UK-Norway Defence Agreement: Impact in Scotland

Baroness Curran Excerpts

Wednesday 5th November 2025 Lords Chamber

Asked by

[Baroness Curran]

To ask His Majesty’s Government what assessment they have made of the economic and industrial impact in Scotland of the United Kingdom’s recent defence agreement with Norway, and what discussions they have had with the Scottish Government to ensure Scotland maximises the benefits of this partnership.

[Lord in Waiting/Government Whip (Lord Lemos) (Lab)]

My Lords, I am sure the whole House will welcome the Type 26 frigate Norway deal announced at the end of September. This is the UK’s largest warship export agreement by value. BAE Systems’ Govan and Scotstoun shipyards will construct the vessels, supporting thousands of jobs, hundreds of supporters and tens of small and medium-sized enterprises across the union. The deal reinforces Scotland’s proud history of military shipbuilding and demonstrates its value right at the heart of UK defence.

[Baroness Curran (Lab)]

I thank my noble friend for that reply. Does he recognise that this £10 billion deal secures the future of shipbuilding on the Clyde for years to come and is surely a vote of confidence in the UK Labour Government? However, is he aware that this is in stark contrast to the SNP Government? Trade bodies warn that Scotland could lose a generation of skilled workers, and apprenticeship funding has fallen by more than 30% in real terms. Can he urge the Scottish Government to follow the lead of the UK Labour Government and prioritise the actual delivery of investment, jobs and skills?

[Lord Lemos (Lab)]

I agree with my noble friend that this deal provides long-term security for shipbuilding in Scotland, and I am proud of the role that our Government have played in helping to secure that. The Type 26 programme is vital to the national security of the UK as well as to the UK and Scottish economy, and to our allies. As such, it draws on a wider supply chain from across Scotland, including the excellent work carried out in the Ferguson shipyard. I agree with my noble friend that investment in apprenticeships and skills development is crucial. As for the SNP, they do not know what they are missing by not being in your Lordships’ House.