HC Deb 17 July 1990 vol 176 cc854-5
11. Mr. Henderson

To ask the Secretary of State for Defence whether he has received any representations to set up an arms conversion agency.

12. Mr. Fatchett

To ask the Secretary of State for Defence whether he has received any representations to set up an arms conversion agency.

The Minister of State for Defence Procurement (Mr. Alan Clark)

This question appears to have been widely syndicated on the Opposition Benches. It is found in three of the top dozen questions. Let us hope that hon. Members have adequately memorised their supplementaries.

The answer is that I have received various representations.

Mr. Henderson

Has the Minister had the temerity to contact the Department of Trade and Industry on the possibility of an arms conversion agency? If so, can he tell us about the nature of those talks and specifically whether he has received reports from the DTI on how manufacturing industry can obtain its share of the peace dividend?

Mr. Clark

That question has been asked no fewer than seven times, and answered by three Ministers, during the past six months. The question does not alter and nor does the answer. British industry is responsible for determining its product ranges, not the Government.

Mr. Fatchett

Does not the Minister's answer show clearly that the Government feel that they have no responsibility to the companies and workers which have supplied the British forces over the years? Is not the Minister happily washing his hands of companies such as Vickers in Leeds? Is not it time that the Government accepted some responsibility for those who have supplied Britain so well for so long?

Mr. Clark

I thought that the hon. Gentleman spoke from the Opposition Front Bench on some subject or other, and I had hoped that he would produce some enlightenment on the subject. All that he has done is produce the standard socialist formula—convene a committee of friends, throw some public money at the subject and then claim that something is being done about it. In fact, we have no details about the project. We do not know how it is to be constituted, whether it is to be funded from taxation revenue, or whether—as I understand it—it is to be funded by a surcharge on those in arms production. There are no details: it is simply a down-memory lane formula of socialism.

Mr. Hind

Does my hon. Friend agree that it is essential that we retain a military complex in our industry that is capable of turning out the necessary minimum weapons to guarantee our security? Is not military aviation such as that at British Aerospace at Walton essential to continue the defence of this country?

Mr. Clark

Of course, there are certain key capabilities that we shall retain at all times. We shall always continue to need a strong and vigorous defence sector in our manufacturing industry.

Mr. Viggers

Has my hon. Friend had the opportunity to read some of the articles commemorating Adam Smith? Did they refresh his natural inclination that if market forces do anything, it is crucial that the Government should not become involved in the issue? The very last thing that we should have is an arms conversion agency.

Mr. Clark

I entirely agree with the latter part of my hon. Friend's proposition, but I am not sure whether all Adam Smith's precepts are entirely applicable to the defence industries.