HC Deb 15 June 1976 vol 913 cc300-1
22. Mr. James Johnson

asked the Secretary of State for Defence what will be the effect of a £1,000 million cut in defence expenditure on ship construction and the number of jobs involved.

Mr. William Rodgers

A cut of such a size would put in jeopardy the jobs of many of the 25,000 men employed in the shipyards on warship construction and of many others employed by sub-contractors. It would be a massive blow to shipbuilding in the United Kingdom, with severe consequences for the development areas.

Mr. Johnson

Will the Minister note that I, too, would like him to spurn any blandishments for cuts in this area of activity, in view of the continuing unemployment in the yards at Humberside and many other estuaries in the North of England?

Mr. Rodgers

These are delicate matters, on which views are strongly held. It is plain that it is not possible to make massive cuts in defence without consequences on equipment, and it is not possible to make massive cuts in equipment without the loss of job opportunities.

Mr. Edwin Wainwright

Will the Minister say whether there has been any discussion between the NATO Allies as to what would occur if this country were to agree to cut defence by a sum of £1,000 million? Will he also say whether, in his opinion and that of his Department, it would create a greater chance of world peace if cuts were to take place?

Mr. Rodgers

The answer to the first part of my hon. Friend's question is "No." There has been no such discussion, because our NATO Allies think that such a prospect is preposterous. As for my hon. Friend's second point, it must be recognised that cuts of this size, however well-intended, would so severely undermine the position of NATO that we could see a complete reversal of the situation that has existed since 1945.

Mr. Frank Allaun

Has not Japan been able to sweep the market in shipbuilding because she has devoted her research and development expenditure to civil rather than military effort?

Mr. Rodgers

Alas, that is not the case. I remind my hon. Friend that all the research carried out in regard to naval vessels is also available for use in civilian shipbuilding. There is an important amount of spin-off from the present naval shipbuilding programme.