Lord Balfe (Con)

My Lords, I thank the noble Lord, Lord Trefgarne, for initiating this debate, and I hope that the Hansard is sent to the noble Lord, Lord Robertson of Port Ellen. Of course, deterrence must remain a cornerstone of our defence policy, otherwise there is no reason to have one at all. But it is also important to realise that other countries have a very good grasp of our defence capacity. I do not know whether other noble Lords watched the American series, “Corridors of Power”, a PBS production, from which you could see that the Americans had a much clearer grasp of the limitations of European power than we appear to have. We need to define much more clearly what we wish to do, then we need to find the resources to do it. I am not terribly impressed with the 2.5% or 3% argument. What we need to look at is what we need and a pathway for achieving it. I was struck last Friday in our debate when the noble Lord, Lord Stevens of Birmingham, pointed out that we had given Ukraine £172 million-worth of equipment, but that it would cost £2.7 billion to replace it. That shows how out of date it was, but it also shows how much money we need to spend to bring our forces up to a level where they can do their job. That is far more important than percentages. We need to define clearly what our role is in defence. First, it is clearly to defend the home territory. Secondly, I suggest that we need to keep our garrison in the Falklands. Thirdly, we need to keep our bases in Cyprus, which are quite valuable for operations in the Gulf. Finally, we need to pull our resources together with our Baltic allies to look at both the High North, referred to by my noble friend Lord Harlech, and the Baltics, which are within Europe but certainly threatened by Russia. Only by getting together Finland, Sweden and all the countries around the Baltic, including Poland, Germany, the Netherlands and Denmark, are we going to be able to put forward a credible defence. We have to work together and exercise together; we have to have joint exercises and revive the Arctic Council as a viable organisation to talk to the Russians, but also to protect the High North. Finally, cables and electronic warfare are part of the future, but I often feel that they are seen as an add-on rather than as a key part of our defence capacity, as they should be.