MINUTES OF EVIDENCE TAKEN BEFORE THE
EXPENDITURE COMMITTEE
(Defence and External Affairs Sub-Committee)
TUESDAY, 21ST JANUARY, 1975
In the Evidence asterisks indicate that part or all of a question or answer thereto or several consecutive questions and the answers thereto have not been reported. In the Memoranda asterisks indicate that a figure, word or passage has been omitted at the request of the Ministry of Defence.
Members present:
Colonel Sir Harwood Harrison, in the Chair
Mr. James Boyden.
Mr. Bernard Conlan. Mr. Geoffrey Finsberg.
Mr. Anthony Kershaw.
Dr. Maurice Miller. Mr. John Roper. Mr. Neville Sandelson.
THE DEFENCE REVIEW 1974 (D.39)*
Memorandum submitted by Mr. David Greenwood, University of Aberdeen.
Introductiont
1. The provisional conclusions of "the most extensive and thorough review of our system of defence ever undertaken by a British Government in peacetime were outlined to the House of Commons in a statement by the Secretary of State for Defence on 3rd December, 1974. This statement ended with the promise of a White Paper early in 1975. But the Defence Secretary explained that before finalising its decisions the Government wished not only to consult allies and partners "but to learn the views of right hon. and hon. Members upon these matters". A one-day Defence Debate on 16th December provided an initial oppor- tunity for this-and for some elucidation of the proposals by Government speakers. But further discussion of the planned programme and budget for 1975-84 will be possible over the forthcoming months. In this the Sub-Committee will wish to make its views known, after reflection on the stated aims of the review, the principles upon which the reshaping of the defence effort appears to have been founded, the manner in which the exercise was conducted (so far as this can be inferred), and the actual proposals themselves.1 In this Memorandum I offer some comments on these themes which may be of assistance to the Sub-Committee.
Background to the Review
2. What, in the first place, led the Government to undertake this review? It is necessary to go back to 1972-73. There existed then a defence programme and budget, stretching to the Ministry of Defence's 10-year distant planning horizon, which was based on the pattern of defence priorities established by the Conservative administration in 1970-72. It envisaged outlays rising in line with the expected rate of growth of National Product (GNP). During 1973, as part of its overall demand management policies, the Government announced several reductions in the planned defence budget for the first year of this programme, 1974-75-the largest being the £178 million cut announced on 17th December, 1973.2 Revisions in growth expecta- tions must also have been made at this time. So one may infer that, in the first couple of months of 1974, attention was being paid to changes in the later years of the programme. However, by the time of the February 1974 General Election,
* See also supplementary memorandum p. 20.
† For notes and references see p. 7.