Defence Sector: Innovation

I am sure that the House will want to offer its sympathies to His Majesty and the royal family on the passing of the Duchess of Kent.

The world is more dangerous and less predictable that ever, and as a result we need a strong British defence industry that is capable of innovating ahead of our adversaries. Our defence industrial strategy, launched later today, will meet that challenge. It will create jobs, grow skills, and drive innovation. It will make defence an engine for growth in every region and nation of the UK, and it will put Britain at the leading edge of innovation within NATO.

The growing advanced ceramics industry in north Staffordshire is a key creator of the unique advanced ceramic materials that are required for His Majesty’s fighting capability, including unique armour materials for defence, ultra high-speed munitions, and the detection and security of our communications. There is a time-based opportunity to create a sovereign capability for the development and supply of ceramic matrix composites that our UK defence forces need, and so enhance the resilience of our defence supply chain. Will the Minister meet me to discuss the creation of that sovereign capability, and visit my constituency to see for himself the range of companies and skills on offer?

I know that the Minister of State, my hon. Friend the Member for Plymouth Sutton and Devonport (Luke Pollard), will be pleased to meet my hon. Friend. She recognises the truth at the heart of the need for a strong British defence industry that is resilient and capable of supporting the businesses, jobs and innovation that we need to develop here in Britain. Gone will be the days when we let contracts in the defence field without worrying where the jobs, businesses, and long-term investment will go.

I recently had the pleasure of visiting Stewart-Buchanan Gauges, a proud employee-owned business in my constituency that supplies high-quality gauges and valves to clients in more than 50 countries. It even provides gauges for the SpaceX shuttle, and it exemplifies the world-class small and medium-sized enterprises that drive our economy and support the defence sector. Will the Secretary of State outline what steps the Government are taking to ensure that firms such as Stewart-Buchanan Gauges are included in defence innovation initiatives and remain integral to UK supply chains?

I take my hat off to the firm in my hon. Friend’s constituency—it is exactly those sorts of businesses that are the backbone of a strong British defence industry. Small or medium-sized companies, often with the potential to grow, have not in the past seen support from Government. That is why we have set up an SME support centre that is dedicated to making it easier to access Government contracts, and why we will ringfence £400 million of direct defence investment that will go to SMEs. That will grow in each successive year.

I call Katrina Murray.

You are giving me another bite of the cherry, Mr Speaker.

You are down on my Order Paper.

I have just asked my question.

Let us go to Mark Pritchard.

That is the story of my life—I am always the reserve, but I am always happy to step in. [Laughter.]

Boxer, Challenger 3 and now the gun barrel facility are going to be based in my constituency—well, I hope the latter will be in my constituency, but certainly in Shropshire. Will the Secretary of State put on the record his thanks for all the work of the men and women —the new engineers, the 100 new employees—taken on for the Boxer programme since March by Rheinmetall Defence and Rheinmetall BAE Systems Land? Shropshire is a defence hub, and I ask the new ministerial team—some of them are here for me to welcome them today—whether the Government will continue to invest in Shropshire, recognising the link between local universities and colleges, and the defence supply chain.

Far from being the reserve, the right hon. Gentleman is first up for the Opposition this afternoon, and I welcome that and the investment in Shropshire. I reassure him that the Government will continue to support that. I pay tribute, as he encouraged me to do, to the workforce in his area. When the defence industrial strategy is published, the House will see how we are looking to define not just the British industry, but investors, entrepreneurs and the workforce as an essential part of strengthening British industry and innovation, and the future for British jobs.

I look forward to the Typhoon order.

Following the recent news that Norway will purchase Type 26 frigates, the speculation in the media before the weekend was that the Danish navy might also be about to place a significant order for the Type 31. Will the Secretary of State soon be able to give the UK additional good news?

The hon. Gentleman is right that this is the biggest British warship deal ever, and it is Norway’s biggest ever defence contract. When the Prime Minister of Norway announced the detail, he said, “We asked ourselves two questions: who is our best strategic partner, and who builds the best warships?” The answer to both was Britain. [Hon. Members: “Hear, hear.”] I hope—we will work to ensure this—that that leads to other export contracts that will bring jobs and a future to British industry.