Question to the Ministry of Defence:
To ask the Secretary of State for Defence, what steps his Department is taking to expand defence procurement processes to enable greater participation by (a) advanced manufacturers in the Calder Valley valve industry and (b) other small and medium sized businesses.
Small and medium-sized enterprises (SMEs) hold a crucial place in UK defence. They are the backbone of the UK economy and are vital to delivering the innovation, expertise and agility that we need now and in the future. This is recognised in the Defence Industrial Strategy, as well as the Department’s Social Value policy.
We work with our largest suppliers through a network of their SME Champions, trade associations and SME representatives to ensure that smaller companies have access to opportunities in our supply chain and that our prime contractors are adopting policies, such as fair payment practices, that support small businesses working in defence. We are also introducing a new SME Commercial Pathway as part of our broader acquisition transformation. Through this pathway, Defence will increase the number of opportunities for SMEs, and make our contracting processes simpler, less onerous and faster.
This Government has already announced an ambitious but achievable target to spend £7.5 billion with SMEs by 2028 which will see direct spend increase by approximately £700 million during the next three years, and we will launch a new Office For Small Business Growth to provide SMEs with better access to the defence supply chain, ensuring that thousands of small businesses in the UK, including those in the Calder Valley, continue to lead the way in developing the world-beating technologies and services that we will need.