Former defence secretary Sir Grant Shapps has resigned from his role with a missile manufacturer after the ministerial ethics watchdog raised concerns that he had allowed a 'perception of impropriety' to develop. Sir Grant, who served as defence minister under Rishi Sunak, stepped down as chairman of Cambridge Aerospace on April 30, citing a 'greater-than-anticipated focus on military technology' by the company.
Watchdog intervention
His resignation came after he was contacted by Sir Laurie Magnus, the independent adviser on ministers' interests, who questioned his compliance with rules governing former ministers' employment. The watchdog's intervention followed the announcement on April 10 of a multi-million-pound contract for Cambridge Aerospace to supply 'Skyhammer' interceptor missiles to the UK and its Gulf allies.
Sir Laurie said the contract 'appears to be at direct variance with your original description of the role' and that it was 'difficult to reconcile the current scope of Cambridge Aerospace's operations with the restriction that you avoid defence matters entirely'. He added that Sir Grant had 'failed to uphold the standards expected in the rules' and 'allowed a perception of impropriety to develop'.
Sir Grant's defence
In correspondence with Sir Laurie, Sir Grant maintained that he had 'scrupulously' followed the rules set by the now-defunct Advisory Committee on Business Appointments (Acoba). He insisted he had no involvement 'in any way, at any time, in any capacity' with the missile contract or the company's military work. He noted that despite his title of 'chairman', he had not chaired the board or been a company director, but was 'one of several co-founders'.
However, he apologised for not seeking further advice as Cambridge Aerospace began focusing on defence matters, describing this as 'an oversight for which the excessive speed of events is the only mitigating circumstance'. He added: 'To simplify matters, in view of recent geopolitical events, and a greater-than-anticipated focus on military technology at Cambridge Aerospace, I have agreed to step down.'
Political reaction
Labour MP Phil Brickell, who had previously criticised Acoba's approval of Sir Grant's role, welcomed his resignation but called for tougher sanctions for former ministers who break the rules. He said: 'When ex-Conservative minister Grant Shapps moved from defence secretary to aerospace firms linked to sectors he oversaw, it only reinforced the public perception that ministers can cash in on their contacts and insider knowledge with little scrutiny. It is good that Shapps has finally resigned from the role he should never have taken, but unfortunately the horse has already bolted. Without meaningful sanctions, it risks looking like little more than a rubber stamp.'
Sir Grant declined to answer detailed questions from Sir Laurie, citing 'legal obligations of confidentiality which I cannot unilaterally waive'.
