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Royal Navy warships 'kept beyond sell-by date' Royal Navy warships 'kept beyond sell-by date'
(35 minutes later)
Royal Navy ships are being kept in service "well beyond their sell-by-date", an independent report has said.Royal Navy ships are being kept in service "well beyond their sell-by-date", an independent report has said.
Sir John Parker said new ships were also being ordered too late, creating a "vicious cycle" which was depleting the fleet and wasting taxpayers' money.Sir John Parker said new ships were also being ordered too late, creating a "vicious cycle" which was depleting the fleet and wasting taxpayers' money.
He said Navy contracts should be shared among companies across the UK to cut build time and spread prosperity.He said Navy contracts should be shared among companies across the UK to cut build time and spread prosperity.
Defence Secretary Sir Michael Fallon said the approach had been a success in building new aircraft carriers.Defence Secretary Sir Michael Fallon said the approach had been a success in building new aircraft carriers.
Sir John, chairman of mining giant Anglo American, was tasked with examining how the British naval shipbuilding industry could be kept sustainable while increasing exports. Sir John's warnings echo those of the Commons defence select committee last week, which warned that Britain's defences were at risk amid uncertainty over plans to replace the "woefully low" number of warships.
What could this mean for jobs on the Clyde?What could this mean for jobs on the Clyde?
His report calls for a "sea change", with "pace and grip" from the government so that shipyards across the UK can win work and create jobs. Sir John, chairman of mining giant Anglo American, was tasked with examining how the British naval shipbuilding industry could be kept sustainable while increasing exports.
He said there had been a renaissance in shipbuilding in regional commercial yards which the Ministry of Defence should utilise. His report calls for "pace and grip" from the government to capitalise on what he called a renaissance in shipbuilding in regional commercial yards.
Distributing work on new vessels to several locations would reduce the "cycle time of actual construction" which was a "very important part of competitiveness".
Sir John, a former chairman of Belfast-based Harland and Wolff shipbuilding group, found that BAE's UK monopoly on building naval warship for the MoD had led to "gaps in the industrial programmes" at the shipyard which led to inefficiencies and added costs.
He said the government should look to "harness the economies available within the wider UK shipbuilding supply chain to seek improved value for money".
Earlier this month, the defence secretary announced that eight larger Type 26 frigates would be built by BAE on Clydeside from next summer.Earlier this month, the defence secretary announced that eight larger Type 26 frigates would be built by BAE on Clydeside from next summer.
But he has not confirmed whether eight smaller, general purpose Type 31 frigates will be built there.But he has not confirmed whether eight smaller, general purpose Type 31 frigates will be built there.
Sir John said his report recognised the engineering and technical skills that reside in BAE and has recommended that the Type 26 frigate be placed there. Sir John told the BBC earlier the Type 31 should be "built in the most competitive way".
However, he told BBC Radio 4's Today programme: "On the Type 31, the new frigate, we want to see that built in the most competitive way, and I think our investigation shows that probably the lowest cost and the fastest time of build can be done by building it in a distributed way across the country and also, of course, distribute prosperity and highly skilled jobs." "I think our investigation shows that probably the lowest cost and the fastest time of build can be done by building it in a distributed way across the country and also, of course, distribute prosperity and highly skilled jobs."
'Working together' 'Worrying delays'
Sir John, a former chairman of Belfast-based Harland and Wolff shipbuilding group, said distributing work to several locations reduces the "cycle time of actual construction" which was a "very important part of competitiveness". In the report, he recommended the government set out a masterplan for naval shipbuilding which should include a set budget for each new series of ships.
Ahead of the publication of his report later on Tuesday, the defence secretary said Sir John had provided a "fundamental reappraisal of how we undertake shipbuilding in the UK". He also said there had been limited national effort placed on exporting ships and designs were not tested for a foreign market.
He said: "Taking lessons from our world-class automotive industry and other sectors, it sets the foundations for an innovative and competitive sector capable of meeting the country's future defence and security needs." New Type 31 frigates should have a modern standard design which could be customised to suit both the Royal Navy and the export market, he recommended.
BAE's modular construction of sections for the UK's two new aircraft carriers "demonstrated the success of such an approach, with multiple shipyards and hundreds of companies across UK working together", the defence secretary continued. Ahead of the publication of his report, the defence secretary said Sir John had provided a "fundamental reappraisal of how we undertake shipbuilding in the UK".
And he said that while there was already a "vibrant" shipbuilding sector in Scotland, there were significant export opportunities ripe for exploitation, especially after Brexit. He said that while there was already a "vibrant" shipbuilding sector in Scotland, there were significant export opportunities ripe for exploitation, especially after Brexit.
Last week a report from the defence select committee warned that Britain's defences were at risk amid uncertainty over plans to replace the "woefully low" number of Royal Navy warships.
The Royal Navy currently has 19 frigates and destroyers but the MPs said that number could fall unless a clear timetable is set out for replacing older vessels.The Royal Navy currently has 19 frigates and destroyers but the MPs said that number could fall unless a clear timetable is set out for replacing older vessels.
SNP defence spokesman Brendan O'Hara said the UK government must now end "unnecessary and worrying delays" in bringing forward a national shipbuilding strategy.
The government will publish its formal response to Sir John's report in the spring.The government will publish its formal response to Sir John's report in the spring.