Glasgow Shipyard Secures £10 Billion Deal to Build Norwegian Warships

The UK Ministry of Defence has confirmed a significant contract for the construction of warships for Norway’s navy, valued at approximately £10 billion. The deal will see the production of Type 26 frigates at the BAE Systems facility in Govan, Glasgow, where work is already ongoing on eight vessels for the Royal Navy.

This new contract stipulates that a minimum of five frigates will be delivered to Norway, enhancing a combined fleet of 13 UK and Norwegian anti-submarine ships. The initiative is part of a broader strategy to bolster northern Europe’s defenses in response to increasing military activity from Russia.

Strengthening European Security

Prime Minister Sir Keir Starmer discussed the arrangement during a recent call with Norwegian Prime Minister Jonas Gahr Støre. A spokesperson from Downing Street described the announcement as marking an “important and historic moment for European security.” The contract is anticipated to support around 2,000 jobs at BAE Systems over the coming years, with an additional 2,000 jobs expected to be created in the supply chain extending into the latter part of the next decade. It is projected that 103 Scottish businesses will benefit from this venture.

Sir Keir stated, “This £10 billion deal is what our Plan for Change is about – creating jobs, driving growth, and protecting national security for working people.” He emphasized that the government’s efforts have forged new international partnerships to benefit citizens at home. The export of the world-leading Type 26 frigates to Norway is seen as a significant step in reinforcing job security across the United Kingdom, from apprentices to engineers.

Enhancing Defence Cooperation

Defence Secretary John Healey remarked that this deal “deepens our strategic partnership” with Norway. He stated, “With Norway, we will train, operate, deter, and – if necessary – fight together.” Healey underscored that the collaboration would see both nations’ navies working in unison, enhancing their capabilities within NATO.

The deal aims to increase the presence of world-class warships in the North Atlantic, tasked with hunting Russian submarines, safeguarding critical infrastructure, and ensuring security for both nations. Scottish Secretary Ian Murray emphasized the deal’s significance, highlighting it as evidence of the “tremendous success” of Scotland’s shipbuilding industry. He referred to it as another “defence dividend” for the country, showcasing the vital role of local industry in national security initiatives.

As the UK and Norway strengthen their military ties, this deal not only enhances defense capabilities but also promises substantial economic benefits through job creation and local business support, marking a pivotal moment in European defense collaboration.