Shipbuilding on the Clyde Debate

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Department: Ministry of Defence

Shipbuilding on the Clyde

Iain Wright Excerpts
Monday 25th April 2016

(8 years ago)

Commons Chamber
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Philip Dunne Portrait Mr Dunne
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My hon. Friend is right to highlight that obfuscation on the part of the official Opposition. I draw to his attention the backlog of work ahead of shipbuilders in this country as a result of our equipment plan and our commitment to build the eight Type 26 vessels. No warship yard in Europe has the prospect of eight warships to look forward to. From that perspective, those working in those yards in Scotland can take considerable heart from the fact that they are working in our yards, rather than those elsewhere in Europe.

Iain Wright Portrait Mr Iain Wright (Hartlepool) (Lab)
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The Secretary of State for Defence has stated in the past that UK warships are only built in UK yards, but what percentage of the total contract value will flow to British companies, and what specific work will be given to the British steel industry from those contracts, with regard to not only the value of the orders in the supply chain, but the swift timetabling for the awarding of contracts, to help the beleaguered British steel industry now?

Philip Dunne Portrait Mr Dunne
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That is a good question, and I wish that I were in a position to give the hon. Gentleman a full answer. What I will say is that the vast majority of the contracts that have been placed thus far have gone to UK contractors. In relation to the systems and long-lead items that have been placed thus far, the contracts have gone primarily to BAE Systems and Rolls-Royce; in relation to the gearboxes, they have gone to David Brown. As far as the steel content is concerned—I know this is a matter of great interest to the hon. Gentleman—I have made it very clear previously in the House that UK steel mills will have the opportunity to bid for steel tenders that are put out by the prime contractor over the course of this programme. It will be up to the British steel industry to see whether it is in a position to match those orders for the specification and the timelines required.