HC Deb 28 March 1995 vol 257 cc821-2
13. Mr. McKelvey

To ask the Secretary of State for Defence what steps his Department takes to monitor the changing size and shape of the British defence industry. [14638]

Mr. Freeman

As one of the defence industry's major customers, my Department naturally takes a keen interest in developments that affect the size and structure of our supplier base. We therefore have regular contact with representatives of United Kingdom defence companies at all levels.

Mr. McKelvey

Does the Minister not share my concern about the plight of the highly skilled engineers and technicians who work in the defence industry? The Government's apathetic approach shows them no future other than to transfer skills out of Britain or to go on to the scrap heap. Why does the Minister not immediately create a defence diversification agency so that we can have short-term and long-term planned transfers into other work and keep those highly skilled personnel here in this country after the work that they have done for the defence industry?

Mr. Freeman

We recognise the important skill that is in our defence industrial base. Defence Ministers have a responsibility for that. However, to create a defence diversification agency, which the Opposition Front-Bench spokesman—the hon. Member for Leeds, Central (Mr. Fatchett)—said in our last debate on the Navy would merely seek to effect a culture change in industry, without the commitment of substantial—

Dr. Reid

indicated dissent.

Mr. Freeman

The hon. Gentleman shakes his head; that clearly shows that what he suggests is dogma and a waste of taxpayers' money.