Defence Export Services Organisation

On 25th July 2007, the Prime Minister, Gordon Brown, announced that the Defence Export Services Organisation (DESO), part of the Ministry of Defence, was to be shut down. Campaigning to close the Government's arms sales unit had been going on ever since CAAT started in 1974.

Set up by the Labour Defence Secretary, Denis Healey, in 1966 and originally called the Defence Sales Organisation (DSO), the Defence Export Services Organisation was headed by an arms industry executive on secondment. It had around 500 staff, in the UK and in offices overseas. The final head was Alan Garwood who came from MBDA, a BAE Systems joint venture with two other European companies, and returned to BAE as its Business Development Director. His background illustrates one of the changes to military industry since DESO was established - there used to be a clearly identifiable UK arms industry, but now there is a globalised one. DESO was part of what is a public subsidy for private multi-national companies.

Why the end of DESO was so important

Shutting DESO was hugely symbolic - it sent a clear message that the arms industry is not a special case deserving much greater public support than that enjoyed by other industries. It also means an end to the arms companies' base within government from which they were able to lobby and distort other policies, particularly those with regard to arms control and human rights.

Evidence that the decision to shut DESO was a serious blow to the arms companies came on 28th July 2007 when The Daily Telegraph reported the anger of the industry. It also published a "furious" letter (PDF 572kb) from BAE Systems' Chief Executive, Mike Turner, to Gordon Brown.

UK Trade & Investment

The promotion of military exports became the responsibility of UK Trade & Investment, the body that supports all UK exports, on 1st April 2008.

Further Reading

The case for withdrawing Government economic support from DESO (PDF 80kb), CAAT briefing, July 2007.

CAAT made a Freedom of Information request for the speeches delivered at the DESO Symposium in March 2007. The full texts received, in addition to notable extracts, are available here.

Shut DESO: Time's up for the Government's gun-runners (PDF 260kb), CAAT Report, January 2006.

Page updated 19 June 2008

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