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Defence Policy

I think that the figure is about £8 billion for the modernisation of the defence estate, including the family and single living accommodation. That is a significant investment in the quality of the accommodation that we provide for our service personnel, and I saw evidence of that when I was in Faslane a couple of weeks ago. I know that the hon. Gentleman is worried about Colchester, but investment will also be made there. We are determined to see a step change in the standard of accommodation, and we are making pretty good progress. Hon. Members will be aware that in recent months the MOD has been examining its equipment programme. That work is continuing. My aim is to ensure that we bear down on costs where we can; drive up value for money wherever possible; maintain the principles set out in the defence industrial strategy; and prioritise spending within the objectives of the defence policy that I have set out today. I hope to be in a position soon to make further announcements on procurement. The contribution of defence spending to the economic health and vibrancy of many parts of the country is significant. Defence manufacturing, research, science and technology support more than 300,000 jobs in the UK, many of them high-value, high-skilled jobs. There continue to be significant export opportunities for UK companies overseas and, as Secretary of State for Defence, I intend to give full and active support to UK companies in accessing those markets. Resourcing and equipping our armed forces are two key pillars of building for the future. But there is no security for the UK in isolationism—in pulling up the drawbridge and hoping that our enemies will stop at our front door, because they will not. We need strong bilateral and multilateral relationships to advance our essential security interests. Through NATO we have taken a collective approach to defence, providing the bedrock of our security for nearly two generations. NATO's operations in Afghanistan and Kosovo, and the vital role it plays in security sector reform, show how far it rightly continues to underpin our security. I especially welcome President Sarkozy's commitment for France to join NATO's command structure. It is also self-evident that change is needed within NATO itself. It is still coming to terms with the reality of its role in a post-cold war world. At Budapest, I shared the frustration of those who wished to see more rapid progress in several areas. We must reduce the level and scale of its bureaucracy. NATO is still over-reliant on countries such as the US and UK to do most of the heavy lifting in operational theatres. Collective security does not mean guarding one's own garden gate and leaving a disproportionate burden on others to do everything else. Just as we are rightly debating the effectiveness of multinational financial institutions to cope with the reality of today's economic crisis, we should be asking whether our multinational security institutions are properly structured and equipped to deal with the challenges of modern times. NATO alone will not always be the most appropriate vehicle through which to secure our national interest. Front and centre of UK defence policy will continue to be our deep and enduring relationship with the United States. That relationship is unlike any other. But, as I have already made clear, we should be pragmatic not ideological about the role our European partners can play in promoting UK security interests. We have moved on from a world in which we saw a zero-sum impact between the strength of our European partnerships and the effectiveness of NATO. I believe that 2009 will be both a real test and a great opportunity for the reform of those multilateral security institutions. Whoever wins the US presidential election next week will, I believe, be keen to promote stronger and deeper multilateral relationships in defence of common interests. There could well be a strong momentum for reform and I want the UK to be leading that debate. I have set out this afternoon the key tenets of our defence policy—delivering operational success, readiness for new tasks and building for the future. By delivering against all three objectives, we will ensure that the UK remains as secure from external threats and protective of our interests overseas as it can be. To achieve that, we rely today, as we have always done, on the extraordinary, brave men and women of the armed forces and the civilians who support them in theatre. Those who implement defence policies have a far more dangerous and difficult task than those who make and scrutinise them. So let all of us in this place put aside all other loyalties and unite in giving them the support and praise that they so richly deserve.