U.K. to Upgrade BAE Yard for Next Nuclear Submarines

(Corrects first and fourth paragraphs to show one 300-million-pound investment, not two.)

The British government and BAE Systems Plc (BA/) will spend 300 million pounds ($500 million) on expanding a boatyard for construction of submarines to carry nuclear weapons.

The yard in Barrow-in-Furness, northwest England, has been building submarines for more than a century and will be upgraded over eight years, Defence Secretary Philip Hammond said today.

“The next generation nuclear-deterrent submarines that will be built in Barrow will be the largest and most advanced submarines ever operated by the Royal Navy,” Hammond said in a statement, adding that 6,000 jobs will be safeguarded and thousands more created in the construction industry.

BAE said the project entails extension of the Devonshire Dock Hall construction facility, two new buildings, refurbishment of existing buildings and a 28,000 square meter storage site.

“Redevelopment of the site is fundamental to the future of our business and will ensure we stay at the forefront of submarine design,” Tony Johns, managing director of BAE Systems Maritime, Submarines, said in an e-mail.

BAE has also been awarded a 23 million-pound contract to provide support, maintenance and technical assistance to the Royal Navy’s Astute class attack submarine, whose role includes tracking enemy vessels themselves carrying nuclear weapons.

To contact the reporter on this story: Thomas Penny in London at tpenny@bloomberg.net

To contact the editors responsible for this story: Alan Crawford at acrawford6@bloomberg.net Christopher Jasper, Eddie Buckle

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.