Shipbuilding: Contracts

(asked on 14th December 2022) - View Source

Question to the Ministry of Defence:

To ask the Secretary of State for Defence, whether the National Shipbuilding Office has made an estimate of the value of Government shipbuilding contracts which have been awarded to overseas firms since that office was set up.


Answered by
Alex Chalk Portrait
Alex Chalk
This question was answered on 19th December 2022

Since the launch of the National Shipbuilding Office in September 2021, the UK Government has announced around £4.34 billion in shipbuilding contracts, with £4.28 billion going to UK companies and £59.3 million going to those based overseas:

Programme

Contract Type

Value

Shipyard

Notes

NavyX, Ministry of Defence

Procurement - off the shelf vessel (international competition)

£7.5 million Overseas £2 million to UK companies for conversion

Awarded to Damen Shipyards (Netherlands) on 10 February 2022

Vessel not included on 30 Year Cross-Government Shipbuilding Pipeline in the National Shipbuilding Strategy Refresh

Queen Elizabeth Class Docking, Ministry of Defence

Support (UK-only competition)

£34 million

Awarded to Babcock (UK) on 15 March 2022

Type 26 Batch 2, Ministry of Defence

Build (single source)

£4.2 billion

Awarded to BAE Systems (UK) on 15 November 2022

Natural Environment Research Council (NERC), Department for Business, Energy and Industrial Strategy

Support (international competition)

£45 million

Awarded to Babcock (UK) on 10 December 2022

Northern Lighthouse Board, General Lighthouse Authority, Department for Transport (DfT)

Build (international competition)

£51.8 million via a DfT loan which will be repaid via Light Dues, with interest and no call on the UK Exchequer

Awarded to Astilleros Gondán S.A (Spain) on 12 December 2022

Includes £2 million of contracts with UK Supply Chain

  1. The table does not include Fleet Solid Ships as the contract has not been awarded, but as previously announced the Preferred Bidder is Team Resolute comprised of Navantia UK, Harland & Wolff and BMT.
  2. The table covers central Government shipbuilding and repair contracts and those of Arms Length Bodies in line with the National Shipbuilding Office’s review, and does not include local council contracts.

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