Strategic Defence and Security Review

I have said to members of the armed forces that to some degree that is academic because it all comes from the same pot at the end of the day. The understanding has always been, and the structure of the defence budget is, that the defence budget pays for the running costs of the deterrent and the Treasury pays for the capital costs of replacing the deterrent. If the budget were transferred without a dowry of some description to offset the costs, the issues would be pretty profound for the rest of defence capability. Which pot the money comes from is a matter of Government accounting. What I am saying is that if these pretty profound decisions are being seriously considered—if they are just about delay they do not make sense, but if they are about something else they are core to Government policy—then they ought to be discussed openly and not attempted through any sleight of hand. I have gone on for too long and many hon. Members wish to speak. [Hon. Members: ““Hear, hear.””] With the discomfort that there is on the Government Benches, I see that people want me to move on, so let me address one final issue—the welfare of our armed forces. As well as it being the duty of any Government to repay and honour the sacrifices of our armed forces, it is also essential to retain world-class forces. No matter how many fast jets, tanks or other equipment we have, they are nothing without the incredible people who operate them. We introduced many reforms when we were in government, including a sustained investment in accommodation, the doubling of compensation for the most serious injuries and the provision of greater access to education, housing and health care. As a Government, we were determined to honour our duty to those fighting on the front line and as a party we will support the Government in building on those achievements. That is why I am glad that they have adopted our election proposal of enshrining the rights of our service personnel in law, but so far we have seen no detail. When will the Minister present his Bill and what will it include? I know that many Conservatives are concerned about what the coalition's cuts will do to those in the most need of support. Does the Minister have the same concerns about the impact of those cuts on our armed forces? His party, and he personally, promised to increase the pay of the lowest paid in the armed forces so that nobody would be paid less than £23,000 a year—I am sure he will remember that—but the Government's pay freeze will hit all those who earn above £21,000. It seems that not only the Defence Secretary is undergoing a transformation. The review will be pivotal for the future of our nation and for our armed forces. It must be carried out in the right way, for the right reasons, as determined by our long-term strategic needs. No matter what the Defence Committee Chairman says, I know that he agrees that it must not become simply a cost-cutting exercise in which the Treasury calls all the shots. Sadly, the signs are not promising.