HC Deb 04 December 1990 vol 182 cc162-3
6. Mr. Battle

To ask the Secretary of State for Defence what are the defence implications for the United Kingdom of the conventional forces in Europe treaty signed in Paris in November.

Mr. Archie Hamilton

The consequent improvements to European security and stability will be of substantial benefit to the United Kingdom.

Mr. Battle

While we welcome the encouraging peace developments in the Paris treaty, we would all accept that that is in the worst economic circumstances for manufacturing industry, in particular engineering. If the Government can subsidise consultancies for companies under the enterprise initiative, which is paid for by taxpayers, why are they so resistant to setting up an agency to tackle the conversion from arms manufacture to peacetime and civil industry?

Mr. Hamilton

The reason is simple-it is because we have experienced central planning from Government and interference in industry and it has been notoriously unsuccessful. The most unproductive companies have been supported and that has led to reducing the chance of survival of successful companies.

Mr. Colvin

Now that the CFE treaty has been signed and the German elections are out of the way, why are our partners in the European fighter programme dragging their feet over their whole-hearted commitment to it? The answer from my hon. Friend the Minister of State for Defence Procurement was welcome, but is Britain to proceed unilaterally with the project? What about our partners, bearing in mind the fact that next year some of the items with long lead times will have to be ordered?

Mr. Hamilton

I can assure my hon. Friend that our partners in the EFA project are signed up to the development stage, so, whatever we have been hearing, I do not think that they have the option of pulling out.

Dr. Reid

The loss of jobs in the defence industry should be a matter of great concern to us all, but I should like to put another matter to the Minister because his answer was less than forthcoming. The word "vacuous" sprang to mind, but it is probably too substantial a word. What progress has been made on the follow-on negotiations to CFE-1? When are those negotiations likely to begin? Can the Minister say something about the pledge in the Queen's Speech that the Government would be "active" in their pursuit of further conventional disarmament? What activities have they undertaken so far? What approach are the Government adopting? Finally, what are they seeking to achieve in further disarmament negotiations?

Mr. Hamilton

Bodies are already meeting to plan the way ahead. I remind the hon. Gentleman that the CFE treaty still has to be ratified. The nearest estimate that I have heard of when that is due to happen is July next year. However, thought is being given to the follow-on from here and to what form that should take. Discussions are currently taking place on that matter.

Mr. Allason

Will my hon. Friend assure the House that when, under the terms of the Paris treaty, various sites in Europe are removed from military use, they will be restored to their former condition and that there will not be any toxic or long-term damage at those sites such as we have seen following the withdrawal of similar forces from the Warsaw pact and the eastern bloc?

Mr. Hamilton

Any reductions in any force levels in central Europe will be carried out in conjunction with NATO to ensure that the residual forces have a coherence and military stature that makes some sense.