Defence Funding: Efficient Spending

Defence – in the House of Commons at on 20 May 2024.

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Photo of James Daly James Daly Conservative, Bury North

What steps he plans to take to ensure efficient use of increased defence funding.

Photo of Grant Shapps Grant Shapps The Secretary of State for Defence

I am committed to ensuring that the defence uplift to 2.5% means that we spend the money as efficiently as possible. The tremendous work by my hon. Friend the Minister for Defence Procurement on the integrated procurement model is very important to the outcome of that spending.

Photo of James Daly James Daly Conservative, Bury North

I am very pleased to hear my right hon. Friend commit to the efficient use of defence spending, which we may not have seen in the past. Will he comment on the excellent example of his recent announcement on saving Royal Marine warships and the fact that this Government have committed to building up to six more for the commandos?

Photo of Grant Shapps Grant Shapps The Secretary of State for Defence

That is absolutely right. It is very important that our Royal Marines are able to continue their activities, so not only will we keep the existing ships running but we have announced that we will build up to six new multi-role ships, which is all part of our programme to build 28 ships. That is why our shipyards are so very busy.

Photo of Samantha Dixon Samantha Dixon Opposition Whip (Commons)

Because of Government plans to mothball HMS Albion, key artefacts from the ship, including the sword of peace, were given to Chester town hall for safekeeping, and then, on 14 May, the Secretary of State announced that HMS Albion will not be mothballed. When would he like the artefacts back? Exactly when is HMS Albion going to be put to sea again?

Photo of Grant Shapps Grant Shapps The Secretary of State for Defence

We never announced that she was being mothballed, so I am very interested to hear about these artefacts. I was on HMS Albion the other week, so I will be very interested to engage on what has been removed.

Once again, I can clarify that both those ships—both used by our Royal Marines—will remain in active service. It is the case that more modern ships are being procured, which is possible only because we are prepared to put a date to spending 2.5% on defence.

Photo of Dave Doogan Dave Doogan Shadow SNP Spokesperson (Energy Security and Net Zero)

Increased defence spending is obviously only a means to an end. It is not an end in itself. The Treasury rightly takes a jaundiced view of the MOD’s ability to spend money wisely so, to that end, can the Secretary of State advise the House on how much taxpayers’ money and defence budget was spent refitting HMS Argyll, only for her to be paid off immediately after she came out of refit?

Photo of Grant Shapps Grant Shapps The Secretary of State for Defence

There is no way that the Treasury, given its very tight hold on the fiscal regime, would approve spending 2.5% of GDP on defence if it did not have confidence in how we will spend it. Again, I refer the hon. Gentleman to the excellent work of the integrated procurement model, which will make all the difference. I am very happy to engage with him on individual defence decisions, but the fact of the matter is that if we do not commit to spending the money, we cannot put the pipeline in place to build things like the new ships and submarines we need.

Photo of Dave Doogan Dave Doogan Shadow SNP Spokesperson (Energy Security and Net Zero)

I am unsurprised that I got no answer to my question because I never got an answer to that question on 8 January or to my point of order on 24 March. I was only informed by the Minister for Defence Procurement, who is whispering a response, I hope, into the Secretary of State’s ear, of the fate of HMS Argyll after I read about it in the media. Will the Secretary of State tell me a different answer, then: did BAE Systems approach the MOD to buy HMS Argyll, or did the MOD approach BAE Systems?

Photo of Grant Shapps Grant Shapps The Secretary of State for Defence

I am pleased that the hon. Gentleman recognises that my hon. Friend the Minister for Defence Procurement has written to him on the subject, and I have no doubt that he will wish to engage with the hon. Gentleman further.