WEBVTT -  Airbus Defence and Space UK Chairman Ben Bridge Talks Re-Arming Britain

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<v Speaker 1>Well, I think we're at an interesting point, and you know,

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<v Speaker 1>we're in a year where Statrtic Defense Review is going

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<v Speaker 1>to be coming out soon, we hope there'll be a

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<v Speaker 1>defense Industrial strategy and the appointment of a National Armaments Director.

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<v Speaker 1>So there are lots of important things happening where we'll

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<v Speaker 1>get some clarity on how the UK and the government

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<v Speaker 1>feel about defense and about its defense industry. And certainly

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<v Speaker 1>a lot of the rhetoric if you like, around that

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<v Speaker 1>is reflecting not only the importance of defense in the

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<v Speaker 1>need to invest in defense and spend more on defense,

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<v Speaker 1>but to do that in the UK. So I think

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<v Speaker 1>this is the year where we and the UK defense

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<v Speaker 1>industry will hope to see those words turning into action.

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<v Speaker 2>So you think it's a pivotal year. Then are you

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<v Speaker 2>doing anything to ramp up in the UK now or

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<v Speaker 2>are you awaiting all of those reviews and the contracts

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<v Speaker 2>to arrive.

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<v Speaker 1>So we have a sizable presence as Airbus, Defense and

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<v Speaker 1>Space UK here already. We have about three and a

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<v Speaker 1>half people, most of those are across two sites Stevenage

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<v Speaker 1>and Portsmouth designing and building satellites and we're well set

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<v Speaker 1>now for what we need to do. The question, I

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<v Speaker 1>guess will be what further opportunities or requirements will come

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<v Speaker 1>from the government, and will be ready to ramp up,

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<v Speaker 1>as you say, and ready to increase and invest ourselves

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<v Speaker 1>if that were to happen.

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<v Speaker 2>Do you think that the UK can keep up with

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<v Speaker 2>European defense spending commitments?

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<v Speaker 1>Well, John Heedy has said recently that he wants to

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<v Speaker 1>be part of that increased spend and those various economic

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<v Speaker 1>mechanisms that the European Union is putting into place. I

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<v Speaker 1>guess we'll hear more of that at the forthcoming UK

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<v Speaker 1>EU summit. But no, the UK is very well placed

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<v Speaker 1>to be, as it always has been a central part

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<v Speaker 1>of European security and defense.

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<v Speaker 2>That's more of a testament to how little others are spending,

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<v Speaker 2>though in some sense, is that the UK is so

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<v Speaker 2>high in the NATO pack of spending.

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<v Speaker 1>Well, I think all countries at the moment are looking

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<v Speaker 1>at how much they need to spend, and most countries

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<v Speaker 1>are talking about increasing their spend.

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<v Speaker 2>When do you think that we'll see new money flow

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<v Speaker 2>from the UK government and specifically for you at a PUS,

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<v Speaker 2>When do you think that money will start flowing?

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<v Speaker 1>Well, they're talking about increasing to spend of GDP to

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<v Speaker 1>two and a half percent by twenty twenty seven. We

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<v Speaker 1>know that Trump has asked NATO members to go between

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<v Speaker 1>three and a half and five percent, is what we're hearing,

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<v Speaker 1>So we'll see how the UK responds to that, and

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<v Speaker 1>I guess as part of the UK EU Summit and

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<v Speaker 1>then the NATO Summit in June, we might hear some

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<v Speaker 1>more detail from the UK and other countries.

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<v Speaker 2>So it sounds like you're poised. There's not much.

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<v Speaker 1>Detail, We're poised, and the detail and the direction it

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<v Speaker 1>seems encouraging and we look forward to hearing from the

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<v Speaker 1>Defense Review more.

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<v Speaker 2>Detail in terms of the capabilities. Obviously, you know the

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<v Speaker 2>rhetoric as you mentioned, and the idea of rebuilding and

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<v Speaker 2>building up defense spending is there, but then the capacity

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<v Speaker 2>and the capabilities then do take time. What we are

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<v Speaker 2>seeing though from Blue Big Data is that backlogs we

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<v Speaker 2>know for the big defense companies yours included in the US,

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<v Speaker 2>in the UK and in Europe are increasing. Are your

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<v Speaker 2>backlogs rising here in the UK as there is more

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<v Speaker 2>pressure now to build and deliver.

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<v Speaker 1>Not particularly we're as I say, we're well poised to

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<v Speaker 1>deliver what we're already working on both on the defense

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<v Speaker 1>and indeed the commercial side, and we're ready and set

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<v Speaker 1>to invest more if that's required with future orders or

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<v Speaker 1>commitments from the UK. I mean, what we have in

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<v Speaker 1>the UK at the moment is a fantastic capability in space.

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<v Speaker 1>You know, for fifty years, Airbus Defense and Space has

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<v Speaker 1>been here, designing, building, even operating satellites. For twenty years

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<v Speaker 1>we operated the UK Skynet satellite communication system and that's

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<v Speaker 1>something that really we believe should be nurtured. And if

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<v Speaker 1>the UK at this time doubles down and invests itself

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<v Speaker 1>in that capability with it bringing requirements to UK factories

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<v Speaker 1>and UK companies, not just ours. We have a supply

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<v Speaker 1>chain of something like two thousand companies, half of which

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<v Speaker 1>are SMEs. We've launched many initiatives to encourage smaller companies

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<v Speaker 1>to get involved in space and so on, and we

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<v Speaker 1>really see ourselves at Airbus Defense and Space UK as

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<v Speaker 1>a convener for success in the UK.

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<v Speaker 2>What does a war ready Breton look like from your perspective?

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<v Speaker 2>The Prime Minister Kissed Arma has vowed to return Britain

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<v Speaker 2>to war fighting readiness.

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<v Speaker 1>So space is at the center of today's war fighting capabilities.

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<v Speaker 1>Some people refer to it as the ultimate high ground.

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<v Speaker 1>It's the place that you operate from, where you see

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<v Speaker 1>more and where of course you can communicate most effectively from.

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<v Speaker 1>So certainly part of any investment in becoming already would

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<v Speaker 1>need to be to invest in that space capability and

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<v Speaker 1>to make sure that we maintain our own independent operations,

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<v Speaker 1>our own independent ability to design, build and operate satellites,

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<v Speaker 1>to take our own view of the threats that are

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<v Speaker 1>out there. And you do that by maintaining a capability yourself,

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<v Speaker 1>not buying off the shelf from other countries,