HC Deb 24 January 2000 vol 343 cc6-7
4. Mr. Tim Collins (Westmorland and Lonsdale)

If he will make an announcement on the preferred bidder for the short-term strategic airlift programme. [104538]

The Secretary of State for Defence (Mr. Geoffrey Hoon)

We are assessing proposals from three companies: Boeing, Air Foyle Ltd. and HeavyLift Cargo Airlines Ltd. We shall make an announcement as soon as possible.

Mr. Collins

I thank the Secretary of State for that reply, but will he guarantee that the RAF will get the aircraft that it wants, not the aircraft that Downing street, for political reasons, decides is convenient? Will he guarantee that the timing will be determined according to strategic necessity, not Treasury pressure? If he is tempted to repeat his earlier allegations about the record of the previous Government, he should recall that, during Labour's previous periods in office, his lot were all unilateralists who wanted to cut our defence budget in half.

Mr. Hoon

Obviously, when considering such important investments, it is necessary to look at all relevant factors, including performance, cost and industrial issues.

Mr. Barry Jones (Alyn and Deeside)

Does my right hon. Friend agree that the matter has dragged on? He might recollect that, of the three delegations to Ministers that I have led, the first was to see Mr. Jonathan Aitken. The 4,000 airbus workers in my constituency hope that the A400M option is his Ministry's choice. If the C-17 were chosen, it would send to the British aerospace industry the wrong signal about its future. Will my right hon. Friend give the matter his careful consideration, in the knowledge that my constituents would build an extremely good wing for the A400M?

Mr. Hoon

We certainly appreciate the significance of the decision that has to be taken. We fully appreciate the importance of making progress, which is why we are urgently examining ways of enhancing aircraft capability in the short term, as well as in the long term, to which my right hon. Friend refers.

Mr. Keith Simpson (Mid-Norfolk)

The Secretary of State has said that the decision is an important one. The RAF is looking forward to receiving the aircraft, but will the right hon. Gentleman confirm that the RAF equipment budget is overspent? If so, how is it to afford the aircraft?

Mr. Hoon

The RAF equipment budget is not overspent. In assessing carefully the way in which that budget will be allocated, the short-term and longer-term heavy lift requirement will be uppermost in the minds of Ministers.