§ Mr. Cartwrightasked the Secretary of State for Defence if he will set out year by year the number of man-years of employment provided by United Kingdom defence procurement since 1975; what proportions were skilled, semi-skilled and unskilled labour; and how many man-years he expects to be provided by the new heavyweight torpedo.
§ Mr. PattieIt is estimated that the numbers of job opportunities created directly by the defence equipment programme, the number of job opportunities created indirectly elsewhere in the economy, for each year since 1975, are as follows:
Number of job opportunities Direct Indirect 1975 203,000 162,000 1976 212,000 170,000 1977 215,000 172,000 1978 219,000 175,000 1979 225,000 180,000 1980 230,000 184,000 It is not possible to determine how those job opportunities would have been divided between skilled, semi-skilled or unskilled employees.
If the new heavyweight torpedo were to be ordered in the United Kingdom, the project as a whole (including development) could be expected to require some 24,000 man-years of effort to the end of the main production run.
§ Mr. Cartwrightasked the Secretary of State for Defence how many man-years of work would be involved in manufacture and production if the contract for the new heavyweight torpedo was placed in the United Kingdom.
§ Mr. PattieIf the new heavyweight torpedo were ordered in the United Kingdom, the work would include development as well as manufacture. Production contracts would be spread over a number of years, as would contracts for in-service maintenance and modifications. The prime contractor could be expected to allot about half the work to sub-contractors. It is very difficult in these circumstances to forecast the future total manpower requirements of the project as a whole, but it is broadly estimated that it would require approximately 24,000 man-years of effort to the end of the production programme as currently envisaged.
The competitive proposals from the United States of America on the new heavyweight torpedo include an offer to make offsetting purchases in the United Kingdom, which could also result in considerable production work for British industry.
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§ Mr. Cartwrightasked the Secretary of State for Defence what elements of the United Kingdom defence industry he regards as being essential to the future defence of the United Kingdom.
§ Mr. PattieThe Government always seek to procure equipment wherever it is sensible and practical to do so from firms in the United Kingdom and will purchase abroad only if the foreign product offers substantial advantages of cost, quality or delivery time. Indeed, last year, only 10 per cent. of the equipment budget was spent on foreign products, the remainder being 75 per cent. on national contracts placed solely with British industry and 15 per cent. on collaborative projects. In theory, therefore, it would be possible to satisfy practically all defence equipment requirements by foreign purchase if necessary, but in practice we aim to procure most equipment within the United Kingdom.
§ Mr. Cartwrightasked the Secretary of State for Defence, when choosing between British and American sources for weapons and equipment, what premiums as a percentage of procurement costs he accepts for buying British in the light of employment, industrial balance of payments and export implications.
§ Mr. PattieAll the factors mentioned are taken fully into account in reaching a decision, and it remains our policy and practice to buy British whenever it is sensible and practicable to do so. No precise premium has been laid down, however. It is a matter of striking a balance between the industrial and other considerations on the one hond and the cost considerations on the other, in each particular case.