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Defence Procurement

If the hon. Gentleman will give me just a moment. I have not spoken in the House for four years given the position that I had and I have been speaking for about 40 seconds, but he is trying to intervene already. If he allows me a bit of scope, I will give way to one or two Members in a little while. The House knows that direct responsibility for defence acquisition lies with my noble Friend the Minister for Defence Equipment and Support and I should like to pay tribute to the tremendous commitment that he has brought to the role. In December 2005, he launched the defence industrial strategy. It has been a success. For the first time, it provides a framework for how the Government and industry together should meet the needs of the front line. The strategy set a challenge to the Ministry of Defence. It has driven change within the Department, not least through the merger of the Defence Logistics Organisation and the Defence Procurement Agency into Defence Equipment and Support earlier this year. That new organisation provides a unified approach to our procurement and support functions. It will deliver better value and greater effectiveness for the £16 billion that we spend each year. The defence industrial strategy also set industry a challenge to transform itself. A good example of how industry is rising to that challenge is shown in VT and BAE Systems; they are forming a joint venture for future shipbuilding and support.