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Nuclear Submarines

Nuclear Submarines. Opportunities and Challenges. Nuclear Submarines. The MoD believes that the UK should retain onshore a sovereign capability in the design, construction, operation, maintenance and decommissioning of nuclear-powered submarines.

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Nuclear Submarines

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  1. Nuclear Submarines Opportunities and Challenges

  2. Nuclear Submarines The MoD believes that the UK should retain onshore a sovereign capability in the design, construction, operation, maintenance and decommissioning of nuclear-powered submarines. (Government response to House of Commons Defence Committee’s 4th Report of Session 2006-07) The ability to manage Nuclear Steam Raising Plant throughout its life-cycle, including fuel elements, is a strategic capability that must be retained onshore. (DIS, P71, 2005)

  3. Nuclear Submarines • MoD want Industry to consolidate and invest for the long-term to improve productivity and reduce costs • The UK’s fleet of nuclear-powered submarines requires a specialist sub-set of skills within the maritime industry. (DIS, P71, 2005).

  4. Nuclear Submarines • Built in the North West since 1960s • Two types: • Astute attack submarines (7,200t) • Nuclear deterrent submarine replacements (16,000t) • Builder – BAE Systems Submarines Solutions. • Location – Barrow-in-Furness • Next launch - June 2007

  5. UK’s Nuclear deterrent – Cm 6994 • Nuclear powered submarines carrying ballistic missiles represent, in engineering terms, one of the most complex and technically demanding systems in existence. (P28) • It would be our intention to build new SSBNs (deterrent submarines) in the UK, for reasons of national sovereignty, nuclear regulation, operational effectiveness and safety, and maintenance of key skills. (P28)

  6. Manufacture • BAE builds nuclear submarines, including testing and commissioning of the reactors. • Rolls-Royce (Derby) design and manufacture nuclear submarine propulsion. • These products take 15 -20 years to bring into operation. • There is a significant NW supply base. • Order uncertainty = jobs at risk

  7. Opportunities • 3-4 more Astutes ‘may’ be ordered – subject to quality, delivery and cost of first 3 plus CSR 2007. • Vote on future deterrent submarines allows for limited design work to take place 2007 – 2012. • Circa 2012 the Government will vote on whether to purchase a new class of 3 or 4 deterrent successor submarines - or not! • Detailed design, manufacture and delivery between 2012 and 2027.

  8. More than half the unit cost of a naval vessel lies with firms other than the Shipbuilder. (DIS, P73, 2005). Affordability must be a fundamental consideration in any new submarine programme. (HofC Defence Committee 4th report –2006)

  9. UK’s Nuclear deterrent – Cm 6994 • Our initial estimate is that the procurement costs will be … some £11-14 Bn (at 2006/07 prices) for a four-boat fleet. (P26)

  10. National Audit Office’s Major Projects Report – 2006: ‘an expected total cost of £3,656 million’ for Astute Class submarines 1-3.

  11. Challenges - Skills • Sir Peter Spencer (CDP) acknowledged that retaining the submarine skills base at Barrow was dependent on further orders. (HofC Defence select Committee 1st report – Dec 2006). • The UK submarine industry draws on a uniquely skilled and specialist workforce. (HofC Defence Committee 4th report –2006).

  12. Skills • Rolls-Royce (Derby), which builds the submarines' nuclear reactors, said it was already facing a "significant skills continuity challenge" over the next decade. (HofC Defence select Committee 1st report – Dec 2006). • Many of the high order capabilities are dependent upon the specialist skills and expertise of SMEs. • The capacity and experience within the UK submarine industry is less now than it was in 1980. (UK’s Nuclear deterrent – Cm 6994, P10)

  13. Skills – Shipyard (min. No.s) RAND Europe 2005

  14. Challenges - Suppliers • The submarine construction supply chain is fragile and is particularly susceptible to gaps in the programme. Extended gaps are likely to result in an erosion of the UK's submarine manufacturing and skills base. (HofC Defence select Committee 4th Report – Dec 2006) • When orders are placed Treasury will only sanction one vessel at a time. • Suppliers exiting the market.

  15. Nuclear Submarines • Future orders may strengthen and grow the supply chain workforce – if products are affordable and orders are forthcoming! • BAE and its suppliers could have a very positive impact on the Northwest’s GVA gap. • Servicing both defence and nuclear markets is a key opportunity.

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