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UK secures £9bln deal with Rolls-Royce for nuclear submarine fleet

  • By Al Mayadeen English
  • Source: Agencies
  • 24 Jan 2025 10:13
2 Min Read

The multi-year contract with the UK-based engine manufacturer is projected to create over 1,000 new jobs and secure 4,000 existing positions.

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  • UK secures £9 bn deal with Rolls-Royce for nuclear submarine fleet
    In this May 2, 2011, file photo, a Rolls-Royce logo is displayed at the Rolls-Royce Crosspointe manufacturing and research facility in Prince George, VA. (AP)

The British government announced on Friday a £9 billion ($11 billion) agreement with Rolls-Royce to support the Royal Navy’s nuclear submarine fleet.

The multi-year contract with the UK-based engine manufacturer is projected to create over 1,000 new jobs and secure 4,000 existing positions, according to a joint statement from the Labour-led administration under Prime Minister Keir Starmer.

Labour, which returned to power in July, has prioritized economic growth but has yet to fully deliver on its promises.

"This investment in Britain's defense will deliver a long-term boost to British business, jobs and national security," Defense Secretary John Healey said ahead of his visit to Rolls-Royce’s nuclear reactor production facility in Derby, central England.

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Rolls-Royce eyeing UK approval for mini nuclear reactor by mid-2024

"We are showing defense can be an engine for growth, while also driving better value for taxpayer money."

Healey asserted that "national security is a foundation of our government's plan for change, and this is a clear demonstration of our commitment to the UK's nuclear deterrent, which is our ultimate insurance policy in a more dangerous world."

The British government highlighted that the deal would generate over £400 million in taxpayer savings, delivering enhanced value for public funds.

Steve Carlier, President of Rolls-Royce Submarines, welcomed the eight-year agreement, stating it would allow the company "to invest in the right skills, equipment and facilities to play our part in protecting UK interests at home and overseas."

The announcement follows October’s agreement between Britain and Germany—Europe’s largest defense spenders—that will see German submarine-hunting aircraft operating from the UK, marking a "milestone" agreement.

Read more: UK firm Gama Aviation aided RAF spy flights over Gaza: Declassified UK

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  • Britain
  • UK
  • United Kingdom

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