PA MediaThe SNP has been accused of being “all over the place” on state funding for defence companies, after the Government enterprise agency declined to back a Rolls-Royce welding skills centre.
Rolls-Royce has been told the project in the Glasgow area cannot be supported with £2.5m of funding from Scottish Enterprise.
A Scottish Government minister said the project could not be funded as it concerns “munitions” and is part of a programme for building attack submarines.
UK Defence Secretary John Healy has described the refusal to back the welding centre as “student union politics”.
SNP business minister Richard Lochhead responded to MSPs’ questions on Tuesday.
He said the Scottish Government and its agencies have a longstanding policy that public money should not support “the manufacture of munitions”.
PA MediaMr Lochhead said as the project concerns an “attack submarine” it would be ineligible for Scottish Enterprise support, but a formal application had not been received.
Scottish Labour deputy leader Dame Jackie Baillie said: “The Scottish Government’s position is frankly incoherent and their policy on state funded aid for defence is all over the place and applied selectively.”
She pointed out that the Government-owned shipyard Ferguson Marine is carrying out subcontractor work for the Royal Navy’s Type 26 frigate programme – arguing “there are munitions on the frigate”.
Mr Lochhead responded, saying: “The Scottish Government very much values the role of the defence sector in Scotland and the many jobs it sustains, and indeed the value it adds to the Scottish economy.
“For that reason £45m of support through our enterprise agencies has been allocated to defence companies or companies partially involved in defence activities.”
PA MediaDame Jackie asked: “What does the Government believe the Army, the Navy and the air force should defend the country with?
“Pea shooters, bows and arrows, a telling off?”
Conservative MSP Stephen Kerr aid the SNP’s position is “not just incoherent, it’s totally hypocritical”.
Mr Lochhead said funding had focused on the diversification of industry, noting defence is reserved to the UK Government.
He also said governments must take into account “ethical considerations” when it comes to funding companies in the defence sector.
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