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To ask the Minister for the Cabinet Office, what steps he is taking through public procurement policy to support UK shipyards to compete for Government contracts.
To ask the Minister for the Cabinet Office, what steps he is taking through public procurement policy to support UK shipyards to compete for Government contracts.
This government believes that it matters where things are made and who makes them. We also believe government procurement should do much more to protect national security, including in critical UK industries, in line with our international trade agreements.
That’s why on the 26th March I announced plans to ensure government departments make use of the national security exemptions in the Procurement Act, where lawful and appropriate, to ensure procurement serves the national interest. We will start with four sectors critical to our national security: steel; shipbuilding; energy infrastructure; and artificial intelligence.
As part of this, we are working alongside the government’s National Shipbuilding Office to explore a new commercial framework for shipbuilding with a predictable pipeline of work for domestic shipyards.
This is a major step forward in supporting British national security in critical industries and supply chains, and I will update the House when the new guidance is published.
To ask the Minister for the Cabinet Office, what steps he has taken with Cabinet colleagues to encourage government procurement in British companies in relation to (a) shipbuilding, (b) steel-making, (c) energy and (d) artificial intelligence.
To ask the Minister for the Cabinet Office, what steps he has taken with Cabinet colleagues to encourage government procurement in British companies in relation to (a) shipbuilding, (b) steel-making, (c) energy and (d) artificial intelligence.
This government believes that it matters where things are made and who makes them. We also believe Government procurement should do much more to protect national security including in critical UK industries, in line with our international trade agreements.
In order to protect essential security interests in critical industries and supply chains, the Government announced in March that we will issue new guidance to all government departments to make use of the national security exemptions in the Procurement Act, where lawful, to ensure procurement serves the national interest. We will start with four critical sectors: steel; shipbuilding; energy infrastructure and artificial intelligence.
This is a major step forward in supporting British national security in critical industries and supply chains, and I will update the House when the new guidance is published.
To ask the Secretary of State for Defence, what steps his Department has taken to support UK shipyards to tender for defence procurement contracts.
To ask the Secretary of State for Defence, what steps his Department has taken to support UK shipyards to tender for defence procurement contracts.
The Government recognises the importance of a sovereign shipbuilding sector for our national and economic security.
The Cabinet Office recently announced further policy updates on the Procurement Act 2023, listing shipbuilding as a sector for priority procurement reform as a sector critical to national security. This will mean more contract awards at British shipyards, boatyards, and small-to-medium enterprises.
The National Shipbuilding Office (NSO) is working collaboratively with the Cabinet Office in leading this work for the British shipbuilding sector, developing a new framework which will deliver more shipbuilding work in the UK.
Alongside this, the NSO’s upcoming Shipbuilding & Maritime Technology Action Plan will go further than previous strategies in delivering for our powerful sovereign shipbuilding industry and will detail this Government’s approach to supporting the sector.
To ask His Majesty's Government what steps they are taking to ensure that the procurement of vessels for Trinity House prioritises those which are built in the UK.
To ask His Majesty's Government what steps they are taking to ensure that the procurement of vessels for Trinity House prioritises those which are built in the UK.
The Trinity House vessel procurement required bidders to state social value and UK content commitments as part of their bids, which accounted for ten per cent and five per cent respectively of the overall evaluation.
All bids are assessed against these criteria as part of a fair and open competition. Given that this procurement remains live at this stage it would be inappropriate for me to comment further before this process concludes.
To ask the Secretary of State for Defence, what assessment he has made of the potential risk of new vessels, intended to support operations at HM Naval Base Clyde, procured by Serco as part of the Royal Navy harbour and support craft element of the Defence Maritime Services Next Generation...
To ask the Secretary of State for Defence, what assessment he has made of the potential risk of new vessels, intended to support operations at HM Naval Base Clyde, procured by Serco as part of the Royal Navy harbour and support craft element of the Defence Maritime Services Next Generation...
Vessels being procured as part of the Defence Marine Services-Next Generation In-Port Services will not be built in China and future maintenance of the vessels will take place in the UK.
This Government is stepping up our support for UK shipbuilders. We are looking closely at the subcontracting supply chain as part of our Shipbuilding and Maritime Technology Action Plan, which will set out our plans to ensure that we are maximising our use of UK industry as an engine for growth.
To ask His Majesty's Government what estimate they have made of the value of the supply chain of the contract for the vessels being constructed for the Defence Marine Services Next Generation Contracts.
To ask His Majesty's Government what estimate they have made of the value of the supply chain of the contract for the vessels being constructed for the Defence Marine Services Next Generation Contracts.
The Vessel Replacement Programme within the Defence Marine Services Next Generation In-Port Services contract represents approximately £200 million, 22% of the total In-Port Services contract value. Serco, as the prime contractor, is responsible for managing its supply chain and made the decision to sub-contract to Damen Shipyards Group. The Ministry of Defence monitors prime contractor reporting to ensure compliance with contractual obligations and value-for-money principles.
A summary of current ships in the Royal Navy and Royal Fleet Auxiliary and planned vessels.
A summary of current ships in the Royal Navy and Royal Fleet Auxiliary and planned vessels.
To ask His Majesty’s Government what steps the Ministry of Defence is taking to maximise UK- manufactured products in its procurement decisions.
To ask His Majesty’s Government what steps the Ministry of Defence is taking to maximise UK- manufactured products in its procurement decisions.
My Lords, the defence industrial strategy set a vision to make the UK defence sector more competitive, innovative and resilient, including measures backing UK businesses, lowering barriers to entry and increasing competitiveness by supporting SMEs through the defence office for small business growth, reforms to social value and exploring an offset policy, regional defence growth deals supported by £250 million and establishing the office of defence exports, helping businesses compete globally.
My Lords, the defence industrial strategy set a vision to make the UK defence sector more competitive, innovative and resilient, including measures backing UK businesses, lowering barriers to entry and increasing competitiveness by supporting SMEs through the defence office for small business growth, reforms to social value and exploring an offset policy, regional defence growth deals supported by £250 million and establishing the office of defence exports, helping businesses compete globally.
My Lords, the defence industrial strategy set a vision to make the UK defence sector more competitive, innovative and resilient, including measures backing UK businesses, lowering barriers to entry and increasing competitiveness by supporting SMEs through the defence office for small business growth, reforms to social value and exploring an offset policy, regional defence growth deals supported by £250 million and establishing the office of defence exports, helping businesses compete globally.
To ask His Majesty’s Government what steps the Ministry of Defence is taking to maximise UK- manufactured products in its procurement decisions.
I thank my noble friend for that Answer. Under the national shipbuilding policy, the Ministry of Defence is committed to placing UK shipbuilding orders in UK yards to ensure a continual drum beat of work. Therefore, why, under the defence maritime services next generation contract, which has just been awarded to Serco, will 24 tugs and pilot boats be built by Damen in the Netherlands? Why are we exporting UK defence jobs to Holland and to a company that has recently been bailed out by the Dutch Government? I ask my noble friend to follow the German Government’s recent announcement that they will cancel their frigate order with Damen and to place those much-needed orders in UK yards.
I thank my noble friend for that Answer. Under the national shipbuilding policy, the Ministry of Defence is committed to placing UK shipbuilding orders in UK yards to ensure a continual drum beat of work. Therefore, why, under the defence maritime services next generation contract, which has just been awarded to Serco, will 24 tugs and pilot boats be built by Damen in the Netherlands? Why are we exporting UK defence jobs to Holland and to a company that has recently been bailed out by the Dutch Government? I ask my noble friend to follow the German Government’s recent announcement that they will cancel their frigate order with Damen and to place those much-needed orders in UK yards.
I will look at the specific example that my noble friend has raised about the awarding of that contract. As well as that example, I could give others of where we have been successful in ensuring that shipbuilding is seeing something of a renaissance in our country, not least the recent winning of the contract from Norway for Type 26 frigates on the Clyde. That was an enormous boost to British shipbuilding and to that part of Scotland. That is the sort of example that we want to build on, but I will look at the example that my noble friend raised.
I will look at the specific example that my noble friend has raised about the awarding of that contract. As well as that example, I could give others of where we have been successful in ensuring that shipbuilding is seeing something of a renaissance in our country, not least the recent winning of the contract from Norway for Type 26 frigates on the Clyde. That was an enormous boost to British shipbuilding and to that part of Scotland. That is the sort of example that we want to build on, but I will look at the example that my noble friend raised.
I will look at the specific example that my noble friend has raised about the awarding of that contract. As well as that example, I could give others of where we have been successful in ensuring that shipbuilding is seeing something of a renaissance in our country, not least the recent winning of the contract from Norway for Type 26 frigates on the Clyde. That was an enormous boost to British shipbuilding and to that part of Scotland. That is the sort of example that we want to build on, but I will look at the example that my noble friend raised.
I thank my noble friend for that Answer. Under the national shipbuilding policy, the Ministry of Defence is committed to placing UK shipbuilding orders in UK yards to ensure a continual drum beat of work. Therefore, why, under the defence maritime services next generation contract, which has just been awarded to Serco, will 24 tugs and pilot boats be built by Damen in the Netherlands? Why are we exporting UK defence jobs to Holland and to a company that has recently been bailed out by the Dutch Government? I ask my noble friend to follow the German Government’s recent announcement that they will cancel their frigate order with Damen and to place those much-needed orders in UK yards.
My Lords, those who know about defence procurement—as the Minister does; I am encouraged by much of what he says—know that it is incredibly bureaucratic. That slows down any decisions —I do not know whether it has affected this decision—for UK-made kit rather than buying stuff off the shelf. Can the Minister please look carefully at how we can get rid of some of the bureaucracy surrounding defence procurement?
My Lords, those who know about defence procurement—as the Minister does; I am encouraged by much of what he says—know that it is incredibly bureaucratic. That slows down any decisions —I do not know whether it has affected this decision—for UK-made kit rather than buying stuff off the shelf. Can the Minister please look carefully at how we can get rid of some of the bureaucracy surrounding defence procurement?
We have recently recruited a new National Armaments Director and reforms are taking place in the Ministry of Defence. I ask this of the noble Lord and the House: why is it that in wartime we have an urgent operational requirement that cuts through bureaucracy and red tape, allowing us to deliver the weapons and equipment that our Armed Forces need? We need to ensure that that sort of attitude and culture operate in peacetime. It should not take a crisis or war to deliver the things we want and the equipment our troops need.
We have recently recruited a new National Armaments Director and reforms are taking place in the Ministry of Defence. I ask this of the noble Lord and the House: why is it that in wartime we have an urgent operational requirement that cuts through bureaucracy and red tape, allowing us to deliver the weapons and equipment that our Armed Forces need? We need to ensure that that sort of attitude and culture operate in peacetime. It should not take a crisis or war to deliver the things we want and the equipment our troops need.
We have recently recruited a new National Armaments Director and reforms are taking place in the Ministry of Defence. I ask this of the noble Lord and the House: why is it that in wartime we have an urgent operational requirement that cuts through bureaucracy and red tape, allowing us to deliver the weapons and equipment that our Armed Forces need? We need to ensure that that sort of attitude and culture operate in peacetime. It should not take a crisis or war to deliver the things we want and the equipment our troops need.
My Lords, those who know about defence procurement—as the Minister does; I am encouraged by much of what he says—know that it is incredibly bureaucratic. That slows down any decisions —I do not know whether it has affected this decision—for UK-made kit rather than buying stuff off the shelf. Can the Minister please look carefully at how we can get rid of some of the bureaucracy surrounding defence procurement?
My Lords, the real barrier for UK SME manufacturers is the time it takes to secure contracts, which is typically years, even for kit upgrades. By contrast, as the Minister knows, I recently hosted an event exploring ways to link UK manufacturers with Ukrainian software developers, who are innovating and making daily updated wearable drone detection kit. That is saving soldiers’ lives in Ukraine every day, but our troops do not have it. Can the Minister tell the House how the defence industrial strategy will engage with SMEs, for example in supplier networks such as the neutral vendor framework for innovation? Could this include cross-border joint ventures with innovative front-line experience elsewhere, of the sort I have just referred to?
My Lords, the real barrier for UK SME manufacturers is the time it takes to secure contracts, which is typically years, even for kit upgrades. By contrast, as the Minister knows, I recently hosted an event exploring ways to link UK manufacturers with Ukrainian software developers, who are innovating and making daily updated wearable drone detection kit. That is saving soldiers’ lives in Ukraine every day, but our troops do not have it. Can the Minister tell the House how the defence industrial strategy will engage with SMEs, for example in supplier networks such as the neutral vendor framework for innovation? Could this include cross-border joint ventures with innovative front-line experience elsewhere, of the sort I have just referred to?
We have established and are looking to grow a defence office for small business, which will be important. The noble Lord’s point is an extremely good one. The idea that the solution is always massive business has been shown by Ukraine not to be the case. The development of small business and small industry—the noble Lord gave the example of drone manufacture on a small-time basis—has been essential to the Ukrainian effort against the illegal Russian threat. His point about how we can develop that sort of capability and capacity is important for us all and something we need to learn from. As I said, the office for small business growth will take that forward.
We have established and are looking to grow a defence office for small business, which will be important. The noble Lord’s point is an extremely good one. The idea that the solution is always massive business has been shown by Ukraine not to be the case. The development of small business and small industry—the noble Lord gave the example of drone manufacture on a small-time basis—has been essential to the Ukrainian effort against the illegal Russian threat. His point about how we can develop that sort of capability and capacity is important for us all and something we need to learn from. As I said, the office for small business growth will take that forward.
We have established and are looking to grow a defence office for small business, which will be important. The noble Lord’s point is an extremely good one. The idea that the solution is always massive business has been shown by Ukraine not to be the case. The development of small business and small industry—the noble Lord gave the example of drone manufacture on a small-time basis—has been essential to the Ukrainian effort against the illegal Russian threat. His point about how we can develop that sort of capability and capacity is important for us all and something we need to learn from. As I said, the office for small business growth will take that forward.
My Lords, the real barrier for UK SME manufacturers is the time it takes to secure contracts, which is typically years, even for kit upgrades. By contrast, as the Minister knows, I recently hosted an event exploring ways to link UK manufacturers with Ukrainian software developers, who are innovating and making daily updated wearable drone detection kit. That is saving soldiers’ lives in Ukraine every day, but our troops do not have it. Can the Minister tell the House how the defence industrial strategy will engage with SMEs, for example in supplier networks such as the neutral vendor framework for innovation? Could this include cross-border joint ventures with innovative front-line experience elsewhere, of the sort I have just referred to?
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I declare an interest in that one of my sons works in defence procurement. In light of concerns raised about the reliance on overseas supply chains, can the Minister set out what steps the Government are taking to ensure that procurement decisions actively support UK-based manufacturers so that our defence capability is not dependent on foreign production?
I declare an interest in that one of my sons works in defence procurement. In light of concerns raised about the reliance on overseas supply chains, can the Minister set out what steps the Government are taking to ensure that procurement decisions actively support UK-based manufacturers so that our defence capability is not dependent on foreign production?
We are doing everything we can to support UK manufacturing. Let me set out one of the reasons why we are doing that. As I have said many times, Ukraine has been a wake-up call for us. The manufacturing industry in this country has been allowed to decline over decades, in a way that puts our homeland defence at risk. It is in our own national
interest to grow our defence industries, which is why it will be at the heart of what we do. It is not only about what we do here. The noble Baroness will have seen that the carrier strike group was out in the Indo-Pacific and is now back in the Mediterranean. There have been numerous round tables, conferences and industry events on the carrier, and on the ships with it, to promote growth. One of the ways to do that is by expanding our growth to the rest of the world.
We are doing everything we can to support UK manufacturing. Let me set out one of the reasons why we are doing that. As I have said many times, Ukraine has been a wake-up call for us. The manufacturing industry in this country has been allowed to decline over decades, in a way that puts our homeland defence at risk. It is in our own national
interest to grow our defence industries, which is why it will be at the heart of what we do. It is not only about what we do here. The noble Baroness will have seen that the carrier strike group was out in the Indo-Pacific and is now back in the Mediterranean. There have been numerous round tables, conferences and industry events on the carrier, and on the ships with it, to promote growth. One of the ways to do that is by expanding our growth to the rest of the world.
We are doing everything we can to support UK manufacturing. Let me set out one of the reasons why we are doing that. As I have said many times, Ukraine has been a wake-up call for us. The manufacturing industry in this country has been allowed to decline over decades, in a way that puts our homeland defence at risk. It is in our own national
interest to grow our defence industries, which is why it will be at the heart of what we do. It is not only about what we do here. The noble Baroness will have seen that the carrier strike group was out in the Indo-Pacific and is now back in the Mediterranean. There have been numerous round tables, conferences and industry events on the carrier, and on the ships with it, to promote growth. One of the ways to do that is by expanding our growth to the rest of the world.
I declare an interest in that one of my sons works in defence procurement. In light of concerns raised about the reliance on overseas supply chains, can the Minister set out what steps the Government are taking to ensure that procurement decisions actively support UK-based manufacturers so that our defence capability is not dependent on foreign production?