Navantia has agreed a commercial deal to purchase all four of Harland & Wolff's shipyards, securing 1,000 UK shipbuilding job, including around 500 in Northern Ireland.
1,000 UK jobs will be saved by a commercial deal, expected to be completed shortly, which Navantia UK has agreed with Harland & Wolff to purchase all four of its shipyards, securing the future of shipbuilding in Belfast and Scotland.
The deal will secure the future of Harland & Wolff’s shipyards in Northern Ireland (Belfast), Scotland (Arnish and Methil) and Devon (Appledore), and protect workers’ existing terms and conditions.
It will also ensure the delivery of the Ministry of Defence’s contract with Navantia to build three Royal Navy ships which would transport munitions, spares and supplies to UK aircraft carriers – the Fleet Solid Support (FSS) Programme.
The FSS ships are important for safeguarding the UK’s aircraft carriers’ military capability by delivering vital supplies to the Carrier Strike Group, and this deal will ensure the UK’s shipbuilding capability by retaining jobs and manufacturing in the UK.
The Government has worked closely with Navantia UK and agreed an amendment to the existing FSS Programme contract on commercial terms, which makes the minimum changes necessary to ensure Navantia can still deliver on the contract and build all three Navy ships.
Secretary of State for Northern Ireland Hilary Benn has welcomed Navantia UK’s agreement to purchase all four Harland and Wolff shipyards, including its Belfast facility.
In Belfast, around 500 jobs will be protected by the deal. The deal supports delivery of the UK Government’s Plan for Change, safeguarding national security while raising living standards across the UK with good, skilled, productive jobs which foster economic growth.
The Secretary of State said:
“This investment is great news for Belfast, for the Northern Ireland economy and, above all, for Harland and Wolff’s hugely skilled shipbuilding workforce.
“Harland and Wolff is an iconic, internationally-renowned company with a long and proud history. I am delighted that, with this deal, it will now have a bright future ahead.”
Defence Secretary John Healey said:
“This agreement keeps vital defence manufacturing in the UK and protects skilled jobs at historic shipyards across our nations. It strengthens our sovereign capability to support Royal Navy operations worldwide, while building the industrial partnerships that will drive growth.”
The deal represents a major investment into the UK’s industrial base from Navantia UK and will provide opportunities for future naval work at Harland & Wolff’s shipyards across the country, which could create new jobs and give a boost to the UK’s coastal communities nationwide.