With permission, Mr Speaker, I will make a statement on the strategic defence review. I have laid the full 130-page review before the House, and I am grateful for the opportunity to do so and to make this statement on our first day back from the recess.
The world has changed, and we must respond. The SDR is our Plan for Change for defence: a plan to meet the threats that we face, a plan to step up on European security and to lead in NATO, a plan that learns the lessons from Ukraine, a plan to seize the defence dividend resulting from our record increase in defence investment and boost jobs and growth throughout the United Kingdom, and a plan to put the men and women of our armed forces at the heart of our defence plans, with better pay, better kit and better housing. Through the SDR, we will make our armed forces stronger and the British people safer.
I thank those who led the review, Lord Robertson of Port Ellen, General Barrons and Dr Fiona Hill,
“a politician, a soldier and a foreign policy expert”,
as they describe themselves in their foreword. They, alongside others, have put in a huge effort. This is a “first of its kind”, externally led review, the result of a process in which we received 8,000 submissions from experts, individuals, organisations and Members on both sides of the House, including the shadow Defence Secretary. I thank them all, and I thank those in the Ministry of Defence who contributed to this SDR. It is not just the Government’s defence review, but Britain’s defence review. The Government endorse its vision and accept its 62 recommendations, which will be implemented.
The threats that we face are now more serious and less predictable than at any time since the end of the cold war. We face war in Europe, growing Russian aggression, new nuclear risks, and daily cyber-attacks at home. Our adversaries are working more in alliance with one another, while technology is changing the way in which war is fought. We are living in a new era of threat, which demands a new era for UK defence. Since the general election we have demonstrated that we are a Government dedicated to delivering for defence. We have committed ourselves to the largest sustained increase in defence spending since the end of the cold war, with an extra £5 billion this year and 2.5% of GDP in 2027, and the ambition to hit 3% in the next Parliament. However, there can be no investment without reform, and we are already driving the deepest reforms of defence in 50 years. Those reforms will ensure clearer responsibilities, better delivery, stronger budget control and new efficiencies worth £6 billion in this Parliament, all of which will be reinvested directly in defence.
Our armed forces will always do what is needed to keep the nation safe, 24/7, in more than 50 countries around the world; but in a more dangerous world, as the SDR confirms, we must move to warfighting readiness, and warfighting readiness means stronger deterrence. We need stronger deterrence to avoid the huge costs, human and economic, that wars create, and we prevent wars by being strong enough to fight and win them. That is what has made NATO the most successful defence alliance in history over the last 75 years. We will establish a new “hybrid Navy” by building Dreadnought, AUKUS submarines, cutting-edge warships and new autonomous vessels. Our carriers will carry the first hybrid airwings in Europe. We will develop the next generation Royal Air Force with F-35s, upgraded Typhoons, sixth-generation Global Combat Air Programme jets and autonomous fighters to defend Britain’s skies and to be able to strike anywhere in the world, and we will make the British Army 10 times more lethal by combining the future technology of drones, autonomy and artificial intelligence with the heavy metal of tanks and artillery.
For too long, our Army has been asked to do more with less. We inherited a long-running recruitment crisis, following 14 years of Tory cuts to full-time troops. Reversing the decline will take time, but we are acting to stem the loss and aiming to increase the British Army to at least 76,000 full-time soldiers in the next Parliament. For the first time in a generation, we have a Government who want the number of regular soldiers to rise. This Government will protect our island home by committing £1 billion in new funding to homeland air and missile defences, creating a new cyber-command to defend Britain in the grey zone, and preparing legislation to improve defence readiness.
As Ukraine shows, a country’s armed forces are only as strong as the industry that stands behind them, so this SDR begins a new partnership with industry, innovators and investors. We will make defence an engine for growth to create jobs and increase prosperity in every nation and region of the UK. Take our nuclear enterprise. We will commit to investing £15 billion in the sovereign warhead programme in this Parliament, supporting over 9,000 jobs. We will establish continuous submarine production through investments in Barrow and Derby that will enable us to produce a submarine every 18 months, allowing us to grow our nuclear attack fleet to up to 12 submarines and supporting more than 20,000 jobs. On munitions, we will invest £6 billion in this Parliament, including in six new munitions factories and in up to 7,000 new long-range weapons, supporting nearly 2,000 jobs. The lives of workers in Barrow, Derby and Govan, where the Prime Minister and I were this morning, are being transformed not just by this defence investment but by the pride and purpose that comes with defence work. In the coming years, more communities and more working people will benefit from the defence dividend that this SDR brings.
Ukraine also tells us that whoever gets new technology into the hands of their armed forces the fastest will have the advantage, so we will place Britain at the leading edge of innovation in NATO. We will double investment in autonomous systems in this Parliament, invest more than £1 billion to integrate our armed forces through a new digital targeting web, and finance a £400 million UK defence innovation organisation. To ensure that Britain gains the maximum benefit from what we invent and produce in this country, we will create a new defence exports office in the MOD, driving exports to our allies and driving growth at home.
The SDR sets a new vision and a new framework for defence investment. The work to confirm a new defence investment plan, which will supersede the last Government’s defence equipment plan, will be completed in the autumn. It will ensure that our frontline forces get what they need, when they need it. The plan will be deliverable and affordable, and it will consider infrastructure alongside capabilities. It will seize the opportunities of advanced tech, and seize the opportunities to grow the British economy.
As we lose the national service generation, fewer families across this country will have a direct connection to the armed forces, so we must do more to reconnect the nation with those who defend us. As the SDR recommends, we will increase the number of cadets by 30%, introduce a voluntary “gap year” scheme for school and college leavers, and develop a new strategic reserve by 2030. We must also renew the nation’s contract with those who serve. We have already awarded the biggest pay increase in over 20 years and an inflation-busting increase this year, and now I have announced that we will invest £7 billion of funding during this Parliament for military accommodation, including £1.5 billion of new money for rapid work to deal with the scandal of military family homes.
This SDR is the first defence review in a generation for growth and for transformation in UK defence. It will end the 14 years of the hollowing out of our armed forces. Instead, we will see investment increased, the Navy expanded, the Army grown, the Air Force upgraded, warfighting readiness restored, NATO strengthened, the nuclear deterrent guaranteed, advanced technology developed, and jobs created in every nation and region of this country. The strategic defence review will make Britain safer, more secure at home and stronger abroad.