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BAE May Close Govan, Portsmouth Shipyards, Sunday Times Says

BAE Systems Plc may close its Govan, Scotland, and Portsmouth, England, ship-building yards in the U.K. as demand declines, the Sunday Times reported, citing industry executives it didn’t identify.

It is thought that BAE Systems wants to shift its shipyard base to its facility in Scotstoun, a district of Glasgow, the newspaper reported.

The report is “pure speculation,” BAE said today by e-mail. “We continue to work closely with the Ministry of Defence to explore all possible options to determine how best to sustain the capability to deliver complex warships in the U.K. in the future,” the company said. “We are committed to keeping our employees and trade unions informed as this work progresses.”

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