Question to the Ministry of Defence:
To ask His Majesty's Government what assessment they have made of the ability of Damen to deliver as a subcontractor under the Defence Marine Services Next Generation Contracts following Damen's receipt of an emergency loan from the Dutch Government.
The Defence Marine Services Next Generation procurement was carried out in accordance with the Defence and Security Public Contracts Regulations 2011 (DSPCR), under which Serco, as prime contractor, was free to select its own supply chain. The Procurement Act, which came into force in February 2025, offers greater flexibility to prioritise British companies in strategically important areas.
The Ministry Of Defence (MOD) is aware of ongoing legal proceedings against Damen in the Netherlands, it continues to monitor proceedings and will take appropriate action should a conviction occur.
The MOD is aware of the loan provided by the Dutch Government to Damen. Serco, as prime contractor, has undertaken its own analysis of Damen’s financial position and has advised that there is no immediate risk to delivery of the Vessel Replacement Programme. Both the MOD and Serco will continue to monitor the situation as part of routine contract management.