FAO Nwesdesks - 11th December 2001
New UK Arms Export Report
A report due out today from academics and Ministry of Defence economists shows that "the economic costs of reducing defence exports are relatively small and largely one-off".
Campaign Against Arms Trade (CAAT) have estimated that UK arms exports are subsidised directly and indirectly by around £820m. Some of this comes through the Export Credits Guarantee Department (£227m) and the Defence Export Services Organisation (DESO) (£16m). If government research and development and staff costs are added, arms exports actually become one of the most cuddled sectors in the UK.
Richard Bingley of CAAT said: "We look forward to the way this report will add information to studies that have already shown large and disproportionate subsidies to the UK arms industry."
The report was requested by the Defence Select Committee who invited "the MoD to provide a more systematic and detailed assessment of the full costs and benefits of defence exports for the UK" (24 March 1999). Senior Economic Advisor to the MoD, Neil Davies, authored the report with Chris Wilkinson (MoD), Professor Malcolm Chalmers (Bradford University) and Professor Keith Hartley (University of York).
Richard Bingley continued: "Stopping arms exports does not damage our own economy - but does greatly help the promotion of development and human rights around the world."
For further information please contact Richard Bingley or Stella Purvis on +44-(0)-20 7281 0297 or email: press(at)caat·org·uk