Question to the Foreign, Commonwealth & Development Office:

To ask His Majesty's Government for what reasons they were unable to conclude negotiations with regard to the United Kingdom’s accession under Articles 16.10 and 16.11 to the Security Action for Europe (SAFE) through the Reinforcement of the European Defence Industry Instrument.

I refer the Noble Lord to the answer provided by the Ministry of Defence in the House of Commons on 4 December in response to Question 95829, which - for ease of reference - is reproduced below:

The Security and Defence Partnership agreed with the European Union on 19 May is an example of this Government's commitment to delivering on its manifesto pledges to strengthen European security, support economic growth, and reinforce NATO.

We are working swiftly with the EU to implement the Partnership and are prioritising cooperation on key areas, including support for Ukraine, countering hybrid threats, and promoting stability in the Western Balkans.

As the Minister for the Cabinet Office set out in his Written Ministerial Statement on 1 December, the Security and Defence Partnership also unlocked the possibility for enhanced UK participation in the Security Action for Europe (SAFE) instrument. Earlier this autumn, the UK and the EU entered into formal negotiations on a bilateral agreement to facilitate UK participation in SAFE. The UK entered these negotiations in good faith, reflecting our shared strategic interests. However, it was not possible to conclude these negotiations with an agreement.

This Government has been clear that we will only enter into agreements that serve the national interest. In this case, the negotiations did not yield an agreement that met this standard.

It is disappointing that an agreement on UK participation in the first round of SAFE could not be reached; however, the UK's defence industry will retain access to SAFE under standard third-country terms, with the potential to contribute up to 35% of the content of SAFE contracts.

This Government remains committed to pursuing cooperation with the European Union on defence and security that aligns with our NATO First policy, supports our defence objectives and delivers for the UK taxpayer.