HC Deb 05 February 1974 vol 868 cc1014-5
2. Mr. David Steel

asked the Secretary of State for Defence if he will make a statement on the latest developments in overseas arms sales.

The Secretary of State for Defence and Minister of Aviation Supply (Mr. Ian Gilmour)

I have nothing to add to the statement on the lifting of the arms embargo to the Middle East made by my right hon. Friend the Secretary of State for Foreign and Commonwealth Affairs on 21st January.—[Vol. 867, c. 1202–7.] Arms sales in general make a valuable contribution to our balance of payments and will continue to be governed by our normal stringent criteria.

Mr. Steel

Since, presumably, one of the main motivations in this regrettable traffic is the desire to cover the high cost of research and development, may I ask what steps the Secretary of State is taking to begin discussions with his partners in the Eurogroup about moving towards a common policy for arms procurement within Europe?

Mr. Gilmour

I agree with the hon. Gentleman that one of the objects of arms sales is, if possible, to reduce the cost of arms to our own forces. Over the past few years there have been a number of discussions in the Eurogroup about this. I hope that they will continue and will have a fruitful outcome.

Rear-Admiral Morgan-Giles

On the subject of the balance of payments, may I ask whether it would not be to the entire advantage of the Government to push ahead with the development of the maritime Harrier for export? Has my right hon. Friend seen a copy of the latest issue of Navy International showing no fewer than eight navies flying this aircraft on and off?

Mr. Gilmour

My hon. and gallant Friend will realise that the photographs were not of the maritime Harrier but of the ordinary Harrier which is already in production and has been bought by the Royal Air Force and the United States Marine Corps. The export possibilities of the maritime Harrier are, as I have often said, one of the most important factors taken into account in a decision on this equipment.

Mr. John Morris

Does the cancellation of the address by Admiral Lygo mean that the maritime Harrier for our forces is now a complete dead letter?

Mr. Gilmour

No. The postponement or cancellation of that address has no significance on this front.

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