Recommendation 4

HM Government Acknowledged

The Government notes the Committee’s recommendation and would like to reassure its members that the MOD (and the wider UK investment security community) has assessed - and will continue to assess - the implications of all investments into the UK defence supply chain where there are national security concerns. Decisions on the potential threats from foreign owned companies are addressed on a case by case basis. past interventions, which were taken by previous Ministers and Governments, based upon the facts at the time. But we can reassure the Committee that we have looked at potential threats to national security resulting from Chinese ownership of the companies listed within the report. The MOD actively manages the defence supply chain and has regular dialogue with key suppliers. It monitors mergers and acquisitions to ensure that any national security risks are identified and mitigated in line with our risk-based approach. 4 Fifth Special Report of Session 2019–21