Select Committee on Defence Minutes of Evidence


Examination of Witnesses(Questions 300-309)

RT HON GEOFFREY HOON MP, MR NICK WITNEY AND MR PAUL TAYLOR

WEDNESDAY 15 JANUARY 2003

  300. As this is the only facility we have in the country that can detect incoming space debris, amongst other things, and we rely upon this American equipment to detect space debris coming in, would it not be better if our technicians had a grasp of the complicated technology required for that? If the Americans ever said, "We are not playing the game. We are not happy and we are taking that facility away", Britain's technology would not be able to cope, because they are not involved in upgrades of this nature. Is there a danger that we would lose the technology?
  (Mr Hoon) Our technicians are perfectly competent in terms of servicing, understanding and being trained in the technologies that are used at Fylingdales. That is not the same as saying that we have the industrial ability to produce the kind of sophisticated software that will be required as part of the upgrade itself. There is a distinction there. Outside the United States, I suspect that there is no other country that is in a position to be able to produce the sophisticated software and hardware that will be required. It is an industrial issue, not one of competence of our people.

  301. Can I turn next to theatre missile defence? In earlier examinations of defence both yourself and the MoD highlighted the need to have passive missile defence measures for deployed forces, something we are a little short of. There is a changing emphasis, however. Recently, there has been talk about the fact that we must seek to protect the deployed forces from such attacks, such as missile attacks. The cost of theatre missile defence is still unknown. We will consider the most efficient approach to theatre missile defence for coalition forces. This may involve a degree of role specialisation. Role specialisation is on the agenda for missile defence, but are you seeking US protection for our deployed troops in exchange for allowing the use of Fylingdales as a quid pro quo?
  (Mr Hoon) That is not specifically part of the arrangement that we propose to enter into. We are in discussion with the United States about developments in the technology that could protect deployed forces. There are various programmes under way between the United States and two or three other countries but, as yet, the technology has not reached a sufficient level of maturity for us to be confident that it would be wholly successful.

  302. We have something the Americans want and presumably we might want it as well. They are desperate for us to say, "Yes, go ahead and upgrade." That will complete the four units and we will have good missile defence coverage. Could we not squeeze them a little tighter and try and get something out of them that would be beneficial to us? Then we would not have to worry about the expense.
  (Mr Hoon) I do not think we need to approach our friends in the United States in quite that mechanistic way. We have very good exchanges with the United States on the subject of theatre missile defence and in relation to other missile defence systems, so I am sure that excellent relationship will continue.

Mr Howarth

  303. I do think it is an opportunity for the United Kingdom to drive a bit of a bargain with the United States in terms of getting access to some of their technology. I want to encourage you to specify how you will fight on behalf of British companies to get them access to that. In your statement this afternoon, you said, "We intend to agree a new technical memorandum of understanding with the US which would give us full insight into the development of their missile defence programme and the opportunity for UK industry to reap the benefits of participation." I applaud that and I would encourage you to strike the hardest bargain you can on behalf of British industry. How do you propose to do that?
  (Mr Hoon) I do not propose to improve on the words I used before the House. We do intend to draw up a memorandum of understanding with the United States that will deal with these kinds of issues, but obviously we need to be confident that we can play a part industrially in this process and equally that we have the skills and the technology to be able to make an effective contribution.
  (Mr Witney) This business of technology transfer from the US and some of the restrictions that are imposed on US technology is a long running problem. We stub our toe against it in other collaborative areas such as the Joint Strike Fighter.

  304. That is why now is a good moment.
  (Mr Witney) It is indeed. We are very conscious of that and that is one of the reasons why we are extremely keen to crack on and negotiate a good MoU and to explain again to US colleagues that it is in their interests to arrive at arrangements with us which allow them to harness the full potential of UK industry in this area.

  305. Can you confirm that at the present time, if there were a missile launched by North Korea along the lines that you speculated on the floor of the House, we do not have any defence against such a missile any more than the US does?
  (Mr Hoon) That is the position today.

  306. With the upgrade, will the new radar be able to differentiate between the warheads and the decoys because some have suggested that even the new radar will not be able to achieve that. Obviously, trying to identify which is a warhead and which is a decoy is going to be rather critical.
  (Mr Hoon) That is part of the research programme that the US are undertaking and part of the process of research and development that they want to engage on with the test bed facility that they are developing. That is part and parcel of defining a successful missile defence system.

  307. Can I not persuade you to go further and recognise that it is in Britain's interests now to declare an interest in participating in the essential corollary to what you have announced today, namely to get British industry to participate in the difficult development of the interceptor technology? Perhaps it ought to be something which ought to be funded by NATO as a whole for the protection of the whole of the European continent.
  (Mr Hoon) Belatedly, if you will forgive me for saying so, you did come to at least the $64,000 question, which is how these things should be funded. Clearly, that is something that will be better dealt with once we have a clearer picture of what the United States propose to develop and to utilise in the future. I cannot see any practical purpose in committing ourselves to something today and seeking means of funding it that has not yet evolved, is not yet available and we are not aware of what shape and size it will be. If that was a spending commitment, I would be delighted to give you some estimates as to how much it is likely to cost.

Jim Knight

  308. We were told when we went to Fylingdales that the Serco contractors did have considerable software writing capability that they had developed over the many years that they had the contract there. Would it not be sensible to see if it is at all possible for that expertise to be used in developing the upgrade? Would that in turn not ensure that all of the automatic data transfer that takes place is equally shared, because there would be some suspicion that the US are installing this software on the internet and all sorts of things. They could easily write software that would give them information that perhaps would not be passed on to strike command and some exclusive stuff could go to Fylingdales.
  (Mr Hoon) That is not the nature of our relationship with the United States, as far as the latter part of your question is concerned. As far as the first part is concerned, it seems to me that, given the efforts that the United States are presently making, they would welcome contributions from whatever quarter. If there is expertise in this area, my view of the discussions I have had with the United States is that they would be very keen to take advantage of it.

Chairman

  309. Serco are running education in Walsall and I think they have more than enough on their hands!
  (Mr Hoon) Only you could say that, Mr Chairman.

  Chairman: We are expecting a vote at any moment and we are suspending proceedings. When we return after the vote the Committee will sit in private.


 
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