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MPs expect defence contract news Minister confirms carrier orders
(about 4 hours later)
MPs have been put on standby to expect a "major defence statement" in the House of Commons. Defence Secretary Des Browne has confirmed orders for two new aircraft carriers for the Royal Navy.
The expected announcement has prompted speculation that the UK Government will confirm orders for two new aircraft carriers. The contract has been described as a "major project for the future of the shipbuilding industry", by Prime Minister Gordon Brown.
The move is likely to safeguard thousands of jobs at the shipyards on the Clyde and at the Rosyth Naval Base. Speaking earlier in the Commons, he said he hoped MPs would be "pleased" with the announcement.
Labour MPs were told by Prime Minister Gordon Brown two days ago to expect the statement on defence matters. The move will safeguard thousands of jobs at the shipyards on the River Clyde and at the Rosyth Naval Base.
If the two new Ministry of Defence aircraft carrier contracts go ahead then the work will be share among a number of companies, including BAE System's Govan and Scotstoun yards. The work will be shared among a number of companies, including BAE Systems' Govan and Scotstoun yards.
Between them, the two yards employ 3,000 people.Between them, the two yards employ 3,000 people.
It is expected that the ships would be built in sections and then assembled at Rosyth. It is expected that the Royal Navy ships will be built in sections and then assembled at Rosyth.
It has been suggested that the contract may clear the way for BAE Systems and the VT Group to complete the merger of their shipbuilding assets.
That would lead to the creation of a company with dockyards in Portsmouth and on the Clyde.