2nd Battalion the Royal Regiment of Fusiliers

Debate between Steve Barclay and Lord Robathan

Thursday 18th October 2012 Commons Chamber

[Stephen Barclay (North East Cambridgeshire) (Con)]

I had the privilege to serve, albeit briefly, with 2nd Battalion the Royal Regiment of Fusiliers. As a Lancastrian I am well aware of the high regard in which the regiment is held by the local community, which is reflected in its successful levels of recruitment. I fully support the campaign of my hon. Friend the Member for Basildon and Billericay (Mr Baron) and I will not detain the House by repeating the points that he skilfully made in highlighting the many flaws in the Government’s case. I want to address not the criteria, which my hon. Friend tackled, but the wider decision-making rationale that underpins the Government’s measure and that was at the heart of the intervention by my hon. Friend the Member for Aldershot (Sir Gerald Howarth), who is a distinguished former Ministry of Defence Minister, when he sought to justify why this cut is being made.

First, if a measure such as this is to be positioned on the grounds of cost savings, the first thing one might expect is clarity on how much is being saved. However, when I asked the House of Commons Library that question this morning, answer came there none—it could not tell me. A rough estimate might put the figure at £25 million a year, but the least we might expect from the Minister’s closing remarks is some certainty, if the measure is being justified on cost grounds, as to how much is being saved.

Secondly, the MOD suggests that this cut, which is out of step with the criteria applied to other battalions, is needed to address the defence overspend; but the saving is puny in the context of overall MOD spending, when one considers the reputational impact, the history and the esteem of the front-line service that is being cut.

Let me put this in context and draw the House’s attention to some recent National Audit Office reports. Last year the MOD increased its defence inventory at the same time as it was cutting the size of its armed forces, so we are buying more kit for fewer troops, even though we already had, for example, 10 years’ supply of overalls. We have 54 years’ worth of equipment for Nimrod, even though the plane has already been scrapped. The sums of money being wasted are not insignificant. The MOD spent £2.4 billion on non-explosive inventory, even though it already had five years’ worth of such items in stock—we spent £2.4 billion buying things when we already had five years’ worth of supplies. We are now trying to get rid of some—£1.4 billion-worth—of the stock that we bought by mistake. It is costing £277 million a year just to store the stock that we do not want, and which we should never have bought. That puts the saving that is being made by the decision on 2nd Battalion the Royal Regiment of Fusiliers in context.

My second question to the Minister is therefore why, when the National Audit Office report in June—the very time when this cut was being proposed—could identify savings of that order, officials in the Department could not do more to avoid the necessity of cutting this battalion.

[Mr Robathan]

My hon. Friend is making a good point about overstocking. We are bearing down on that enormously. He will understand that, not having been in government between 1997 and 2010, we did not order most of this kit. We are selling off the kit so that we have to spend less money on storage, and we are spending less money on unnecessary kit; but he will also understand that the armed forces need good equipment, especially given the ongoing situation in Afghanistan.

[Stephen Barclay]

I am willing to recognise the big strides that the Government have taken in making those savings. However, we are spending vast sums of money on kit of which we have five years of supplies. The Minister says that this is about equipping our troops better, but we are not addressing that point by buying a higher specification of kit if we are buying things that we do not need. That was one of the key findings of the National Audit Office report.

If Ministers are not convinced that more could be done on logistics and supplies, perhaps I could put this saving of about £25 million in the wider context of our defence procurement. Again, I am willing to acknowledge the huge strides that have been taken by Ministers to get to grips with procurement. However, the 15 largest defence projects have overspent their initial budgets by £6 billion. The saving from this cut is a fraction of 1% of that, although we cannot know exactly how much it is because we have not had the figure. It is a tiny amount, and yet it is hitting the front line—our fighting units.

The case that I put to colleagues today is that surely more could be done, notwithstanding the efforts that are being made, to increase the scale, intensity and speed of implementation of the savings in logistics, supply and procurement. This decision does not provide value for money. It is too modest, it uses flawed criteria and the scope of delivering savings elsewhere means that it would be a mistake for the Government to go ahead with it. That is reflected in the comments from Members from all parts of the House today.

I have never voted against my Government, but I support my hon. Friend the Member for Basildon and Billericay (Mr Baron) and will do so if the motion is put to a vote. I hope that Ministers will listen to the strength of the arguments, look at the findings of the National Audit Office and deliver the required savings from other areas of the defence budget.

--- Later in debate ---

[Mr Robathan]

If I may, I will cover my hon. Friend’s points as they were made in his speech. My responses are written down here, and it is better that I give him a detailed analysis rather than provide one off the top of my head.

While our armed forces might be smaller than before, they will still be able to reach across the world and operate across the full range of capabilities. We are reducing the size of the regular armed forces, but we are increasing the reserves, including an integrated element of the total land force of 120,000, with an extra £1.8 billion of investment in reserves, training and equipment.

The Army has been both pragmatic and imaginative in responding to this very real challenge. The blueprint was decided upon by the Army and announced by the Defence Secretary on 5 July. This project we call Army 2020. For the first time, this provides a pathway to a fully integrated Army of regular and reserve forces that will be configured for high-end conflict, rapid reaction, UK engagement and upstream conflict prevention.

[Stephen Barclay]

Will my right hon. Friend address the point that the value of the defence inventory is currently £40.3 billion? Just this June, the National Audit Office said:

“the Department is spending money on unnecessary levels of stock, which could be spent elsewhere in government.”

We are talking about such a modest sum of money; can it not be found elsewhere?

[Mr Robathan]

I have to confess to my hon. Friend that I do not deal with procurement measures. We have a defence reform project going on, which I think he will find addresses his point. I will ensure that he receives a letter from the Minister for Defence Equipment, Support and Technology, setting out a proper response.

I think it would be better if we stuck with the 2nd Battalion the Royal Regiment of Fusiliers, because that is what people have come to speak about. Today, we have heard arguments about the withdrawal of 2RRF from the Army’s order of battle. Neither my right hon. Friend the Secretary of State nor I take any pleasure in the removal of any unit from the Army. I can assure hon. Members that we did not come into politics to reduce our armed forces. There is not a battalion or regiment in the current order of battle that does not have a proud history and significant battle honours. If, however, we are to create an affordable and balanced Army offering serious military capability into the future, a small number of those proud units and battalions will have to be withdrawn from the line.

My hon. Friend the Member for Basildon and Billericay has been made aware of the reasons behind the Army Board’s decisions—and they were Army Board decisions, endorsed by Ministers. I would like to take this opportunity to reiterate these reasons for the benefit of the House.