§ Ann ClwydTo ask the Secretary of State for Defence if he will publish his forthcoming study into the Government's subsidisation of the military export and defence sector; when this study is expected to be completed; and when Parliament will be able to review the findings of the study. [4739]
§ Dr. MoonieWe expect the study into the costs and economic benefits of defence exports being undertaken by the Ministry of Defence's Senior Economic Adviser, with contributions from leading, independent, academic defence economists, to be completed shortly. It will be published and made available as soon as possible for review by the House of Commons Defence Committee, which originally proposed the study.
I do not expect the analysis to show that there is Government subsidisation of defence exports, but rather to reflect the fact that there is a significant net benefit to the Defence budget—and thus the taxpayer—from defence exports. These benefits include a reduction in costs for UK procurement as a result of export orders, receipts from Commercial Exploitation Levy and disposal of surplus MOD equipment. In addition to economic benefits, responsible and legitimate defence exports, together with our own defence efforts, contribute to international stability by strengthening collective defence relationships.