial past and communities throughout Wales. Indeed, the cenotaph at the heart of St Athan village is dedicated to the memory of

“the youth of all nations who fell that war might end, by the boys of the South Wales coalfield.”

That is an enduring tribute to the link between our nation’s proud coalfield communities, and the young soldiers who fought so selflessly to protect them. What gives that message even wider symbolism is the heartless graffiti and vandalism that has recently desecrated the memorial. Without wishing to make too blunt a point, it is difficult to ignore the parallels with the cruel disregard for St Athan shown by the coalition Government. They made an abrupt decision to scrap the plans for the St Athan defence academy, and I shall focus on that today.

The Government’s decision is a huge blow not just to the Vale of Glamorgan, but to the whole of Wales. The project would have led to the creation of thousands of training, support and construction jobs, and would have provided significant opportunities for local suppliers and the local community. The coalition Government’s decision to cancel the Metrix consortium project will mean losing up to 2,500 training and support jobs and up to 1,500 construction jobs, as well as the loss of a £700 million to £800 million defence technical college construction contract and the £60 million annual supply chain expenditure, and a £500 million annual boost to the Welsh economy from operational activities, and a large boost to local tourism.

Wales makes up 5% of the UK population, but contributes 8% of the armed forces. The Government pride themselves on fairness, so surely Wales should receive an equal proportion of military spending. South-east England receives £7.1 billion and Scotland receives £1.5 billion, but Wales receives just £390 million.

Nick Smith Portrait Nick Smith (Blaenau Gwent) (Lab)
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Blaenau Gwent contributes many servicemen and women to our armed forces, and we have had some great armed forces days in recent years. My hon. Friend is absolutely right: according to statistics that I have seen, Wales receives just £380 million in defence expenditure. Surely that is not enough.

Siân C. James Portrait Mrs James
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I agree with my hon. Friend. Wales received the second lowest military investment of any region in the UK. Surely that cannot be right. The decision in the summer to award Gwent-based General Dynamics a £500 million contract to help to equip the Army with a fleet of new Scout combat vehicles was very welcome, and that should have been followed with an annual £500 million boost from St Athan. Together, they would significantly have redressed that unfairness. Instead, the coalition dithered, and that has cost us dear.

Wayne David Portrait Mr Wayne David (Caerphilly) (Lab)
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On the defence technical college, does my hon. Friend agree that it is bizarre that, at a time when south Wales is likely to lose many thousands of jobs in the public sector, that private sector development will not go ahead?

Siân C. James Portrait Mrs James
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I agree, and there are many such examples; I will home in on that issue later.

Alun Michael Portrait Alun Michael (Cardiff South and Penarth) (Lab/Co-op)
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In addition to the issue of the unfairness, does it not seem that the coalition Government are determined to cut off their nose to spite their face, because they will lose the savings and efficiencies that the new academy would have created?

Siân C. James Portrait Mrs James
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I agree with my right hon. Friend. Unfortunately, the Government cutting off their nose to spite their face does not help people in south and wider Wales.

Lord Robathan Portrait The Parliamentary Under-Secretary of State for Defence (Mr Andrew Robathan)
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I am listening with surprise to the hon. Lady, because she seems to be saying that we should make defence decisions based on employment in south Wales, rather than on the needs of the armed forces and the nation. Is that right?

Siân C. James Portrait Mrs James
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I cannot agree with the Minister. I am saying—I thought I had done so clearly—that there is a disparity, which would have been reduced if the Government had decided to go forward with the defence technical college. It is not rocket science; a decision to build the college would have provided more equality and fairness. It would not have endangered front-line services, but would certainly have helped our forces, who serve so valiantly in Afghanistan.

Wayne David Portrait Mr David
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On that important point, if the Government were concerned about the well-being of the armed forces, they would have ensured that the technical college went ahead. That point illustrates that the Government are not concerned about the long-term defence of this country.

--- Later in debate ---
Siân C. James Portrait Mrs James
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I thank my hon. Friend for that. What have we heard from the coalition? The Prime Minister and the Defence Secretary maintain that there is still a bright future for the area, and that a decision will be made in the spring. The Welsh Secretary insists that she is continuing to press the case for St Athan, but we have all witnessed the power that she wields in the Cabinet. There have been so many words, but so little action—there was the decision to close the Newport passport office, deferral of the electrification of the south Wales main line, and the fact that Wales was not included among the new superfast broadband pilot areas.

Chris Ruane Portrait Chris Ruane (Vale of Clwyd) (Lab)
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Will my hon. Friend include cancellation of the north Wales prison on that list?

James Gray Portrait Mr James Gray (in the Chair)
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Order. Before the hon. Lady answers, I remind hon. Members that we are debating defence spending in Wales. It is not in order to discuss other projects that may or may not have been cut.

Siân C. James Portrait Mrs James
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I thank my hon. Friend—and I include the north Wales prison on my list.

We are already witnessing the impact of the Government’s dithering, delay and abandonment. Last week, business confidence in Wales dropped severely from 22.4 points last quarter to 6.3 points. Scrapping the St Athan project was mentioned explicitly as a “significant dampener on confidence”. That is hugely worrying, and demonstrates the huge risk in the coalition’s assumption that the private sector will provide jobs for those in the public sector who become unemployed. For Wales, the stakes are even higher. Public investment plays a greater role in our economy than in England, and our business sector is much more fragile. As our Labour First Minister in Wales, Carwyn Jones, has said, the spending review is clearly regressive. The human and social impact could be both devastating and wasteful, and the real cost could be with us for generations. It further demonstrates how the Government are pursuing cuts with a scale, scope and speed that risk Welsh jobs, Welsh growth and Welsh recovery, and puts the squeeze on the most vulnerable in our society.

Geraint Davies Portrait Geraint Davies (Swansea West) (Lab/Co-op)
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Does my hon. Friend agree that a strategic investment of the magnitude that we are talking about would have a major multiplier effect on inward investment in Wales? I am talking about not just visitors and tourism, but the clusters of aero-industry, and encouraging early rail electrification, which has been delayed. Such measures work together in harmony for Wales, and without them the opposite applies.

James Gray Portrait Mr James Gray (in the Chair)
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Order. I am sure that the hon. Lady will not allow herself to stray when responding to that intervention.

Siân C. James Portrait Mrs James
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Success breeds success, and if the scheme had gone ahead, we could be looking forward to a much brighter and more successful future. Wales still has a lot to offer British troops serving in the UK and overseas. Increasing the defence footprint in Wales will strengthen the Union and local communities. The benefits are wide and invaluable, but the matter is not being addressed by the coalition.

When asked about the equitable distribution of defence spending across the UK, the Defence Secretary stated:

“When I meet troops in Afghanistan, they do not ask one another whether they came from Belfast, Cardiff, Edinburgh or London. They are forces under the Crown and proud of it.”—[Official Report, 5 July 2010; Vol. 513, c. 18.]

And rightly so.

Simon Hart Portrait Simon Hart (Carmarthen West and South Pembrokeshire) (Con)
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That is good stuff, but will the hon. Lady explain why over the past 13 years, two military establishments in Carmarthen West and South Pembrokeshire have been gradually eroded, so that they are now approximately one third of the size that they were in 1997?

Siân C. James Portrait Mrs James
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As we understand, things have been—and are—very difficult. There was an alternative, and under a Labour Government there would have been an opportunity for the defence technical college. As Welsh MPs, we lobbied long and hard for the defence technical college, because we knew that it would bring opportunities and investment.

Albert Owen Portrait Albert Owen (Ynys Môn) (Lab)
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One of the big success stories of the defence budget in Wales, and the UK, is RAF Valley in my constituency. It is a centre of excellence for fast jet training, and has had hundreds of millions of pounds of new investment. That is now under threat.

Siân C. James Portrait Mrs James
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I agree, and I congratulate my hon. Friend on that; it is important that places such as RAF Valley continue to thrive and prosper. They add to the defence footprint in Wales and need to be enhanced.

Huw Irranca-Davies Portrait Huw Irranca-Davies (Ogmore) (Lab)
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Does my hon. Friend share my regret that over the past few months we seem to have lost cross-party consensus on protecting the interests of Wales, particularly in terms of defence? I pay tribute to the work of those hon. Members who, under the previous Government, fought to persuade military chiefs and the MOD that south Wales was worth investing in. That support has been lost, and it bodes badly for the future that there will be only one or two parties in Wales to speak up for the interests of Wales.

Siân C. James Portrait Mrs James
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My hon. Friend is correct. I was part of that lobbying group, and we worked hard to demonstrate how we could provide a service that would have been world-beating, and that would help ensure the safety and future of our brave young men and women.

When I talk about those brave young men and women, I am thinking about people in my community. When we talk to families about how well their sons and daughters are doing, they tell me about the problems and challenges that they face as individuals and as part of the wider community. They are troubled about their future, and given that more than 60,000 people face losing their jobs, the decision on St Athan means that many people have little hope for the future. Those families deserve to be rewarded for the great contribution they have made.

The defence training academy is not only an economically sound investment, a socially beneficial plan and a strategically intelligent initiative, but fair. It is fair that a highly skilled work force should get the investment they deserve, and it is fair for our armed forces to be equipped with the best training and facilities possible.

Simon Hart Portrait Simon Hart
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Are those brave young men and women the same brave young men and women who had to buy their own kit to fight in Afghanistan over the past few years?

Siân C. James Portrait Mrs James
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We have heard such tales. I have been approached by families and relations, and I went to the bother of checking out every story. I found that such statements were just not true. There were opportunities for the families to do other things, but the troops had equipment of the highest standard. I can pass on letters that I wrote to Ministers and those I received in reply. I thank the hon. Gentleman for his intervention.

Siân C. James Portrait Mrs James
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Well, the hon. Member for Carmarthen West and South Pembrokeshire (Simon Hart) is entitled to his opinion, just as I am entitled to mine. It is fair that a community with a proud military history should continue its lasting legacy, and it is fair for Wales to get military investment to match its contribution to our armed forces. The Secretary of State for Wales repeatedly states:

“We have secured a fair settlement for Wales.”—[Official Report, 3 November 2010; Vol. 514, c. 904.]

and the Defence Secretary insists that the best decisions will be made for the defence of the UK. Neither has yet delivered on those promises, although that could change today.

Geraint Davies Portrait Geraint Davies
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Is my hon. Friend surprised that although Conservative Members complain about individual areas of underspending under the previous Government, they support massive cuts to the defence budget, particularly in St Athan? That is absolute hypocrisy.

Siân C. James Portrait Mrs James
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I am not surprised; I think that is to be expected. The people of Wales know what is to be expected, as do people in other parts of Great Britain.

Madeleine Moon Portrait Mrs Madeleine Moon (Bridgend) (Lab)
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My hon. Friend says that the people of Wales know what to expect. Yesterday, I looked at the part of the Ministry of Defence website about defence in Wales. It said that the £14 billion investment in St Athan was still to go ahead. Would it be helpful if the people of Wales were able to look at that website and see accurate information? Perhaps when the Minister responds, he will announce that the website is in fact accurate.

Siân C. James Portrait Mrs James
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I urge people to look at that website. We must have the most up-to-date information, and I hope that the Minister will give us good news today.

In my closing remarks, I will quote the memorial in St Athan. It says that the boys of the coalfield will

“dedicate themselves to complete the task so nobly begun.”

I hope that the Minister will return to his Department and dedicate himself to completing this task for St Athan, the people of Wales and our brave soldiers.

None Portrait Several hon. Members
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