MoD has ‘moved goalposts and put shipyard jobs at risk’
THE UK Government has “moved the goalposts” on shipbuilding contracts – putting the future of the Clyde yards at risk a city MP has warned.
Paul Sweeney, Labour Glasgow North East MP said the “free market dogma” is destroying the industry.
Mr Sweeney said the Ministry of Defence has re-classified which vessels are defined as complex warships meaning more contracts will be put out to international tender.
He said in 2009 the terms of business agreement between the MoD and BAE Systems set out which work was guaranteed to UK shipyards and it included offshore patrol ships.
Now it has emerged that the deal was “extinguished” in 2014 and the UK yards are restricted to building only destroyers, frigates and aircraft carriers.
Mr Sweeney said: “We have been here before, but the Tories have not learned the lessons of the past.
“This is not about taxpayers subsidising a dying industry. British shipbuilding is being stifled by the Tories’ free market dogma.
“Creating a level playing field with other shipyards around the world, that are unconditionally given all naval shipbuilding work by their governments, would give private contractors the confidence to invest their own money in the modernised shipyard infrastructure needed on the Clyde and elsewhere in Britain to maintain the UK’s defence capability for decades to come.”
He said the Fleet Solid Support ships which will be open to international competition could be designated as UK protected builds under international treaties, which he said would secure yards and jobs around the country including on the Clyde.
Mr Sweeney added: “A £1billion programme such as the Fleet Solid Support Ships has the potential to sustain 6,500 British jobs. And wherever these ships were assembled, component blocks could be built by yards around the UK to support jobs across the country.
“The MoD will be commissioning these vessels. That much is certain. But the Tories’ flag-waving rhetoric around Brexit is exposed as truly hollow if they are not prepared to maintain the UK’s ability to defend itself with British-built warships and associated technology.
“We must harness the spending power of the MoD to protect jobs and maintain our naval shipbuilding history. Britain is an island nation; a nation of islanders and shipbuilders, it’s in our DNA.”