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Royal Navy

As a Member representing a seat containing the largest naval base in western Europe, I have taken a close interest in the debate. I shall touch on elements of the Opposition’s motion, as well as concerns raised elsewhere, and avoid turning the debate into one based solely on the naval base review and the so-called beauty contest between Portsmouth and Plymouth. In recent weeks, the media have run comments—no doubt some Opposition Members might want to repeat them—made by a forthright, provocative and, at times, mischievous First Sea Lord, Sir Jonathon Band. However, had hon. Members been with me and my hon. Friend the Member for Portsmouth, North (Sarah McCarthy-Fry) last week when we listened to him as members of the naval part of the parliamentary armed forces scheme, they would have heard him get very serious. He made clear the position that he has absolute confidence that the Navy can do all that is being asked of it at present, not least because of the ongoing investment and the delivery of 28 ships in the past decade alone. Believe me, the First Sea Lord is not a man who bows to pressure from anybody. That assessment of him, which was made from the Opposition Benches, is quite wrong. We are seeing the most significant shipbuilding programme in modern times, although that fact tends to be obscured by a smokescreen put up by the media. The comprehensive spending review is coming up and a number of the stories that have been circulating about cuts are misleading at best. There is no doubt that whenever budgets are being considered either nationally or locally, Departments start to leak. They leak from within, and separate directorates also start to leak. They are all competing for money and are all determined to wind up the stakeholders; the politicians, who see a good story and an excuse to attack the Opposition, whatever their political colour; and the public, who believe that severe and arbitrary cuts to services are imminent. It is important, however, to separate the rumour mill from the serious need to reassess, in a changing world and in the light of advances in design and build, the strategic requirements of our armed services. Of course each branch of our armed services wants more money to spend—who would not?—but we need to take care that the money provided does not disappear into a black hole and that we avoid serious duplication and inefficiencies. The 2003 Defence White Paper marked a change in approach on defence spending. Now, with the marine industrial strategy and the defence industrial strategy—the DIS—we are moving towards a crucial point. The decision on the aircraft carriers is clearly part of that process, as is the review of naval bases. The DIS called for a wholesale transformation of the UK’s naval industrial base. It set out a broad template for the consolidation and restructuring of the industry to focus on the long-term-capability management of in-service assets. The Minister Lord Drayson has persevered; to his credit, he is making progress, despite the great scepticism about whether he would be able to bring the big industrial players on side. In part, he has managed that by using as a lever what was on offer under the future carrier programme, the CVF. It is an interesting strategy, but it may in part explain why the CVF has not yet been brought forward. In fact, the Minister could not have been clearer when in January this year, he said in a Jane’s publication:"““I tried to be as clear as I could to the industry that we really needed to see this consolidation take place before we were in a position to go forward with projects like the carrier.””" Clearly, the carriers are important, but something much more important is at stake: the future of UK defence industries plc. We need to get the balance right between the fleets’ needs and the certainty of orders, to protect the Navy’s requirements as well as the skills base required in the industry. A regular order book makes much more sense than the peaks and troughs that we currently see. There is evidence that the industry is responding positively and beginning to understand that there could be long-term gains and profits for it if it works with the MOD. There has been enormous investment in the Royal Navy, and that has been entirely right. We are seeing its first fruits—ships and vehicles. The Navy can expect a further £14 billion to be spent in the next 10 to 15 years, and that is unprecedented. The money is to be spent on upgrading the destroyers with the new Type 45s, on new attack submarines and, of course, on the new aircraft carriers. That is an impressive programme, but the Navy has its part to play and has to be more efficient. The current naval base review affects Plymouth, and we are making the strongest possible case for the retention of its base, because we know that we can help the MOD and the Navy meet its future needs. The Opposition want the outcome to the review urgently, but speed is not the answer. I want a thorough review of the evidence and an understanding of the implications for Plymouth and the wider south-west, rather than a rushed decision. Plymouth’s case for an ongoing role is powerful. I believe that, viewed on the basis of the criteria applied across the other bases, the Navy has a long-term future in Devonport. Such a level playing field is important if the final decision is to be accepted. One of the strengths of our case is the synergy that exists between the Navy and the private sector. I am sure that both Plymouth and Portsmouth can make emotive cases, but ours in Plymouth is being made on hard facts and figures. The capacity of the industry to respond to the requirements of the Navy, whether for surface build and support or for refit, is vital for the service, and DML in Devonport has a key role to play. DML is a company that produces the type of outcome that the MOD requires; it is efficient and its work is to the highest specifications. DML, its management and trade unions, fully comprehend what is being asked of them.