HC Deb 19 November 1991 vol 199 cc134-5
13. Mr. Tim Smith

To ask the Secretary of State for Defence what was the total cost to the United Kingdom of the Gulf war; how much has been recovered from allied nations; and what will be final net cost to the taxpayer.

Mr. Archie Hamilton

The additional defence costs of the Gulf conflict, to be spread over several years, are currently estimated to be about £2.5 billion. The bulk of the costs are offset by cash contributions from other Governments, totalling some £2 billion.

Mr. Smith

Is it not clear from that information that not only was the Gulf war a great success in military terms, but that the financial outcome was also most satisfactory from the point of view of the United Kingdom?

Mr. Hamilton

Yes, and I suspect that it has been an almost unique experience in that so much of the cost has been provided by other Governments. We are grateful to all Governments who came forward with cash for the war.

Mr. Harry Ewing

Apart from the fact that we made a profit from the Gulf war, may I ask the Minister to say what else was achieved by it, with Saddam Hussein still in power and carrying out his evil acts and with the dictatorship still in power in Kuwait? Why were our young men sent to their deaths in such a meaningless cause?

Mr. Hamilton

I find that, from start to finish, a most incredible contribution. I thought that I had made it clear that we did not make a profit on the war. It cost £2.5 billion and we got back £2 billion, which means that it cost us £500 million, which does not look to me like a profit. The hon. Gentleman will remember—indeed, his party purported to support the action of the coalition forces—that the objective was to liberate Kuwait. That is precisely what we did.

Mr. Conway

Does the Minister accept that, from the point of view of cost effectiveness, the members of the Territorial Army and the reserve forces who served in the Gulf war were remarkably cost effective? Does he agree that that bodes well for the TA review now under way in ensuring that the TA continues to give value for money and is geographically well balanced?

Mr. Hamilton

Yes. Clearly, in the current review of the Territorial Army, we are paying great attention to the need to continue to have a good geographical spread across the country. We pay tribute to the cost effectiveness of the Territorials.

Dr. Reid

If, as the Minister says, we recouped so much money on the Gulf war, may I ask him to explain why the Ministry of Defence is being so mean and tight-fisted towards some of those who were prepared to make the ultimate sacrifice during that war? Is the Minister aware, for example, of the considerable number of Territorial Army members who served in the Gulf, including over 20 from the constituency of my hon. Friend the Member for Kilmarnock and Loudoun (Mr. McKelvey), who have been refused their bounty because they did not serve their annual camp—precisely because they were in the Gulf for over 51 days? That is a scandalous way to treat people who risked their lives and came under repeated Scud attacks for the sake of their country. Will he order an immediate review of those cases with a view to ensuring that nobody is penalised financially purely because of the bravery that they showed and the sacrifice that they were prepared to make for their country?

Mr. Hamilton

What the hon. Gentleman says about members of the Territorial Army being refused their bounty is news to me, so I should be grateful if he would write to me. Of course we shall investigate such cases. As for our being mean and tight-fisted—the hon Gentleman's words—that is certainly not the case. There were very large claims from members of the Territorial Army for loss of earnings and most of them were met in full.