Strategic Defence and Security Review

The strategic defence and security review is having a significant long-term impact on the UK's defence posture and on our ability to deter aggression and to shape the global strategic environment to reflect UK national interests, and yet we still aspire to a global role. The Government argue that they have established an adaptable posture for UK defences, but the loss of whole capabilities such as carrier strike and maritime reconnaissance, and the paring back of virtually everything else, will leave the UK able to mount only limited operations of limited scale. After Afghanistan, numbers in the British Army will be further cut to 87,000, or perhaps even 84,000. Even the brigade-plus we currently deploy in Helmand—a fighting force of just 1,500 men—will be impossible to sustain other than for short durations. Libya was a success, and that reflected luck and political daring on the part of our political leaders, as well as the extraordinary inventiveness and resilience of our armed forces personnel. However, that does not prove that the SDSR is a success. The question is what should be done now. As the United States has just announced a new, leaner defence policy, leaving us in Europe more exposed, the world is not becoming safer. Clearly, without money, we must start thinking. I was grateful to hear my hon. Friend the Member for Penrith and The Border (Rory Stewart) extol the virtues of strategic thinking. To date, the fundamental failures at the Ministry of Defence have been intellectual, not technical, and changing the intellectual dimension does not need to cost a lot or require new institutions. The MOD needs to demonstrate new strategy and new operational concepts. There has been no real attempt yet to change what the MOD does. Trying to do the same as before on half the budget will fail. Less of the same will not work, because we no longer deploy critical mass. Nor can we solve the problem merely by doing things better. We need a ““Hammond review””, quietly to start to build capacity and to think about how to do things differently at low cost. That approach is alien to MOD culture and the defence industries, and it requires new people and new lead contractors. My right hon. Friend the Secretary of State should create a new, competent, imaginative, trustworthy team with real technical expertise—not consultants but dedicated people with collective responsibility, continuity and a real stake in seeing the problems solved. The civil service cannot do that in the traditional way, which underlines the weakness of putting it into a dominant position on the Defence Board, as my hon. Friend the Member for Gainsborough (Mr Leigh) pointed out. The Chief of the Defence Staff should build the new team for the Secretary of State, but he would still need to monitor it closely. It needs external sources of ideas and expertise, and it must explore how the MOD can be enabled to adapt and evolve using its own resources so that it can generate and regenerate the forms of power that the UK, and indeed Europe, need in this rapidly changing world. That requires a recreation of the country's competitive stance, just as the US's competitive stance ensures its technological and industrial dominance. The Secretary of State should involve others from Whitehall and Parliament, from the City and commerce, and from other like-minded defence ministries and industries. We cannot rely wholly on analysis by US organisations such as RAND. There are similar problems in our defence industry. How much industrial research and development capacity has been lost in the past 15 years? Does anybody know? With such a small budget, it no longer makes sense to have prime contractors. The more we use them, the less adaptable and the less able to reduce costs we will be. Reliance on them has proved no substitute for the MOD as an intelligent customer. The UK has always been good at small, and we should exploit that advantage by harnessing the networks of small businesses that are truly innovative and inventive but currently find it impossible to get their ideas into the MOD and the armed forces. The new equipment programme must reflect what we need and can afford, which will depend on the capacity to generate what we need when it is needed. The MOD faces huge challenges, and the reconstitution and regeneration of the previously extant force is no longer an option. We have used up our force and cannot replace it. The only viable option is a new concept of responsiveness, and it is time to think bravely and boldly. As my right hon. Friend the Secretary of State put it in his recent speech to the Atlantic Council:"““Necessity drives innovation—and it breaks down barriers…With budgets so tight, Allies need to revisit approaches and ideas that might previously have seemed politically unacceptable.””" That must apply at home as well as abroad. I was encouraged by the tone of his speech today, and I hope that the MOD is working towards those goals.