German firm Artec's troop carrier deal unfair, says MP

[scooterscot]

Can't make our own passports, armoured vehicles, but if it's a bacon butty you want.. give us call.

Got to wonder whose the Tories are on. Going by their actions, it's certainly not the voting public!

A decision to hand a £3bn defence contract to a German company could have cost Wales hundreds of jobs, an MP has said.
Caerphilly's Wayne David criticised the Ministry of Defence's decision to choose Munich-based Artec to deliver new armoured carriers for the Army.
The MoD said the company had signed deals with British supply firms in anticipation of a deal being struck.
It said Artec would create 1,000 UK jobs by setting up a production line.

source: German firm Artec's troop carrier deal unfair, says MP - BBC News

[SueEllen]

If foreign countries provide better value for money than British ones then they win the contract. Fairs fair.

[xoggoth]

If foreign countries provide better value for money than British ones then they win the contract. Fairs fair.

Disagree. As I said before, when you take accounts of taxes UK companies and workers pay and reduction in welfare the cheapest price deal is not always the best. More importantly we need to grow our economy, to increase our expertise, especially in high tech areas.

The notion that the up front cheapest deal is always best, cut price foreign deals, outsourcing, cheap labour that gives us a plethora of low productivity businesses, are taking our economy in the wrong direction.

[BlasterBates]

In the 1960's and 70's successive British governments ensured that British companies got the contracts, it didn't help because cra*p companies that produced junk continued to produce junk and when they finally were weaned off government contracts by Mrs Thatcher they all went out of business.

Agree with Sue Ellen, the government should buy the best equipment and look after British tax payers money, rather than try and keep moribund companies afloat.

[darmstadt]

Disagree. As I said before, when you take accounts of taxes UK companies and workers pay and reduction in welfare the cheapest price deal is not always the best. More importantly we need to grow our economy, to increase our expertise, especially in high tech areas.

The notion that the up front cheapest deal is always best, cut price foreign deals, outsourcing, cheap labour that gives us a plethora of low productivity businesses, are taking our economy in the wrong direction.

From the article:

It said Artec would create 1,000 UK jobs by setting up a production line.

[xoggoth]

Agree with Sue Ellen, the government should buy the best equipment and look after British tax payers money, rather than try and keep moribund

Certainly we should not prop up ineffective companies but all major contracts need proper review to determine impact, including long term effect on the UK economy.

Back in the 70s we had the CEGB, a generally effective organisation, and the expertise to build our own power stations. Nowadays we have to go cap in hand to the Chinese and the French. The latter have been very protective of their industries and provided much more state support. Doesn't seem to have done them any harm and they still have the expertise to build their own power stations, unlike us.

[xoggoth]

From the article:

It said Artec would create 1,000 UK jobs by setting up a production line.

Yes but it also says:

He described the process as "clandestine" and said job creation could have been far more than 1,000 throughout the UK through related positions and the supply chain.

There is also the issue of ensuring we maintain and grow British expertise at all levels so we have control of our economy, rather than just be a supply factory whose future depends on the whims of foreign companies. It would appear that we will just be contributing at the lowest level, manufacture. The design and rights to the product remains German and it is the Germans who then have the ability to develop and sell it elsewhere, providing a long term benefit to their economy. What happens to British factory workers when this contract finishes and the German company sells to another nation and wants to tempt them with the prospect of providing jobs?

[BlasterBates]

It's unlikely that Britain could develop an Engineering prowess comparable with Germany, Japan or even France. There are just too many Jacob-Rees Moggs and Boris Johnsons in the British Elite. In a German company it's difficult to find anyone who hasn't got a doctorate in Engineering on the board of directors.

[darmstadt]

Yes but it also says:



There is also the issue of ensuring we maintain and grow British expertise at all levels so we have control of our economy, rather than just be a supply factory whose future depends on the whims of foreign companies. It would appear that we will just be contributing at the lowest level, manufacture. The design and rights to the product remains German and it is the Germans who then have the ability to develop and sell it elsewhere, providing a long term benefit to their economy. What happens to British factory workers when this contract finishes and the German company sells to another nation and wants to tempt them with the prospect of providing jobs?

So basically every country should just keep everything in-house?

[darmstadt]

Certainly we should not prop up ineffective companies but all major contracts need proper review to determine impact, including long term effect on the UK economy.

Back in the 70s we had the CEGB, a generally effective organisation, and the expertise to build our own power stations. Nowadays we have to go cap in hand to the Chinese and the French. The latter have been very protective of their industries and provided much more state support. Doesn't seem to have done them any harm and they still have the expertise to build their own power stations, unlike us.

Back in the 70's nearly every public utility was owned by the state until the Tories went privatisation mad and sold it all off, quite often to foreign companies, maybe the Daily Mail could start a petition about that?