DEFENCE (GOVERNMENT PROPOSALS)

§ The Prime Minister (Mr. Attlee)

I beg to move, That this House approves the proposals contained in the White Papers Command No. 8026 and Command No. 8027, designed by His Majesty's Government to meet the growing dangers to world peace of which the war in Korea is an example; and is of opinion that the necessary legislation to amend the National Service Acts should be brought in forthwith. I am afraid I shall have to ask the House for indulgence for speaking at rather greater length this afternoon than is my custom, but the subject is a great one. We are asking the support of the House and of the country for a programme for increasing the strength of our Armed Forces. This programme envisages certain immediate steps and also long-term plans, which will take time to implement. This programme will entail sacrifices from the people of Britain. It involves an interruption of the progress which has been made since the war in building up the economic position of this country and the standard of life of our people.

I know it is distasteful and disappointing to all of us that, little more than five years after the ending of the Second World War, we should have to devote so large a proportion of our resources to Defence, but this action has been forced upon us owing to the growing tensions in the world. The steps which we are now asking the House to endorse are taken solely with the intention of preventing another war and resisting in its early stages the onward march of aggression. We all know from bitter experience that aggression unchecked grows with success. Sacrifices now can prevent greater sacrifices in the future, but sacrifices there must be. It is, therefore, I think, necessary for me this afternoon, without dealing at length with foreign policy, to place our present action in its perspective.

When the war ended, we all looked forward with hope to a new era of peace and international co-operation. All parties in this country joined in helping to create the United Nations as an instrument for promoting that co-operation and preventing any resort to arms in world affairs. I believe everybody realises how patiently 952 and how persistently the Foreign Secretary strove to make the United Nations a success and to work with all other Governments, including that of Soviet Russia; but the continual obstruction by that Power has frustrated the efforts of the United Nations. Further than that, all over the world the agents and supporters of the Cominform have worked ceaselessly to foment trouble and disorder.

Two results have flowed from this. First, owing to the action of Soviet Russia in paralysing the Security Council and the consequent failure to make the United Nations an effective instrument for building up collective security, it has been necessary for the democratic countries to get together—first in the Western Union and then in the North Atlantic Pact—to provide for their mutual security. And secondly, the failure to get co-operation over the post-war settlement and the continued unrest created by Communist inspired activities in various parts of the world has entailed a heavy defence burden on this country. Our forces have been spread out holding the line in South-East Asia and in occupation duties in ex-enemy countries. For these reasons, the assumptions on which the estimates of our defence needs were formed before the end of the war were not fulfilled and plans made subsequently have had constantly to be revised or interrupted by the pressure of immediate requirements. I am sure everybody will realise how difficult in these post-war years has been the task of the Chiefs of Staff in working out long-term plans.

I need not recall to the House that for all these years this country has been facing a very difficult economic situation and I need hardly emphasise that a sound economic position is the absolutely vital basis for successful defence. In the unprecedented contest in which we are now engaged, the preservation of the home front is as important as defence against external aggression. An economic breakdown in the democratic countries has long been the hope of the enemies of freedom. They think that would give them the best chance of disrupting from within societies which refuse to conform to their model. But the aggression of North Korea on South Korea opened a new phase in this contest. Hitherto there had been no overt attack, but here was military aggression against a State set up 953 under the aegis of the United Nations. Here was a direct challenge to the world authority.

We all remember how failure to meet aggression ultimately destroyed the League of Nations. It is not my purpose this afternoon to recall the unhappy events of the past, but the lesson is plain there for all of us to read. The United Nations' troops, including our own, are now in action in Korea. I have every confidence that aggression will be halted and a salutary lesson given to would-be aggressors. This aggression has been condemned at the United Nations by all the nations, except Soviet Russia and those within its circle of influence. That is a very significant exception. We must deeply regret this. No propaganda can alter the fact that the attack on South Korea was naked aggression and condonation of aggression in one part of the world raises anxieties as to what may happen elsewhere. Those implications must be considered. My right hon. Friend the Foreign Secretary is now in America discussing these and other matters with the Ministers of the United States and France and, subsequently, with Ministers of the Atlantic Powers, but we must face the possibility that what happened in Korea may, in one form or another, be repeated elsewhere. But this does not mean that we believe that world war is imminent and assuredly we do not believe that it is inevitable, but it does mean that in our view we must take every practical step which is possible to prevent war.

I said that the difficulties and disturbances in the world are the result of a deliberate Communist campaign carried on by various means. Communism is a militant and imperialist creed held with fanaticism by its adherents. It is based on certain ideas. You cannot confute ideas by armed force. You can confute them by better ideas and by better action and by showing in practice the superiority of the democratic way of life. Military defences against Communism are essential, but they are not a complete policy. Communists make play very often with some of the finest aspirations of mankind.

They use the national aspirations of people as a means of drawing those who have no inclination whatever to their creed into their orbit. They exploit the natural desires of people to rule themselves. By our policy in Asia and other 954 parts of the world we have given wide scope to those national aspirations, with the result that it is recognised by millions today that the extension of freedom is the policy of the democracies, and that Communist support of nationalist movements is only a part of a design to enslave the whole world and bring it under Communist dictatorship; and it is most noticeable how the nations of Asia as well as those of other parts of the world are lined up on this question of Korea.

Secondly, we have sought with others to help to restore war-shattered economies, to raise the standard of life in the less-developed parts of the world, to try to remove the poverty and misery which form the breeding grounds for Communism. Much remains to be done. Much has been done, and this country has done a great deal, despite all our difficulties. I often think that perhaps some of our critics who complain of the use of the sterling balances and unrequited exports hardly realise how important a part that has played in building up the economies of those countries.

In these positive plans for combating Communism, we work with our friends in the Commonwealth—witness the Colombo Conference—and our friends in the United Nations. Collaboration is essential, but no less is the fullest co-operation in the defence field. We have responsibilities in the world; our position imposes them. We accept them, but we cannot bear those burdens alone. The provision of forces for the prevention of war requires a contribution from all countries.

We have, too, our responsibilities to our fellow members of the Commonwealth, and we are in very close contact with them on Defence as on other problems. We have our allies in the Middle East to whom we have our obligations; and our fortunes are closely linked with those of our European neighbours and with the great Republic across the water. We shall not fail to do our part, but to do this we must be strong economically, militarily and spiritually.

While our eyes are naturally turned on the Far East, where our Forces are taking part in the fight to defeat aggression, and while we must always keep a very close watch on the position in the Middle East, we shall have to give increased attention to the defences of the 955 West. It has been our policy to seek to build up, first through the Brussels Treaty and then by the North Atlantic Treaty, forces sufficient to deter any aggression in Europe. I admit at once that the creation of those forces has not been as rapid as we could have wished but, as I shall show later, all the parties to those agreements are taking steps to strengthen their forces and to make these organisations more effective.

It is in the light of this policy and the considerations which I lay before the House that I now turn to the measures which we are submitting to the House today. Our plans fall under two headings—manpower and equipment. I will deal first with manpower. Since the end of the war we have striven continuously to try to build up the Regular content of our Forces. We wanted to rely on our Regular Forces to the largest possible extent in our peace-time defence commitments. We have been working to try to get a situation in which we could increasingly regard National Service as a means of producing trained reserves, and only on a diminishing scale as a means of filling the gaps of the Regulars.

This has not been possible for two reasons: first, because our commitments have proved far more onerous than had been anticipated or hoped; and secondly, because the rate of voluntary recruitment has not kept pace with requirements. In addition, during the last two years there has been a falling off in the number of men extending their service or re-engaging for further periods with the Colours. This has, of course, accentuated the lack of balance in the Forces which always occurs after a major world war. There are many reasons for this failure, or comparative failure, of our recruiting. I do not think I need burden the House with them at any great length. It is no new problem. At a time of full employment after a great war, the counter-attractions of civil life are very strong.

The increases in pay which were made at the end of the war brought the pay of the Services far closer in line with civilian rates than it had ever been before. Pay and allowances were reviewed in November, 1948, when increases amounting to £12,500,000 were made. We have always recognised, however, that recruiting did not solely depend on pay. There is the 956 matter of amenities, and a great deal of attention has been given to that. Accommodation is a matter of great importance. Much of our barrack accommodation dates back over many years. There was a great shortage of married quarters. A great deal has been done to tackle that problem, despite the difficulties of the post-war period. As the House knows, Parliament has made special arrangements for financing that work by the Armed Forces (Housing Loans) Act.

Then, again, we have been giving a great deal of attention to the fitting of ex-Regulars, officers and men, into civilian life. My Service colleagues and the Minister of Labour, with representatives of both sides of industry, have given unremitting attention to this. But despite all these efforts, we have not so far obtained the numbers of men we need, whether for initial or extended engagements. It must be recognised today that the Services require men capable of undertaking highly skilled jobs, and the training required to produce a fully qualified soldier or airman for specialist duties takes a long time. It is in view of these circumstances that we decided on the measures to be put before the House.

These measures have two objectives, short-term and long-term. The long-term objective is to build up the Regular content of our Armed Forces by increased recruitment and by inducing men to extend their engagements, for we particularly need non-commissioned officers and skilled specialists. The White Paper sets out a scheme of bounties for men, a scheme for flying pay and a major scheme of pay increases. Everyone has had an opportunity of studying this White Paper, and I do not think that the House would wish me to go into details. If there are any questions on details, the Minister of Defence, who will, I hope, be speaking later, will deal with them.

We believe that the scheme now set out is fair, and even generous, and that, with the recognition of the needs of the nation and the desire to give service to our country, it should result in achieving our purpose. It is, of course, never possible to make more than an approximate comparison between the conditions obtaining in civil life and those in the Services. What we try to do is to ensure that the young man who enters the Services can feel certain that his prospects are at least 957 as good as, and in some cases better than, they would be outside. It is too early at present to say what the result of this will be, and I shall not make any prophecy, but I can say that the preliminary reports from the Services are encouraging. In the case of the Army the number of firm applications for enlistment in the first week after the announcement has been more than four times the weekly average. In the Air Force the number of inquiries has increased five-fold. What is particularly interesting and important is that in both services there has been a very high percentage of men with previous training among those applying.

Now let me turn to the short-term problem which cannot be met by recruitment, however good, because it is essentially the shortage of fully-trained men in our Forces at the present time. As the House knows, we have had to suspend the discharge of time-expired Regulars in the Army and Navy, and we have called up some Regular Reserves. The Air Force, too, is making some deferments. We are proposing, as the immediate and the most practical step which can be taken to meet conditions at the present time, the lengthening of the period of full-time National Service from eighteen months to two years.

This will have two immediate effects, both very important. First, it will mean the addition to the Forces over the next six months of some 77,000 men; 55,000 for the Army, 18,000 for the Air Force, 4,000 for the Navy. Secondly, the increase in the length of service will give a more than proportionate increase in the effective service given by each Service man and that will make for greater flexibility and greater efficiency. I do not think there can be any doubt as to the efficacy of this measure as an immediate means of strengthening our Forces.

It is naturally with great reluctance that we have had to decide to introduce this temporary increase in the length of service. We know it must cause hardship and disappointment to the young men affected, who made plans on the assumption that they were serving only for 18 months. But this hardship is infinitely less than that which would be incurred if, by failure to take action now, they had to be called up for war service later. A great number of us in this House, and a great number of men and women in 958 Britain, have had four or five years of their life taken up by military service in one or other of the world wars. I think we would have been glad if by six months' service, we could have been spared those years; and I believe that the majority of the young men—who, I must say, I think are far better acquainted with world affairs than were the young men of my generation—will recognise the need, and cheerfully bear their share of preserving peace.

I now turn to the question of re-equipment. After the war we were left with a great deal of equipment, and in view of the economic position of the country ever since then the Services have, to a very large extent, been living on these accumulations. It may be suggested that there would be no need of re-equipment if we had handled wisely what we had. The answer is that we are still using, and still have in reserve, a great deal of the equipment produced for the last war. But the development of weapons does not stand still. Weapons soon become obsolete, especially in these days of the application of science to warfare, and we cannot afford to send our people out with obsolete arms.

It is not possible in peace-time, without extravagant waste of manpower and storage space, to maintain all the accumulated stores built up during a great world war. We have disposed of much equipment. We have sent arms to our friends in the Commonwealth and our allies on the Continent. We have scrapped obsolete or obsolescent arms and much equipment has been used up by the Services in addition. I do not think that the charge, which is sometimes made, that we wasted that which we had is supported at all by the facts. As was indicated in last year's Defence Estimates, and in the Defence Debate in July last by the Minister of Defence, we are now embarking on a policy of arms production. My right hon. Friend informed the House that an immediate programme amounting to £100 million for the re-equipment of the Services was being put in hand.

The make-up of that programme, which is designed mainly to deal with immediately deficiencies, has been agreed. Orders have actually been placed for aircraft, military and naval equipment to the value of more than £50 million, and 959 many others are in process of negotiation. This programme can be achieved by the expansion of our existing capacity. But the question may be asked, why, having announced this programme, do we now come forward with proposals of far greater magnitude? The answer is that since the Debate of July a new factor has arisen.

We in common with our allies of the North Atlantic Pact, were approached by the Government of the United States. Reference was made to the request of the President to Congress for additional funds to help to establish and maintain the common strength of the United States and other free nations at an adequate level, and we were asked what we could undertake. Our reply was that it was physically possible for us to undertake a programme which would, over the next three years, increase expenditure on Defence in the United Kingdom to a total of £3,400 million; but that how far it would be possible to attain that level would depend on the amount of assistance forthcoming from the United States. Since that time the increases in the pay of the Services and their numbers will bring the total to £3,600 million in the next three years.

This great expenditure represents the maximum that we can do by expanding and using to the full our industrial capacity without resorting to the drastic expedients of a war economy. Discussions on this programme are proceeding with the United States Government. They are not yet concluded, but I would inform the House that, in addition to the £100 million in the initial programme, we are proceeding with measures which will involve the expenditure of another £100 million. The House, I know, will realise that a programme of this magnitude takes time to materialise, but if we are to carry out a three-year programme we have to introduce far reaching developments now, the full cost of which will fall to be met in future years.

For obvious reasons of security, the House will not expect me to give details, but I should like to mention some of the larger items. There is the production of aircraft, tanks, weapons, ammunition, naval vessels, clothing stores. There will be some building for Civil Defence, some Service accommodation, airfield improvements and other 960 defence works. I will deal later with what this will mean in relation to industry and the economy or the country.

I should now like to come to what these measures will mean in increasing our armed strength. Our first objective is to bring our existing fighting units up to full strength and to supply them with the necessary supporting arms; there is some leeway to be made up here. The full effects of the measures we are taking with regard to manpower will not be felt till next year, but, subject to this limitation, our increase will be on these lines. In the Navy the main effect will be a substantial additional programme of new construction, of modernisation and conversion. Anti-submarine frigates, minesweepers and motor torpedo boats will be among the first items.

With regard to the Army, the House is aware that we have large Forces overseas; in fact, we have troops equivalent to six and a half divisions. We are proposing to increase the strategic reserve so as to include a complete infantry division, an armoured division and an infantry brigade, all fully armed and stationed in this country. An additional division will be stationed in Germany and the two divisions there will be brought up to strength. We shall, therefore, have rather more than three fully trained divisions in Germany. At the same time, it will be possible to bring up to full strength the four existing Regular divisions stationed in other parts of the world.

During 1951 there will be a flow of fully-trained National Service men into the Territorial Army, and by the autumn many units will have done their collective training. In total, we should have the equivalent of twelve Territorial divisions, which, subject to the provision of equipment and the requirements of home defence, will be able to take the field after a short period of formation training following mobilisation. The House will see that we shall have something like ten Regular divisions and twelve Territorial divisions after mobilisation, but it will take time to build up—

§ Mr. Churchill (Woodford)

But not available for the Continent?

§ The Prime Minister

I have mentioned what we shall have on the Continent, but there are also the forces which are in 961 effect a further Reserve; we have other obligations and there is pressure all round the world. I am sure the right hon. Gentleman will agree that we cannot commit all our reserves at once to one particular theatre of war. Steps are also being taken to make substantial additions to the strength and preparedness of Anti-Aircraft Command.

I now come to the Royal Air Force. We have to build up our air strength and increase our jet fighters. We have to increase the production of the Canberra bomber, which we believe to be a quite outstanding aircraft, which would be of very great importance in any campaign in Western Europe. Further orders for aircraft, with their wide and complicated range of vital ancillary equipment, are being worked out. The full capacity of our aircraft and associated industries will be made use of, but it cannot be expected that we shall immediately make spectacular increases in our front line forces. There will be increases in Fighter Command, and certain additional squadrons are being formed in the British Air Forces of Occupation as our share of the increased Western Union Tactical Air Force.

It is, of course, obvious that the provisions of aircraft and aircrews must move forward together. In this regard, I should like to call attention to the generous provision made by the Royal Canadian Air Force for the training of some of our pilots and navigators. It recalls the Commonwealth Air Training Scheme, which made such a notable contribution to our victory in the war.

There is then the improvement of our radar defence in this country, that is the network of posts that detect the approach of aircraft, and the controlling system which directs our fighters and guns on to their targets; and this is being given a high priority. I know that the right hon. Gentleman the Leader of the Opposition has emphasised the importance of this, and I am fully in accord with him. He has mentioned areas of particular strategic importance, but he knows well that the defensive network must be organised as a whole.

As I have stated, one of the objects of our proposals is to strengthen the forces available for Western Defence. Accordingly, as soon as we have taken our decision, my right hon. Friend the Foreign 962 Secretary got into touch with his colleagues of the Brussels Treaty. We were anxious that what we were doing should be part of a joint effort by the Western Union Powers, and the response to this approach has been very encouraging. The French Government have announced their intention of increasing the period of National Service progressively from 12 to 18 months, and propose to make available for the defence of the West an additional 15 Divisions. In addition, they have recently announced a five-year aircraft production plan. The Belgian Government have decided to increase National Service from one to two years and will make a substantial increase in the defence Budget, while little Luxembourg, with a population of only 250,000, has also doubled its period of service. The Netherlands Government have said that they are prepared for further financial commitments and if it is thought by the Atlantic Treaty Powers that the international situation demands it, they will take further steps.

On all these important questions, there is the closest consultation between the Defence Ministers and Staffs of the Brussels Treaty Powers, and our other European allies in the Atlantic Pact are all planning increases in their defences; but I am sure that it will be realised that what is being done by the European Powers is only part of the general defence of the Atlantic area. The fullest cooperation with our friends in the United States and Canada is essential.

On Saturday last, President Truman, in speaking of the great increase which is to be made in the Armed Forces of the United States, said that he had approved substantial increases in the strength of the United States Forces to be stationed in Western Europe. I am sure that this statement will bring great satisfaction to our friends who are partners with us in the North Atlantic Treaty and to the people of this country. The President said that the basic element in this decision is the degree to which our friends match our actions in this regard and I have given indications of what our European allies propose to do and I am describing the steps that we ourselves are taking to this end. The President added that the United States Government had taken powers to control the supplies of 963 raw materials necessary for the defence programme. In this country, we think we possess all the controls we need, but should we need more we would not hesitate to come to this House.

We are, in fact, now seeing the coming into being of what we have been striving to create—a European Defence Force, made up of the forces of Western Union and the North Atlantic allies, fully knit together to defend the democracies. My right hon. Friend the Foreign Secretary is about to discuss defence problems in New York, first with M. Schuman and with Mr. Acheson, and then with the Foreign Ministers of the other Atlantic countries. Meanwhile, experience has shown that there is room for some simplification of the planning and higher command organisation under the Atlantic Pact. Proposals are being put forward to this end. They will be discussed at the forthcoming Atlantic Council in New York, and subsequently at a meeting of Defence Ministers in Washington. We recognise that it is not very easy to work out these things with a number of States.

I should like to say a word or two now on another difficult problem—the participation of the German Federal Republic in the defence of the West. Today, the security of the Federal Republic against external aggression remains the responsibility of the Occupying Powers, and any armed attack on the occupying forces of those Powers will bring the Atlantic Treaty into play. In this connection, I must say that I am unable to envisage an armed attack from any quarter on territory under the control of the three Western Powers which would not involve the occupation forces of those Powers.

We hold the view that the eventual participation by Germany in the defence of Europe can be considered only within the framework of the common defence of the West. Clearly, this is a very difficult problem, and it will need careful consideration by all the parties. I prefer not to say any more on that point at the present time. [Laughter.] I do not know what is very funny when three Foreign Ministers—[Interruption.] If any of the hon. Members who laugh happen in due course of time to become Foreign Minister and are going to discuss certain problems in another country, they would 964 not be glad if the Prime Minister of the day anticipated them by making a statement beforehand.

I should like to refer to the problem of internal security. The Federal Chancellor has asked the Occupying Powers for authority to raise an armed Federal Police Force. There are strong reasons for this. The Federal Republic is constantly faced with the threat of Communist-inspired disorders provoked by propaganda from the East backed by the so-called People's Police in the Soviet zone. The existing police forces are not adequate either in numbers or organisation to deal with widespread disturbances, and it would be most undesirable if the occupation forces had to be diverted to the keeping of internal order. The Federal Government needs to have at its disposal some force which could act swiftly in an emergency. What is envisaged is a gendarmerie or mobile guard under proper democratic control, and not an embryo army. That, again, is a matter which is being discussed at the meeting in New York which my right hon. Friend the Foreign Secretary is attending.

I would not like to leave this part of my speech without referring to Commonwealth Defence. My right hon. Friend the Minister of Defence lately laid great stress on this point in his speech in the last Debate. The Chief of the Imperial General Staff recently paid a visit to Australia and New Zealand and carried out there a very full review of defence problems, both with Ministers and with their Service advisers. Later on this month we are to have a visit from Mr. Erasmus, the South African Defence Minister; we have also welcomed recently visits from Mr. Menzies and Mr. Spender which have given us the opportunity for further talks on defence problems. My right hon. Friend the Minister of Defence hopes to pay a short visit to Canada in the near future.

I would now like to say something of the effect of these proposals on our economic position, and what they will mean to the citizens of this country. The effect must be great and must cause some degree of hardship, because this added effort is not being undertaken by a country with a lot of spare capacity and with a lot of spare labour, as was the case when the rise of Hitler made it 965 necessary to rearm in the 1930's. We are having to rearm when we are devoting all our resources to rebuilding our economic position, and we have very few unemployed who can be brought in to increase our production. We have been working at full stretch and with good effect. Britain was paying her way for the first time since some years before the war. Along with our sterling area partners, we were in approximate dollar balance. We were, indeed, making some increase in our reserves. We had had some relaxation in the austerity imposed on us by our economic circumstances, and we were all looking forward to more. It is hard now to have to take steps which must mean some set-back to that recovery. The task before us is to provide for our Defence without injuring the economic strength and stability which is an essential basis of all Defence. This was recognised clearly by the United States Government in the note they sent to us wherein it was stated that the continuance of economic recovery in the near future, though possibly at a less rapid rate than heretofore, will be essential not only to the attainment of the broad objective, but to the attainment of the immediate objective of greater military strength. We started this year with a level of defence expenditure higher in terms of national income than that of any other of the Powers in the North Atlantic Treaty. Since then we have done, and are planning to do, much more from our own resources. There was first the July programme, then the increase in Service pay, and the first steps were taken in Civil Defence. We are reaching the limit of what we can do unaided without impairing our economic position. In particular, we have to consider always the problem of our balance of payments, especially of dollar payments. We are going ahead with a three-year programme, but as I have said, before we can decide the exact extent of our effort we must know what assistance will be forthcoming from the United States of America. The full utilisation of our capacity depends on aid from the United States in two forms—materials and components from dollar sources, and assistance to maintain our economic strength. Over the last month there have been constant discussions with the United States both directly and through the meeting of deputies of the Atlantic Powers in 966 London. Again, I am afraid I cannot report final conclusions because the talks are still going on. But in the meantime we are not hanging back; on the contrary, we are going forward with our programme.

I should like to give some indication of where in our economy this increased activity will fall. My right hon. Friend the Minister of State for Economic Affairs will, I hope, speak later in the Debate and be able to develop this part of the subject at greater length. But it is clear that the main weight of the additional production we are proposing to undertake must fall on the industries making capital goods, such as machinery, vehicles, ships, aircraft and electrical goods. Estimates are being made of the extent of that burden on each industry, but I cannot at this time be too precise. There are uncertain factors—the question of American aid, and there is also the working out of co-operation in the rearmament field with the various North Atlantic Treaty Powers, and that is not yet complete.

But one fact stands out quite clearly. Those industries which, as I have said, will be most affected account for over 40 per cent. of our export trade, while much of the rest of their production goes to essential home industries. It is indeed, precisely in this field that the competition between the needs of economic stability and of Defence is greatest. We shall require increases in the labour force in some directions, although I think that in shipbuilding the new orders will fill a gap which was beginning to show itself in unemployment. There will have to be restrictions in the home market; there cannot be an increase in the number of private cars available; there will be a decline in the provision of radio and television sets; a decline in the availability of various products of the engineering industry. There will be some demand on the textile, chemical, and building industries.

As to raw materials, it is not considered that there should be any serious shortages, but I would make a special appeal to all concerned in industry not to increase their stocks beyond their actual needs. If necessary, the Government will have to introduce control and allocation. We do not wish to do this unless it is absolutely necessary. We hope it can be avoided, but, if necessary, it will be done. 967 There will obviously, as the programme gathers momentum, be an increasing demand for labour, possibly amounting at the peak to an additional 250,000 workers engaged in armament production, but this increase will be gradual. There has also to be considered the withdrawal from civil employment of the additional men in the Armed Forces. There will have to be a diversion of labour from civil employment, but here every effort is being made to place the orders in areas where there is labour available. It is not possible right the way round, but wherever possible we shall put them in those areas where there is either unemployment or threatened unemployment. I am quite sure we shall need and get the goodwill and co-operation of employers and trade unionists in all these difficult adjustments.

It will be realised, of course, that other countries besides ourselves are increasing their defences, and the impact of all this is bound to affect the prices of raw materials and some equipment. While the gold and dollar reserves of the sterling area will probably benefit from the increased prices obtained for goods from the Colonial Empire and the Commonwealth, the overall effect will be adverse to the balance of payments position of the United Kingdom because of the higher prices we shall have to pay for our imports. On this general problem my right hon. Friend the Minister of State for Economic Affairs will be speaking at greater length. I would only say that the maintenance of our economic stability depends on a continuance of the effectiveness of our export drive.

One of the effects of the situation will be an increase in the prices of our imports. That, I am afraid, is bound to have an effect on the cost of living. We shall be devoting to the production of war material energies which would otherwise be producing goods and services for civilian use. There will be fewer commodities available to meet the home demand unless we can increase production to fill the gap. We have, during these post-war years—I think it is generally recognised—seen a remarkable increase both in production and productivity. I do not think the possibilities of further advance have been entirely exhausted. With full co-operation by managers and men, I am sure they can do a great deal.

968 But everyone will realise that there is an increased danger of inflation and as much need as ever for restraint in increasing personal incomes. This applies not only to wages but to salaries and profits. We need the willing co-operation of all classes of the community to avoid the danger of an inflationary spiral. I recognise how much restraint has been shown and how greatly it has helped us. That policy of restraint has stood this country, and not least the workers of this country, in good stead.

I have noted the resolution passed by a small majority of the Trades Union Congress last week. I am sure that, in the difficult situation with which we shall be faced over the coming months, the country can rely upon the co-operation and moderation of the unions in pressing claims for wage advances. Equally, I am sure other sections of the community will show the same spirit. It is evident that these proposals are bound to affect the standard of life of the people of this country. It will be the object of the Government to ensure, by all the means in their power, that these burdens are fairly borne; but I should be deceiving the House if I were to suggest that these burdens will not affect everyone in this country.

There is one particular matter to which I should like to refer, and that is the question of our export of goods of potential significance for war purposes, which has been raised in various quarters. In particular, the right hon. Gentleman the Leader of the Opposition called attention to a complaint by Messrs. Craven Bros. I have made a statement on that, but I would like to deal with the matter at rather greater length. The export of arms from this country is subject to export licensing. It is controlled by the Government, and such exports are restricted to the Commonwealth and other friendly countries, with many of whom we have defence arrangements. A great deal of surplus arms was disposed of after the war, and there have also been sales of some newly-manufactured equipment, including aircraft no longer on the secret list. These sales were of advantage to us at the time as, without them, we could not, in the existing circumstances, have maintained the war potential which we required; and we are reaping the benefit now in the capacity available for our expanded programme.

§ Hon. Members

Nonsense.

§ Mr. Churchill

Let us get this clear. Is the right hon. Gentleman speaking about the sale of jet aeroplanes and saying that without that we could not hope to preserve our economic balance? I think that matter should be put very clearly.

§ The Prime Minister

Not without very heavy additional expenditure, which would have to be met by increased taxation, and I doubt if that would be welcomed by the other side of the House. In 1949 restrictions on the export of goods of strategic importance were increased, as announced to the House in February, 1949; but they were not applied to contracts placed before the new arrangements came into force. Some of the goods take a long time to produce, and some orders placed before that date have not yet been completed. These restrictions have been kept under constant review, in consultation with friendly Powers, and during the past few weeks we have been re-examining the whole matter in the light of the international situation and of our own needs.

We have to take account also of the position of our friends and allies, to whom we have obligations. The House may be certain that wherever it is necessary to ensure the availability of goods needed for our increased war effort or for that of our friends in the North Atlantic Treaty organisation, or, of course, in the Commonwealth, the requisite action has been and will be taken. There is one further matter to which I should like to draw attention. A number of manufacturers have recently sought advice—

§ Mr. Churchill

Are the big boring machines that were to be made for Soviet Russia by Craven Brothers, which have not yet been completed but which were ordered before the restrictions, to be sent still on their destination or not?

§ The Prime Minister

I am having inquiries made about these particular machines, but I am informed they are not for Soviet Russia. I am not sure, but I am told they are for Poland. [Laughter.] It does not make any difference whatever except this—if hon. Members wait for one moment. As a matter of fact, what we are sending to Poland is subject to a particular agree- 970 ment. The terms of that agreement have to be looked at very closely. It is not exactly on the same level. It does make a difference what exactly the terms are. We are looking at them and if we need that boring machine, it will be retained in this country; but, as a matter of fact, it is not due for completion for some months yet. We are looking very fully into that. [An HON. MEMBER: "Why not have looked before now?"] We have not the information on everything that has been ordered long ahead. If, however, there are any other points on that, I am sure my right hon. Friend will be pleased to answer specific points. Perhaps it would come better in the course of the Debate than at the end of what I am afraid has been an unduly long speech.

Recently, manufacturers have sought the advice of the Government Departments concerned about inquiries for unusual quantities of material not at present subject to export control but which might be helpful to the North Korean Forces in their military activities. In some cases the manufacturers concerned have been advised not to accept these orders. We are anxious to do all we can to prevent the export of such goods as are likely to reach North Korea. It is, therefore, desirable, to obviate subsequent difficulties, that manufacturers and traders receiving such inquiries should consult the Departments concerned before making quotations.

I should like to make one general observation on this matter. It is not easy to know exactly where to draw the line between goods designed to meet civilian needs and those which may increase war potential. There are extreme views which I do not share. We are engaged in an effort to prevent war. Our object is to convince disrupters of the peace that agression will not be allowed to proceed, and to persuade all nations that the way to prosperity and happiness is through cooperation and friendly intercourse. Our trade with Eastern Europe has benefited us and them. We have had very welcome supplies of feeding stuffs and timber. We are not in a period of total war. We are engaged in building up defences for peace. There was in yesterday's "Times" an extremely well-balanced leader on this subject which I commend to the notice of hon. Members.

971 I have endeavoured to give the House as full an account as I could of the measures for which we are asking approval. I have stated what we hope to achieve in the strengthening of our Forces. I have tried to show how what we are doing forms part of a collective effort by the countries of the North Atlantic Treaty to prevent aggression, wherever it may appear. My right hon. Friend will supplement what I have said and make good omissions, but I would repeat, yet again, that the Forces which are being raised are designed to preserve peace. They threaten no one. They register the firm determination of democracy to preserve its way of life. Today I ask with confidence for the full support of the nation and of this House for these proposals.

§ Mr. Churchill (Woodford)

We shall on this side, of course, support the Motion which you have just read, Sir. We shall vote for it and we shall help to resist any Amendment which may be moved to it. We shall also support the Bill to extend the length of military service which is to be introduced. Several points may well arise upon that Bill for discussion in Committee, but I should hope that it can be passed through this House, certainly without any hindrance if not, indeed, in a single day.

I shall not on this occasion ask that any of our Debates should be in Secret Session. I just mention this to relieve any anxiety that may prevail on the benches opposite. Looking around, I cannot on this occasion spy any strangers participating in our debates. I must, however, make it clear that our approval of the Prime Minister's Motion is not a vote of confidence in the Government. We could not, on this side of the House, give a vote of confidence in the present Administration, least of all in its handling of military affairs. Although in all questions where the safety of the country is concerned we continue to give our support to His Majesty's Government, it must not be supposed that we are in any way ready to share their responsibility, such as it is, for the present condition of our affairs. We recognise that Ministers are by no means wholly responsible for the situation in which we all now lie. They have made many needless mistakes, 972 but much that has happened has been outside their control.

Both Governments and Oppositions have responsibilities to discharge, but they are of a different order. The Government, with their whole control over our executive power, have the burden and the duty—and we can all see that it is a very heavy one—to make sure that the safety of the country is provided for; the shape, formation and direction of policy is in their hands alone.

The responsibilities of the Opposition are limited to aiding the Government in the measures which we agree are required, for national safety and also to criticising and correcting, so far as they can, any errors and shortcomings which may be apparent, but the Opposition are not responsible for proposing integrated and complicated measures of policy. Sometimes we do, but it is not our obligation. In voting for what the Government propose, which we are going to do on this occasion, we in no way limit our right and duty to comment with the fullest freedom upon their policy and the course of events.

The Prime Minister has appealed to us for national unity on Defence. That does not mean national unity on mismanagement of Defence. In our view, which I shall endeavour to sustain, the present Government, although right minded on essentials, have shown themselves conspicuously lacking in forethought, conviction and design. It was never in their power, as I have most frankly declared, to prevent the sombre deterioration of our affairs which has resulted from the Russian-Communist aggression upon so many countries and the poisoning or infection of so many more.

We are in full accord with the Labour Party, as I call them on occasions when I am in a good humour with them, in their resistance to Communism in all its manifestations. We can hardly compete with the Prime Minister in the language he uses on this subject, but we rejoice with them that the Trades Union Congress should have so decisively ranged itself, as was only to be expected by those who understand the solid qualities of British trade unionism, with the unaltering and unflinching defence of the free way of life of the Western parliamentary democracies. A vote was given last week 973 at Brighton—I think the Prime Minister referred to it—which ranges the overwhelming mass of the British trade unionists with His Majesty's Government and also with the Conservative and Liberal Parties—[Interruption]—these last two, for all the jeers and mockery of hon. Members, comprising a majority of nearly two million of our people, according to the recent election.

In giving faithful and fearless support to the United Nations organisation in confronting totalitarian tyranny, whether it wears the garb of Communism, Nazism, Fascism, or Russian Imperialism—on these supreme issues Britain can indeed present a united front, not only for this island but for our sister nations throughout the British Empire and Commonwealth. However grave our differences are in domestic matters or however sharp must be our criticisms of ministerial handling of affairs, that is the message of unity which we are resolved to send at this juncture from the House of Commons to the world.

Having made this clear, I will give the House a short narrative of what has happened, so far as I am aware, since we separated six weeks ago. We had then received from the Minister of Defence a most serious statement of the immense preponderance—seven or eight to one—of the Soviet forces in active divisions, in organised armour and in air power over the Western allies in Europe. The Government proposed that we should spend £100 million on additional preparations for defence and this was, of course, accepted, so far as it went. However, five days after we parted the Prime Minister asked me to come and see him and read to me the text of the statement which was to be published the next morning on an entirely new and greatly enlarged defence policy, namely, the three years' plan involving an additional expenditure of £1,100 million. Quick work, it seemed to me.

After this interview I wrote him a letter dated 6th August—before I had to go to Strasbourg—thanking him for informing me of the measures which he was now taking in concert with the United States, and saying: We shall give our support to all measures proposed by the Government which we ourselves deem necessary for national defence. This cannot, however, limit in any way the right and duty of the Opposition to criticise, 974 either in public or secret Debate, the existing state of our defences, or the rate and methods with which the necessary increases are to be effected. However, we do not, of course, know anything about the Government's new plan, except what has now been published. It is certain that we are in a condition of great danger, and that surprisingly little practical results have followed from the immense outlay of money and control of manpower used by the Government during recent years. It seems to me and to those of my colleagues I have been able to consult that Parliament should be called together if possible before the end of August. I propose to hold a meeting of my colleagues on or about 15th August, and it is probable that we shall then make a formal request for the recall of Parliament. We were impelled to think of the steps made possible by the very full assurances given by the Lord President of the Council before we separated.

In the note which I enclosed to the Prime Minister on the military position—and it is that military aspect with which we are dealing today—I said: I do not myself see how the British contribution can be achieved without holding existing men with the Colours and increasing the length of service. The urgent need is to form efficient combatant units, of which we have hardly any at the present time. Should the Government bring forward well-conceived measures of this kind, I should recommend the Opposition to support them both in Parliament and in the country. That is what I wrote before I knew of the decision that the length of service was to be extended. That is what we now propose to do, and I hope the assurance given was of assistance to the Government in the extremely difficult problems which they are called upon now to face, and about which, of course, they have to agree among themselves.

I must say that it looks as if a meeting of Parliament in the last week of August would have given the Prime Minister a very appropriate and convenient opportunity for presenting not only his new proposals for the increase of our military expenditure to £1,100 million under the three years' plan but also for telling Parliament of the Government's decision to prolong compulsory National Service from 18 months to two years, as well as the welcome statement, so long pressed for on this side of the House, of the increase in the pay of the Regular Forces. However, the Prime Minister, without any further contact, even through the usual channels, announced the recall of Parliament for today, 12th September. So here we are.

975 This was an emergency recall, and it seemed odd to announce it nearly a month before, and with such timing as to make it necessary that the important declaration of the lengthening of the period of National Service should be given over a broadcast rather than presented, according to normal constitutional practice, to the House of Commons.

But these are not large matters. [Interruption.] Still, after all, Parliamentary usage is something which is quite important to consider. I repeat, these are not large matters compared with the vast and glowering facts by which we are encircled. I put them to the House only to illustrate the sudden and inconsequent changes in Government policy which are now before us.

Why was it that, when we were last gathered here, we were offered the £100 million plan whereas a few days later this was superceded by the three years' £1,100 million plan? What happened in the interval to make such a sweeping change desirable? I gather from the Prime Minister's speech that the Americans appealed to us to take some further action. But surely all these matters should have been well known and familiar to a Government who have been for over five years in office? Surely we do not need the prompting of a foreign country, however friendly, to show us where our duty lies? What happened, I say? Why was it that only, perhaps, a fortnight elapsed after Parliament rose before the new, formidable decision was taken, namely, to prolong the period of National Service?

When we were last together the Minister of Defence told how completely undecided the Government were, when he said: In present circumstances, we are not satisfied that an increase in the period of whole-time National Service would solve our problem. But this is a matter we intend to keep under constant review."—[OFFICIAL REPORT, 26th July, 1950; Vol. 478, c. 478.] That was only a fortnight before this tremendous change was proposed and put forward and given to the nation. All we were told at that time was that we must keep the matter under continuous review. I may refer to that phrase about keeping things "under continuous review" a little later. What happened, I ask, to make so 976 complete a change of plan in the military structure of our country necessary?

This is the kind of quick, impulsive change in the dominating issues of our Defence policy which makes it difficult to have confidence that our vital affairs are being conducted in accordance with any clear and persistent theme. What new facts, I ask again, had arisen between our separation for the Recess and the £1,100 million plan? All right: it is said America appealed to us. What new facts had arisen between the declaration of this plan and the declaration of the lengthened service and the other proposals which form the subject of the Prime Minister's Motion today? Surely, these are fair and, indeed, unavoidable questions? I do not feel that the Prime Minister has given any adequate answer to them in his speech today.

But this is not merely a matter of the last few weeks. I do not know of any great change in the balance of world power or the imminence of world danger that has occurred since the dark day when the Government informed us that the Russian Communist Government had gained possession of the secret of the atomic bomb and led us to believe they had produced it. But this was a year ago. It is quite true that the Soviet-impelled aggression in Korea, and the vehement and valiant action of the United States, in pursuance of the United Nations mandate, and the fierce and enlarging war now proceeding in Korea, had made everyone realise and pay attention to dangers which were quite well known to those who follow these matters, and were certainly well known to His Majesty's Government.

The dread balance has not been changed. It is only that the flare of actual war in one distant theatre—out of several that may be opened—has broken upon the public. But the Government must have had the whole picture before them for two years past or three years past. As I have said, it is for five years they have been studying all these matters—with responsibility and power.

If the Motion before us this afternoon had been made two years ago, how much better off we should be at this moment. The facts disclosed by the Minister of Defence, before we adjourned, about the position in Europe did not spring into existence overnight; they must have been known to the Prime Minister and 977 his principal colleagues long ago. The war in Korea has only made the ordinary people in many lands understand what must have been plainly visible, nay, obvious, to those who were entrusted with the sacred duty of guarding their safety and who had all the knowledge that was available.

Why, then, were the necessary measures not proposed in good time? That is another question to which I cannot feel that the Prime Minister has given us any answer this afternoon or in his broadcast; but then, no doubt, he was occupied with more important topics. It is quite true that, unhappily, in this country we are deeply divided about internal politics and that first-class issues affecting the whole character of our country and its economic life are raised thereby. But the Socialist Government have been in a position of great advantage compared with other British Governments we have experienced. Compare their position, for instance, to that of the Baldwin and Chamberlain Governments before the war—[Interruption.] Hon. Members opposite had better listen to what I have to say, then they will know which side to cheer.

The present Socialist Government have known that they could rely upon the whole-hearted support of His Majesty's Opposition, comprising both the other parties in the State, in any steps they might think it necessary to take for national defence, and international duty. At any time they could propose, with the certainty of our support, unpopular steps. They knew quite well that the Conservative Party in the last Parliament, as in this, would vote with them if, for instance, they demanded a prolongation of National Service, and would not vote against them, as the Prime Minister led the Socialist Party into doing on the same issue four months before the outbreak of the Second World War. I hope they will not indulge further in that propaganda of "Guilty men" which has played so large a part in their platform talks in recent years. Such discrepancies of conduct—I can hardly use a milder term—will not affect our action or the course we are bound now to take in the national interest. But they cannot be, and ought not to be, excluded from our minds in judging the record and character of the present Administration.

This indecision and these sudden changes, without any new material facts, 978 in what ought to be long-term policies and, shall I say, "supra-party issues"—I am always willing to endeavour to throw myself into the mood of those who, at any rate, we shall be supporting on this question—this indecision and these sudden changes have aggravated the inevitable perils and burdens of the position to which, with the nation's eyes at last opened, we have now come. That is why, in supporting the Motion now before us, we do not in any way absolve the Government from the just censure which lies upon them for their conduct of affairs.

Let me turn to another and more precise aspect of this indecision and hesitancy in regard to fateful but also simple issues. On 27th June, the United Nations organisation declared the Soviet-impelled invasion of South Korea to be an act of aggression and called upon all its members to render support to the United States in resisting it. Accordingly, British warships and some local air squadrons were very rightly ordered to participate. But when, after nearly a month, the Government made up their minds to send a military force from this country to stand in line with the Americans, the question arises: Why had they not been able to send it out before? It certainly was what is called an "eye-opener" to the vast majority of our people that, after all the money and control of manpower and control of administrative arrangements that the Government have enjoyed for five years, it should take months to organise even a strong brigade group from this country. It is not ready yet.

I thought myself that a token force should have been provided much earlier from Hong Kong and replaced by reinforcements of troops from this country, who need not be capable of going immediately into battle, but who would rapidly mature and fill the gap in the Hong Kong garrison. But the Government decided otherwise. Let me ask the Prime Minister a question: What was the date when he changed his mind and decided to send a force from Hong Kong to Korea? What was the date?

§ The Prime Minister

I am afraid that I have not that date with me. I did explain in a broadcast that the original request was that we should send a balanced force, and stress was not laid on sending them immediately; but, subsequently, we 979 had an urgent request to which we at once responded by sending a force from Hong Kong.

§ Mr. Churchill

It certainly was a great surprise to me, and I am sure also to my right hon. Friend the Member for Warwick and Leamington (Mr. Eden) and to the Leader of the Liberal Party. [Interruption.] I hope that members of the Liberal Party all over the country will take note of that cry of derision. No one counts at all except those who are managed by the Labour caucus; no one else counts at all, yet they come forward appealing for national support and unity.

It was a great surprise to us after our interview with the Prime Minister on 16th August to learn on 20th August that a force was to be sent from Hong Kong. The Prime Minister does not remember what was the date of the decision, but, at any rate, I have given him fairly limited brackets in which he will be able to make his further investigations.

§ The Prime Minister

I cannot quite make out what is the right hon. Gentleman's special point about this date. What is he hanging on the date that is so important? I have told him the facts.

§ Mr. Churchill

I am hanging on it the fact that these great matters which are continually before us and before the nation appear to swing about between one day and another, almost upon caprice, at the hands of the Government.

§ The Prime Minister

The right hon. Gentleman has more experience in conducting military affairs than anyone in this House. He has been accustomed, no doubt, to receiving advice from those who are responsible for running a campaign. The campaign in Korea is being run by the Americans. We respond to their requests, and if the request changes from what it was before, it is not the fault of His Majesty's Government. We have responded to the request made to us.

§ Mr. Churchill

No, Sir. I do not feel that that is so. [HON. MEMBERS: "Oh."] I think the Americans are bitterly disappointed. [Interruption.] Why is the Prime Minister's colleague shouting? He does not know anything about it. That is my personal view. I do not mind noise in the least. Please go on, although we 980 gave the Prime Minister a very silent and patient hearing.

It is my personal view that the Government and their military advisers, having rejected this project for many weeks, suddenly made a right-about turn and did what they had hitherto declared to be impossible. There was really nothing new in the situation, except perhaps the growing disappointment of the United States that we were so long in sending them anything from anywhere. [HON. MEMBERS: "Shame."] The tangled story of sending and delaying sending, and changing of plans in the method of sending, what could only be a token force, and rightly could only be a token force, to Korea, is a culminating example of the incapacity to take decisions and of living from day to day, which casts its shadow on all our military affairs at a time when small-scale issues are sharp and urgent, and when potentially mortal perils gather their clouds around.

Now let me speak of another aspect. I do not think it will be any more agreeable to hon. Members opposite. Let me speak of another aspect, not so much of indecision as of disconnection in policy—I mean the continued exportation of machine tools and other appliances to Soviet Russia and Poland. Our British industries are very short of machine tools. Diesel engines, electrical plant, and many other kindred high-grade manufactures have been pumped out of this country in the last few years although they are greatly needed at home. This was done in the name of dollar balances or in unrequited exports. The sending away of machine tools which are needed here at a time like this is like selling the seed corn in the lean years, which in bygone days was regarded as an unwise thing to do.

We see the same kind of want of foresight, the same defective sense of values and proportion, which I have already mentioned in the military sphere, the same system and habit of indecision in this question of the export of machine tools as we have seen in the military sphere. Of course, the crowning example is the sale of hundreds of jet aeroplanes which were needed so imperatively for our own self-defence and security. The Prime Minister has referred to it today, and perhaps the party opposite will allow me to comment on his remarks. He said, out of doors, that this is an "old story." But 981 there has never been a satisfactory answer to it.

One hundred and ten jet aeroplanes were sold or given to Egypt, and what we read in the papers seems to show that it has not at all improved their good feeling towards us. Fancy sending them away. Then, 100 to the Argentine. These are sent away at a time when our auxiliary air forces are hopelessly lacking and eagerly longing for these machines. The right hon. Gentleman said that it would have upset all our financial and economic arrangements, or words to that effect. What nonsense. The aeroplanes that were sold to the Argentine were, I believe, credited for about £2 million or £3 million. We are dealing with a Budget for which we voted £700 million or £800 million, and now we come forward into these colossal figures. This £2 million or £3 million, for an absolutely vital asset which we require, is brought up as a reason for this very gross neglect.

The Government have now, according to the broadcast of the Prime Minister, definitely decided that any machine tools, no matter how vital their war potential, which have been ordered by Soviet Russia or its satellites before the British restrictive regulations of 18 months ago, must, when made, be delivered to Soviet Russia. I have heard a lot of vague language from the Prime Minister, but I could not see anything which countered or contradicted that quite definite assertion he made in his broadcast.

§ The Prime Minister

The right hon. Gentleman has not got it quite right.

§ Mr. Churchill

What I have said is quite true.

§ The Prime Minister

What I said was that the machinery and tools were being delivered in respect of contracts already entered into, and the statement made in 1949—I think in February—by the President of the Board of Trade to this House was that that was the practice we were following. I did not say that if at the present time we required these we should not step in and take them over. I was referring to what the practice was then. As a matter of fact, a whole lot of trading goes on which is outside the control of the Government.

§ Mr. Churchill

It is very extraordinary that the right hon. Gentleman should take 982 the tremendous step of proposing a £1,100 million three-year plan, announcing to the country the lengthening of service from 18 months to two years, and no one in the Government should have seen that at some time a stoppage should have been put on vital military materials leaving this country. No, Sir, what I gathered from what the right hon. Gentleman said led me to preserve this particular phrase: "The matter is to be kept under continuous review."

Surely, if the Government's view is maintained this altogether ignores the position. These tools take a long time to make, and the British machine tool industry has for years been pressed with orders which it can only fulfil in sequence. There is an endless queue of orders for machine tools, and only comparatively few firms and craftsmen can make them. We have now reached the point where vital war-making materials are to be sent in an increasing flow for some time from this country to Soviet Russia. We think that is wrong and ought to be stopped. It is surprising that the Government, in other directions so prone to retrospective legislation, should find themselves puristically and pedantically hampered in the matter of war materials when an entirely new situation has arisen and become acute.

The right hon. Gentleman said that he was endeavouring to stop certain materials being actually sent to North Korea which would help the North Koreans to shoot down our soldiers. We should all approve of a step of that character. The Prime Minister can commit himself to it without any fear that he would be severely criticised in the House. It is intolerable to think that our troops today should be sent into action at one end of the world while we are supplying, or are about to supply, if not actual weapons of war, the means to make weapons of war to those who are trying to kill them or get them killed.

I was astonished when I was told what was going on. I was astounded by the attitude that the Prime Minister has taken. I should think that the feeling of the great majority of those in this House would be that no more machine tools of a war-making character and no more machines or engines which could be used for war-making purposes should be sent from this country to Soviet 983 Russia or the Soviet satellite nations while the present tension continues. I do not intend to go into details this afternoon, though they are all available and can be produced if there is any challenge. I do not suggest that this is done out of any ill-will on the part of the Government. It is only another example of the disconnection between the various Departments arising from lack of grip and control.

§ Mr. Paget (Northampton)

rose—

§ Mr. Churchill

No, I will not give way; I must endeavour to get on.

I will return to the purely military aspect of this Motion, for which we intend to vote. The arguments for it are very strong. The imposition in time of peace of 18 months' compulsory service was a severe departure from our past customs, and a heavy burden on our people. The Government deserve credit for having discharged their duty in this respect. However, as has now been realised on both sides of the House, a period of 18 months was singularly awkward for our affairs. It gave us a very heavy burden for a very small result in combatant units. It is true that a great reserve of well-trained men for the Territorial Army is being built up, and I wonder that the Prime Minister did not emphasise that a little more, because certainly, it will be a very different kind of Territorial Army filled with men who have served 18 months in the ranks. It is being built up, and if the other elements are provided, this gives a strong foundation for military defensive power after a considerable interval.

But the need of producing a number of effective combat units speedily, and maintaining them abroad or on the continent of Europe—not quite the same thing in my opinion—is most unhandily met by a period of 18 months' service. Our Regular formations are drained and also burdened by the need of training the large flow of recruits coming in throughout the year. I presume the Minister of Defence will look into the question of whether they are called fortnightly throughout the year or at longer intervals. I am not sufficiently informed to make up my mind.

We lose our men just at the period when they really are useful for foreign 984 service and for fighting formations. Our considerable sacrifice has given us the worst of both worlds. Clear thinking and clear policy on this question have, no doubt, been hampered by the harsh conditions of political and party strife which, however regrettable, now exists between us. There is no doubt that the proposal of this Motion for two years' compulsory service and a well-paid Regular Army will, if properly applied, bring a swift, solid and substantial increase in our defensive power. It ought to be possible under this system rapidly to build up a very good Army if the weapons are found for them.

There will be a marked improvement even in the next six months if, instead of reaching a discord at a great cost, we reach a harmony for a somewhat heavier period. There can be no doubt that this is a wise measure, and also that in spite of all its difficulties, it ought to have been taken before. All of us hate the idea of another war. Is there anyone in this island who can think of any country that we wish to attack or invade? But we must make ourselves capable of serving the great cause to which we have pledged our faith, and in which our own survival is also directly involved.

There can, therefore, be no question, so far as we here on this side of the House are concerned, that this measure should go through, and if the Government gain credit for it—however belated it may be—so much the better for them. We need not at this time grudge anybody the credit of doing anything, anywhere, anyhow for anyone. That is the position to which he have got today. The military chiefs should in my opinion be held strictly responsible for making the best use of the extraordinary, unprecedented measures of State which are being taken to help them in their task.

The Prime Minister has spoken, not today but out of doors, scornfully about a European army—apparently, it would have been all right if I had said "a European defence force"—and about the Germans being included in our Western defence system. Where does he stand about these matters now? Are they being discussed? No, they are being kept under continuous review. Where does he stand about these matters? Is he still opposed to Germans being armed as a part of 985 the Western defence forces or as part of an armed German police force; or does he still think the only Germans to be armed are the Communist Germans, whom the Soviets have formed into a powerful army in the Russian zone? Again, I think the right hon. Gentleman was very guarded and very obscure when he said he was keeping the matter under review, and what he said about the Germans was so very vague that one could hardly understand it. Still I must say that I was encouraged on both these points, and I feel that the normal process of belated conversion to the obvious is still steadily going forward.

Let me here say, again, that the fact that the liberated German representatives voted at Strasbourg for sending a quota to a European army, while not seeking to raise a national army of their own, is a most helpful fact, and has been so regarded throughout Europe and the United States. This has rendered it far easier for the French to welcome them and for the closing of a thousand-year quarrel in the historic gesture of French and German soldiers standing in the line together against the Russian-Communist aggression and menace.

I feel sure that all this process of bringing the Germans back into the family of united Europe and enabling them to take a part in a European army or European defence force for the defence of freedom and civilisation—for which some of us on this side of the House have worked so hard for several years—has been helpful not only to the free world but even to the British Socialist Government. The Prime Minister should welcome it instead of discouraging or even disparaging it. But whatever his feelings may be he would be wise to accept it, because a European army with a strong German quota is going to be formed quite quickly and very soon—that is to say, if we are given the time. That is a fact that none can challenge or deny.

I have never seen an occasion when what is going on in Europe generally is more uncertain and what we ought to do is more clear. Never was the future more inscrutable and never was our policy and duty more plain. We have to form, as fast as possible, a European army of at least 60 or 70 divisions to make some sort of front in Europe to close what 986 I have called "the hideous gap" in the protection of Western Europe from a Russian-Communist onrush to the sea. For this purpose every nation still enjoying freedom from totalitarian tyranny should make extreme exertions. Each of the countries ruled by parliamentary democracies must dedicate their quota of divisions. Since these matters were last debated in this House, in March, the French have resolved to contribute 20 divisions, I understand, but it may be 15 divisions. I rejoice to see the famous French Army lift itself again into the vanguard of freedom.

There should certainly be 10 divisions from the United States, two or three from Canada and six or eight from this island. I must say that the suggestion of three from Germany and 1½ or two available here does not seem to me to be a proportionate contribution, even making allowance for the fact that although we have got rid of India we have still important obligations to meet in tropical countries. I do not think that that should be accepted as a full and complete contribution on our part. Germany and Italy should also contribute eight or 10 divisions apiece and the Benelux countries, comprising ancient and characteristic States, at least four more. Then there is Scandinavia. So here are 60 or 70 divisions which can be produced and organised.

§ The Minister of Defence (Mr. Shinwell)

When? [Laughter.]

§ Mr. Churchill

Hon. Members opposite are laughing at their own Government for seeking to lead them into doing something right, for once.

If such an army can be deployed on our gaping Eastern front, the greatest danger of a third world war in the next three or four years will be substantially diminished, if not indeed removed. We shall become free from the present horrible plight in which the American possession of measureless superiority in the atomic bomb is our only safeguard against what might well be the ruin of the world. This will undoubtedly give the Western democracies the best chance of securing the return to the normal relationships of States and nations. Whether we shall have time or not, no one can tell. There are two factors which we cannot measure, let alone control, either of which may 987 prove decisive. They are the following: first, the calculations and designs of the Soviet autocracy in the Kremlin, and, secondly, the anger of the people in the United States at the treatment they are receiving and the burden they have to bear. Neither of these is within our control.

It is my firm conviction that while there is a real, solid hope of building up an effective European army the United States will forbear, and that while American superiority in atomic warfare casts its strange but merciful shield over the free peoples the Soviet oligarchy will be deterred from launching out upon the most frightful of world wars yet waged in this unhappy and distraught world. It may well be that the vast masses of human beings, who ask for so little, but only to be let alone and enjoy the fruits of peaceful toil and raise their children in the hope of a decent and improving future, can still be rescued from the melancholy and frightful fate which has seemed to be, and now seems to be, closing in upon them.

We cannot control, and no one nation can control, the march of destiny, but we can at least do our part. It is because the Motion now before us offers a minor but none the less considerable makeweight to the peaceful settlement of world affairs that we on this side of the House, Conservatives and Liberals alike, will give it our united and resolute support.

§ Mr. Clement Davies (Montgomery)

The Prime Minister, in the opening passages of his speech, thought fit to make an apology for the length of time he thought the speech might occupy. There was no need whatever to apologise. It was not only right and proper but necessary that a full review should be given by the Prime Minister of the situation as he sees it and of the proposals which he is putting forward on behalf of the Government for dealing with that situation. I should like also to add that I agree with the Prime Minister that it is indeed tragic that after two world wars the people who cherish their own freedom should still be held up to ransom and still be threatened with devastation and war. It is, in my view, a crime against humanity that is being perpetrated by these aggressors.

Without a doubt the international situation has deteriorated, and gravely, during 988 the last three months. The invasion of forces armed, trained and equipped by Russia, from North Korea into South Korea was, and remains, an act of deliberate, premeditated aggression, which could not be allowed, and fortunately has not been allowed, to pass unchallenged. We must realise that the battle between aggressors and defenders of freedom is being fought out now, and that that battle must be fought out to the point where the aggressor has to admit that aggression cannot succeed and is certain to be met with the full resistance of the free nations of the world.

The aggressor, at all times, hopes for a quick victory and a short war. He plans in secret and builds up huge forces, regardless of the cost, so as to achieve this quick success. The aggressor knows also that the free democracies act independently and are reluctant at all times to spend vast sums of money on armaments; so he relies on his own preparedness and the unpreparedness of his victims, in order to secure that quick victory. The aggressors of 1914 and again of 1939 relied on those factors. I believe that Russia is relying upon them today.

So, since 25th June, it has become clear beyond doubt that we have two worlds instead of one world—the one free, peaceful world—that we all desired. There is, on the one hand, the world dominated and enslaved by the men of the Kremlin who would extend their power, as the Prime Minister very rightly said, over all of us. There is, on the other hand, the free world, the nations who answered the call so readily when it was made by the Security Council. Moscow is determined to push forward her boundaries until all of us are engulfed. That is the declared policy of Lenin and of Stalin—to push forward ruthlessly that policy, through slaughter and through war.

The question that has dominated all out minds is: Can a third world war be avoided? I think, I believe and I hope that it can. I am, however, convinced that the only hope for peace is for the free nations of the world to unite, to make themselves strong and present to the aggressor a united, powerful and unconquerable defence. We of the free nations must make it abundantly clear that any attempt to settle international disputes by aggression will be met by force, and a combined force of all of us which will 989 be incapable of defeat. No one of us can offer in this mutual aid, for the defence of each and all of us, anything less than the maximum that we can put forward.

World war and further acts of aggression can be prevented only when we have done this, and that is recognised as a fact by Moscow. Then, I believe, we can for the first time talk to the Kremlin upon equal terms. We have in the past made it clear, and shall continue to make it clear, to Moscow and her satellites that if there is any indication from any of them that they are willing to settle disputes peacefully and amicably, they will at once be met by maximum goodwill and a desire for co-operation on our part.

I have said that in these circumstances each one of us must contribute the maximum to the common Defence, and therefore the question arises of what is the maximum strength that this country can contribute. Obviously, as the Prime Minister very rightly said, we must maintain a fair balance between what we can contribute towards Defence and what is needed to uphold ourselves in a sound economic position. Already there are ominous signs of an increased inflationary pressure. I hope that the Government will take control of that, and take control quickly, before it goes too far.

The atmosphere today is charged with urgency. There are needed, and needed quickly, for the Army operational divisions, for the Navy more submarines forces and more mine-sweepers and for the Air Force more fighter and bomber squadrons. We need these as quickly as possible, and we need better and larger air defence and a Civil Defence which will give us home protection. At last the Government have recognised that in order to have an efficient fighting organisation in all the Services they must be based on long-term Regular volunteers. We on these Benches said that over three years ago, and we were right, and now the Government are admitting that we were right.

§ Mr. George Thomas (Cardiff, West)

Did not the right hon. and learned Gentleman and his hon. Friends vote against conscription?

§ Mr. Davies

We did. If the Government and the House had not only listened to us but followed the advice that we then 990 gave, we should not have been in this predicament today. We urged the Government then to give better pay and improved conditions—

§ Earl Winterton (Horsham)

I hope that the right hon. and learned Gentleman will not mind my interrupting, but it would be very unfair for him to suggest that he was the only person who had suggested that. Speaking from these benches on behalf of the Opposition at least three Defence Debates before the right hon. and learned Gentleman even mentioned the matter, I asked for higher pay for the Forces. If he wishes to take credit to himself, I hope he will include a few of us, humble as we may be, in that credit.

§ Mr. Davies

If the noble Lord would listen, he would realise that I did not say "I." I said "we." Moreover, even before the right hon. Gentleman raised it, we as a party had put it forward. We were considering this before the war ended. We had actually formed a committee in 1944 to consider what should be done so that the Regular volunteer forces might be maintained. Moreover, we were emphasising the need for this as the method which would best provide the right force, instead of relying upon conscription.

§ Mr. G. Thomas

Would the right hon. and learned Gentleman be kind enough to tell us whether his party has changed its attitude to conscription since the General Election?

§ Mr. Davies

Perhaps the hon. Gentleman will allow me to continue and to make my speech in my own way. I am coming to other reasons which I think are the right ones today. I always prefer to state my reasons first, and my conclusions are then based upon them. We urged the Government at that time to give better pay and improved conditions to the Regular volunteers—in short, to do what the White Paper says the Government propose to do, to offer them terms which are not only commensurate with but will compare favourably with what men might expect to get in civil life. Neither the Government nor the House, in spite of the assistance which I might have had from the noble Lord at that time, paid much attention to our arguments—

§ Earl Winterton

As the right hon. and learned Gentleman has been good enough 991 to refer to me, may I say that I am looking forward to that portion of his speech in which he explains why he and his party, including that celebrated soldier, Colonel Byers, were opposed to conscription two years ago and are now voting for it.

§ Mr. Davies

If the noble Lord will just wait, he will realise what I am saying. Today the Government are proposing to do what we asked them to do in the spring of 1947 and we have therefore lost three years in building up what is now recognised to be our best defence. The figures speak for themselves. They are set out in the White Paper. The number joining the Forces voluntarily on normal Regular or short-term bounty engagements was 95,000 in 1947, 67,000 in 1948 and 53,300 in 1949; and the Government knew that the whole time and took no other steps whatsoever to increase the numbers until this month. They now admit that the figures for the first six months of this year show a continued downward trend. Of course, we welcome the scales which are now set out in Command Paper 8027. Does the hon. Member for Nelson and Colne (Mr. S. Silverman) wish to say anything? Does he object to the White Paper?

§ Mr. Sydney Silverman (Nelson and Colne)

Not in the least. I did not intend to interrupt, but since the right hon. and learned Gentleman invites me to do so, I would point out that in those days he was saying, "Let us have a Regular volunteer Army, and in order to get it let us pay proper wages. If we do that we shall not need conscription." Today he is getting that, and now he is going to vote for conscription.

§ Mr. Davies

The hon. Gentleman seems most anxious to anticipate what I am going to say. So far, I have dealt with the increase of pay and the need for improved conditions so that men can be encouraged to volunteer because they will have terms which are commensurate with what they might get in civil life, and I have said that I welcome the White Paper and these proposals. We hope and believe that those increased emoluments will attract recruits, and I sincerely trust that they will bring in the full quota of what is required. [HON. MEMBERS: "Hear, hear."] No one seems to object to that. The aim should be to build up in the 992 shortest possible time efficient Regular Fighting Forces perfectly trained and perfectly equipped. I hope that this is the true aim of the Government. I believe that that aim would have been achieved by this year had they adopted in 1947 what they are now proposing in September, 1950. Otherwise why put forward these proposals now? Unless they expect them to be successful, they should not put them forward. Why did they not put them forward in 1947?

Now I come to the other proposal, the one about which the hon. Member for Nelson and Colne and the noble Lord seemed to worry—the extending of the period of conscription from 18 months to two years. As those hon. Members who have interrupted me already know, we opposed conscription in 1947 and again in 1948. We did so because we preferred the other method?

§ Mr. S. Silverman

Which method?

§ Mr. Davies

The voluntary method, with improved terms. Surely the hon. Gentleman does not think that the improved terms were given in 1947. We preferred the voluntary method with improved terms which the Government have now adopted. I would remind the House that conscription was then also in force as an unfinished legacy from the war, and when the Government were asked by us to increase and improve the terms so as to get the volunteers in, they had at least two years in which to build up the Regular Forces, because at the beginning of 1947 the period of conscription was two years, so that they would have had that period with these improved terms in which to build up their Regular Forces.

We dislike conscription in time of peace. We were of opinion then, and are of opinion now, that we should rely for our defence upon Regular volunteer forces, and I hope it is the true view of the Government as a whole—I am afraid it is not the view of some individual Members of the Government—that they do not intend to rely upon conscription as the basis of our defence system. There is some indication of this in the White Paper and in some remarks which the Prime Minister made, but I should like to have a definite assurance, either from him or from the Mini