Contribution
The level of politeness that we saw in the rest of the debate has not been reflected in the right hon. Gentleman’s remarks.
Turning to the costs, the original outlined business case approved the acquisition of five Wedgetail Mk 1 aircraft. Due to the wider fiscal challenges faced by the Department, the programme was reduced in scope by the last Government. That is what the officials have written for me, and I share much of the concern that hon. Members have expressed about the reduction of capabilities. Once again, the hollowing out and underfunding of our armed forces have led to capability gaps, not just in the early retirement of platforms but in the lack of procurement. It is precisely for that reason that the SDR sought to look at that.
The integrated review endorsed the reduction to three aircraft in 2021, and the fleet was then incorporated with the P-8A Poseidons at RAF Lossiemouth. The three new E-7 Wedgetails will still enable the UK to meet our key user requirements and honour both our domestic and international commitments, including our contribution to NATO—as outlined in the strategic defence review on page 115, recommendation 47. We have re-examined this decision and made a commitment to reassess the number of E-7s we have when funding allows. I encourage hon. Members who raised the ambition to procure more E-7s to consider how that case can be made in future spending decisions, and that could build on the defence industrial strategy.
To the point raised by a number of hon. Members—including the hon. Members for Dumfries and Galloway and for Meriden and Solihull East, and my hon. Friend the Member for North Durham—I know that the Minister for Defence Procurement and Industry would welcome the opportunity to bring together a group of interested parliamentarians to discuss not only how we deploy E-7s into active duty, but how we can build on export opportunities and support their full introduction. We will take that as an action, and I look forward to my right hon. Friend the Minister being able to invite colleagues into the MOD for further discussions on that issue.
We have been working with Boeing to achieve the best value for money across the programme. There will be no additional cost as a result of the delays, as Boeing is committed to delivering the three aircraft under a firm-price contract. That means the MOD will have no inflation risk in the aircraft modification programme. The programme is also benefiting from the use of common 737 spares with Poseidon, as well as shared support services with Boeing. This allows us to leverage efficiencies in spares procurement, repair, overhaul, maintenance costs and the training of engineering personnel to work on both sets of aircraft at Lossiemouth. The intent is to expand co-operative support across Wedgetail and Poseidon in future, to drive down costs further.
A number of Members, including the Chair of the Defence Committee, my hon. Friend the Member for Slough (Mr Dhesi), mentioned the US position. E-7 Wedgetail is in operation with the air forces of Australia, Türkiye and the Republic of Korea. Additionally, NATO has selected E-7A as its replacement for the NATO E-3A aircraft that are currently flying. I understand that there may be some concern about the US plans due to media reports last month, but the MOD will continue with its procurement of Wedgetail to meet our national and NATO requirements for airborne early warning and control that is interoperable with allies. Procurement decisions by any other NATO nation are a matter for that nation, but they will not affect UK procurement of Wedgetail.
There have been some comments during this debate, and in the wider debate out there, about whether the UK should consider using E-2 Hawkeye instead. I stress again that Wedgetail has superior speed, range, persistence and crew capacity compared with alternative platforms. Furthermore, it has a powerful radar with increased detection capability, which will give us a significant operational advantage.
I am grateful to the hon. Member for Dumfries and Galloway, who secured the debate, for the tone of his speech. It is certainly right that we talk about this issue. Having previously sat on the Opposition Benches, I recognise some of his critiques of the previous Government. Indeed, I entirely agree that “bimbling along” will not cut it. That is precisely why we have seen a new energy and increased defence spending under this Government. There is more to do, but hopefully he will see that in the ambition set out in the SDR to do more and to fill capability gaps in this area.
A number of Members referred to the Select Committee report on procurement in the previous Parliament. It was absolutely right to look at the procurement system. We described it as broken when we were in opposition, and in government we are taking steps to fix it. The recruitment of the new national armaments director, being led by the Secretary of State, is a key part of that process. I do not have an update now, but I am certain that a parliamentary question on that subject will shortly be coming the way of the Minister for Defence Procurement and Industry.
The new NAD will operate as part of a new empowered quad, leading the Ministry of Defence to make faster procurement decisions. We certainly need to make better procurement decisions than those we have seen in the past. The delays in contracting are a key part of cost escalation across a number of programmes, albeit not with Wedgetail because of the fixed-price contract. It is absolutely right that we make better procurement decisions.
I agree with the hon. Member for Dumfries and Galloway on the need to invest in laser weapons. The SDR talked about rolling out the DragonFire directed-energy weapon system. The ambition of the last Government was to install DragonFire on one Royal Navy destroyer, as an uncosted programme. The SDR set out a costed proposal to install it on four Royal Navy destroyers, setting a date for when that will happen. Creating a structured, layered and integrated air and missile defence system will, in part, depend on looking at directed-energy weapons and similar novel technologies across a range of spectrums, in order to provide the air defence we require to secure homeland defence and operational defence for our allies abroad.
The picture painted by the shadow Minister, the right hon. Member for Rayleigh and Wickford (Mr Francois), of what might happen in the event of a conflict means that not only air defence missiles would have a role in such a conflict, and this new technology might well play a part. I am grateful for the way he introduced the debate in that respect.
The hon. Member for Meriden and Solihull East invited me to talk about space, which is one of my nerdy passions. The term “defence geeks” was used earlier, and I am certainly a space nerd. Space is a huge opportunity for improving not only ISR capabilities but defence capabilities. However, we need to be realistic that if we are to move to a fully integrated approach, which is the intent of the SDR with an all-domain warfare approach, we need to invest in the right capabilities.
For the Royal Air Force, Wedgetail is absolutely part of that joined-up and integrated approach, which is why we will continue with it. Given the workforce in the hon. Gentleman’s constituency, I hope he will strongly support the 2026 delivery timetable for the first aircraft in operation. And on defence exports, he will know that one recommendation of the SDR was to move an element of exports for defence from the Department for Business and Trade into the Ministry of Defence.
That work is under way at the moment, so that we can better align the opportunities of defence exports, because we believe there is a huge opportunity for British business to sell our technologies to allies around the world. That has the advantage of being an engine for growth, as well as making us stronger by making our allies stronger at the same time.
I am grateful to my hon. Friend the Member for North Durham for his work, and indeed for his praise for our friends from Australia. The Defence Committee report that he cited needs to be front and centre when we look at Wedgetail procurement so that we learn the lessons and make it work. As the last Government’s procurement of five sets of radar for three aircraft shows, the procurement system was neither working properly nor delivering value for money.
My hon. Friend asked about the Australian upgrades. Australia and the USA are working collaboratively on what is called the next-gen Wedgetail with improved radar, which they think will enter service in 2035. The UK is part of the trilateral group, but we are not pursuing the advanced sensor at this time because we are focused on delivering the current capability without any further delay, as Members on both sides of the House have urged. As part of the trilateral agreement, we have the opportunity to upgrade in the future should we wish to do so. Doing so may be more cost-effective in the long term.