Scotland Set to Build Warships for Denmark and Sweden After £10 Billion Norway Deal

Scotland is poised to expand its shipbuilding capabilities by constructing warships for Denmark and Sweden, shortly after securing a significant £10 billion contract with Norway. The UK Government is currently engaged in advanced discussions with these Nordic nations to produce the Type-31 Arrowhead 140 frigates, enhancing Scotland’s position as a key player in naval defense manufacturing.

Babcock, the company involved, plans to build the new vessels at its shipyard in Rosyth, Fife. This facility is already busy with the construction of five Type-26 frigates designed for submarine hunting, which are being produced for Norway at BAE Systems in Govan, Glasgow.

Investment in Shipbuilding Industry

A representative from the Labour Party expressed enthusiasm about this development, stating, “Following the £10 billion deal with Norway, Labour is making good on its promise to sell Scottish shipbuilding to the world. That’s the defence dividend in action that the SNP want to give up.”

Should the agreement with Denmark be finalized, it could see the announcement of three Type-31 vessels within the next month. Meanwhile, a deal with Sweden, which may involve the construction of four ships, is expected to be announced by the end of this year.

Prime Minister Sir Keir Starmer criticized First Minister John Swinney for not publicly commending the Norway contract, which is projected to secure around 2,000 jobs in Scotland over the next decade. During a parliamentary session, Starmer remarked, “I am perplexed that the First Minister has not welcomed this. This is a massive deal for Scotland — it’s 15 years of shipbuilding.”

Swinnery’s response to the contract was brief, noting it as a “welcome investment in the future of Clyde shipbuilding.”

Ongoing Negotiations and Future Prospects

A spokesperson for Babcock confirmed that they are actively pursuing opportunities for the design and construction of frigates for Denmark. “But it’s still very much an active competition which is very important to us and which we are striving to win, so wouldn’t be appropriate to comment further,” the spokesperson added.

The UK Ministry of Defence reaffirmed its commitment to supporting Babcock in negotiations for the export of the Arrowhead 140 design, emphasizing the strategic importance of these agreements for both national security and economic growth.

As Scotland gears up for these potential contracts, the future of its shipbuilding industry appears promising, with significant investments and job security on the horizon.