Opinions can differ about what that ceiling should be. All I can tell the noble Lord, Lord West, is that the Navy tells us that it is working towards a target that it believes is credible and workable.
Turning to the comments of the noble Earl, Lord Cork and Orrery, between October 2016 and September 2017 we have seen a positive degree of progress in recruitment and retention, especially in outflow. Outflow has improved with fewer people leaving the full-time Armed Forces over that period compared to previous years. We are not out of the woods yet, but we are progressing. The noble Earl also questioned whether we would have enough personnel to man the aircraft carriers. There is no direct relationship between the size of a vessel and the manpower required to operate it. Technology has allowed manpower efficiencies over
time. I can assure the noble Earl that the carriers will be appropriately manned to ensure that they can always operate effectively and safely. We are confident that with the uplift in numbers that has been announced and through an ongoing process of internal reprioritisation, the Navy will have sufficient manpower to crew both aircraft carriers and the Dreadnought submarines.
The noble Earl also mentioned pay. We welcome the Treasury’s decision to allow greater flexibility for public sector pay, and we acknowledge that the Armed Forces are among the most extraordinarily talented and hard-working people in our society. We are committed to ensuring that the overall package that they and other public sector workers receive reflects the value that we place on their work. Armed Forces pay rates are recommended by the independent Armed Forces’ Pay Review Body and the Senior Salaries Review Body for the most senior officers. The Armed Forces’ Pay Review body reported earlier this year that it believes that the 1% increase in base pay recommended for 2017 would broadly maintain pay comparability with the civilian sector. We look forward to their recommendations for 2018-19.
The noble Lords, Lord Tunnicliffe and Lord Bew, referred to morale in the Armed Forces. We recognise that satisfaction with Armed Forces pay has declined since the introduction of pay restraint, although traditionally pay has not been cited as an important factor in influencing decisions either to join or to stay. The remuneration package for service personnel, which includes a good pension, subsidised accommodation and a range of allowances on top of the basic salary, remains, I believe, very competitive.
The noble Lord, Lord Dannatt, expressed his fear that the UK risks becoming militarily irrelevant and referred to the recent comments of General Hodges from the United States. The UK has been a world leader in matters of defence and security for centuries. We will ensure that we retain our long-held military edge by strengthening and modernising our Armed Forces to meet the harder threats that we face today. He also asked about our commitment to the Army. I reassure him that the Strategic Defence and Security Review set out our plans for investment in new Army capability and a modernised war-fighting division, which will enable our Armed Forces to respond to a wider range of more sophisticated potential adversaries and complex real-world challenges. In answer to both the noble Lord and the noble Lord, Lord Tunnicliffe, Joint Force 2025 is being designed to sustain a higher level of concurrency of smaller-scale operations which better reflects the real-world demands in place today. However, at the same time we want to develop the ability to deploy at large scales where this is required. The plan is to be able to deploy at appropriate readiness a force of around 50,000, which includes up to 40,000 from the Army. The restructuring of the Army will offer more choice for policymakers in that context.
I will touch on equipment and procurement. The noble Lord, Lord Owen, referred to the carriers. The carrier-enabled power projection programme will allow the UK to project military power from a floating corner of Britain anywhere in the world for the next 50 years. Aircraft and amphibious forces will be able
to launch from the carrier, and represent tremendous value for money given the unprecedented level of flexibility they will offer to the Royal Navy. Are we confident, the noble Lord, Lord Bilimoria, asked, that we can protect the carriers? Yes, we are confident that our new carriers are well protected thanks to the defensive systems we have invested in as part of our equipment plan. I can say to the noble and gallant Lord, Lord Boyce, that, yes, nothing has changed as regards our commitment in the SDSR to a fleet of 19 frigates and destroyers.
I will write on specific procurement questions asked by the noble Lord, Lord Bilimoria, about maritime patrol aircraft, and by the noble Earl, Lord Cork and Orrery, on offshore patrol vessels. My noble friend Lord Sterling pertinently referred to a very important topic, innovation. That is why, in 2016, the Ministry of Defence launched the defence innovation initiative to develop a culture that is innovative by instinct. Innovation is a big challenge for defence. My noble friend mentioned the risk of complacency, and he is absolutely right. We aim to establish a mindset across the department that incentivises our people to think and act more innovatively, and I would be glad to talk to him further about that.
The noble Baroness, Lady Lane-Fox, referred to an extremely important part of our armoury, which is the internet and cyber. I assure her that the Government recognise the importance of the internet as a domain of competition and conflict. The MoD and the National Cyber Security Centre are committed to working closely together and exploiting each other’s expertise and assets. There is more on that topic that I can usefully tell her.
I will write to the right reverend Prelate the Bishop of Coventry about the MoD’s contribution to post-war aftercare, but they key point of that post-war aftercare is overseas aid. Again, I can comment on that topic in a letter, as I will on the CSSF, a topic touched on by the noble Earl, Lord Sandwich.
I am afraid I have received a message to say that I am over time already. I will just ask noble Lords to be patient as the NSCR progresses. We have taken no decisions on this, and any suggestions to the contrary are mistaken. I look forward to further discussion in this House once the review has reached its conclusion.