MoD denies shortage of cash delayed ships

The Ministry of Defence has denied that a shortage of money is behind delays in the construction of eight Type 26 frigates for the Royal Navy.

Former first sea lord AdmiralLordWest lastmonth told the House of Commons Defence Committee that cutting steel on the newships on the Clyde had been put back from 2016 because “there’s almost no money available this year, and we are really strapped next year”.

But the MoD’s chief executive for equipmentTony Douglas told the committee yesterday no start date had yet been set because design of the warships was only 60% complete.

And defence minister Harriett Baldwin denied that suppliers involved in the £8billion programme hadbeen told to “mothball” their contributions for up to three years.

Defence committee chairman Julian Lewis warned that delays in getting the state- of- the- art warships into service could end up costing money, as the operating life of the Type 23 craft they are replacing may have to be extended.

“It’s hardly best value to penny-pinch now and then end up spending something like 50-60% more on the project later, as happened with the aircraft carriers,” said Dr Lewis.

Experts had told the committee that there was a shor t f a l l o f around £750million in the sums needed to press ahead with construction, he said, adding: “We believe that if the money was there, this programme could very soon.”

ButMrDouglassaid cash was not the issue, as the MoD was still negotiating with BAE Systems over the final design of the ship’s communications systems and computer networks.

Some £1.8billion had already been committed to long lead-time elements of the project, he said.

“If you were building an extension on your house, you wouldn’t get it priced if it was only 60% designed,” he said. “We are in a good place, but with 60% design fixity, this is about driving it to closure, whichis theroad we are on.” start

The Type 26 frigate has been delayed