Mr. O'NeillTo ask the Secretary of State for Defence what consultations he held with his NATO counterparts about the proposed reductions in the Royal Navy under the "Options for Change" process prior to 25 July 1990.
§ Mr. Archie HamiltonThe United Kingdom's proposals for changes to its defence forces in response to the changing strategic environment in Europe, including the proposed reductions for the Royal Navy, were set out in my right hon. Friend the Secretary of State's statement on "Options for Change" last summer. These proposals were carefully considered in the light of international developments and the work under way to determine the alliance's new military posture. At the time of the announcement it was made clear that the United Kingdom's proposals would be subject to consultation with our NATO allies. In common with our allies, we have since engaged in formal consultations within the alliance and with our allies about our future plans.
Mr. O'NeillTo ask the Secretary of State for Defence whether he will make it his policy to publish a statement detailing the total anticipated effect of the" Options for Change" process on(a) the procurement budget and (b) the personnel budget.
§ Mr. Alan ClarkEstimates of expenditure in 1991–92 on equipment procurement and on personnel will be given in the annual defence White Paper, to be published on 9 July. It is not our policy to disclose details of our financial plans beyond the estimates year.
§ Mr. WarrenTo ask the Secretary of State for Defence what consultations he has held with companies involved in the manufacture of defence equipment concerning the formulation of Her Majesty's Government's policy "Options for Change"; and if he will make a statement.
§ Mr. Alan ClarkI refer the hon. Member to the answer given to the hon. Member for Clackmannan (Mr. O'Neill) on 23 May 1991 at column613 of the Official Report.
Mr. O'NeillTo ask the Secretary of State for Defence whether he will make his policy to publish a detailed statement on the strategic rationale underlying the "Options for Change" process.
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§ Mr. Archie HamiltonThis will be covered in the annual defence White Paper to be published on 9 July.
§ Mr. WarrenTo ask the Secretary of State for Defence what offers he has received from trade associations representing manufacturers of equipment for defence to assist in the formulation of Her Majesty's Government's policy on "Options for Change"; and if he will make a statement.
§ Mr. Alan ClarkDiscussions between Ministers and trade associations are conducted on a confidential basis.
§ Dr. Goodson-WickesTo ask the Secretary of State for Defence what plans he has for reducing his Department's headquarters under "Option for Change".
§ Mr. Tom KingAs I made clear in my statement on 25 July 1990 on "Options for Change" my intention is to make substantial savings across the whole field of defence activities. This will involve both the armed forces and their civilian support and include the MOD headquarters which I have decided to restructure and slim down proportionately to the overall reductions.
I plan to achieve a smaller and more cohesive central headquarters, resulting in savings of about 20 per cent. in the uniformed and civilian top structure. Generally similar reductions will be carried through the organisation as a whole. The fall in numbers in the London element of the headquarters will be proportionately greater because in addition a substantial range of functions will be relocated and will merge with existing support establishments and commands elsewhere. On current expectations staff numbers in London are expected to fall from about 14,500 by some 7,000.
Overall under "Options for Change" the number of MOD civilian posts at home and abroad is currently expected to fall by about 20 per cent., the same proportion as the armed forces. About 20,000 posts will be saved in the United Kingdom and 15,000 abroad. This reduction will go forward at the same pace as in the armed forces overall.