Select Committee on Defence Minutes of Evidence


Examination of Witnesses (Questions 100-109)

DR FRANCES SAUNDERS, MR PETER STARKEY AND MR MARK HONE

28 NOVEMBER 2006

  Q100  Chairman: I am not sure that fully answers whether you are getting enough information from the United States. Do you think that you are?

  Mr Starkey: I think we are getting a great deal of information. There are always areas where there is further discussion, and indeed, on that programme there are further areas that are currently subject of discussion that are quite important for the programme.

    Chairman: That sounds like a "no". You are allowed to say "no".

  Q101  Mr Hancock: What about what we wanted to get out of this aircraft? Will the capability of that aircraft as was first foreseen be available to us as a nation or will it be a downgraded specification because of the Americans' insistence on not allowing us to have the complete package?

  Mr Starkey: I am not in the right position to answer that question.

  Chairman: I think that is probably right.

  Q102  Mr Jenkin: Can I just ask a more general question? There is a sense that over the years we have less and less to put on the table relative to particularly the United States.

  Mr Starkey: There is a danger of that if one does not invest in the appropriate research programmes that generate that.

  Q103  Mr Hancock: You have to know which ones to go for.

  Mr Starkey: Certainly.

  Q104  Mr Jenkins: I am sorry to labour this point, but this Ploughshare Innovations Limited is a limited company. Who actually owns it? Do you own it or does the MoD own it?

  Dr Saunders: We are part of the MoD so it is owned by the Secretary of State for Defence.

  Q105  Mr Jenkins: There are very subtle differences here. If it were at any time in the future to be packaged up and sold in the market place to raise capital, who would the money go to? Would you get a share or would it all go to the MoD?

  Dr Saunders: That would be something we would have to discuss with the Finance Director at the time.

  Q106  Mr Jenkins: But it is not clear.

  Dr Saunders: There are no guarantees.

  Q107  Mr Jenkins: I am not clear who owns this company.

  Dr Saunders: The Secretary of State for Defence owns the company and we manage it on behalf of the Secretary of State for Defence because we are part of MoD.

  Chairman: The Finance Director is listening very carefully.

  Q108  Mr Hancock: One last question on an issue locally, and it is about Portsdown West, and it is not about my home. It is about the plans you have and the investment that you are going to make there. You are going to be bringing an extra 500 people on to that site. Is the investment absolutely assured, that that will take place in the time frame that is outlined in the papers to us?

  Dr Saunders: Yes.

  Q109  Mr Hancock: That is a guarantee?

  Dr Saunders: Yes it is. We have the ministerial agreement, the £97 million maximum price that I have talked about. That includes the refurbishment of Portsdown West and that is due for completion in 2009.  We have signed the contract, so Serco press the "go" button and yes, that will be happening.

  Chairman: There are a number of other questions that we may wish to ask you about but I think, in view of the time, and we have a number of other people to see, we need to ask them in writing rather than anything else. I apologise to those members of the Committee who have burning issues that they wish to ask. May I repeat what I said before, that your answers have been crisp, and answers to the questions we have been asking, and that has been a most refreshing and enjoyable experience. Thank you very much indeed.


 
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