Payne hints at more defence deals with Britain

Defence Minister Marise Payne has hinted at more defence projects with Britain as she toured the shipyard where Australia's new warships will be built.

Defence Minister Marise Payne with Defence Secretary Gavin Williamson

Marise Payne (C) has visited the shipyard where BAE Systems will build Australian next warships. (AAP)

Australian Defence Minister Marise Payne has indicated future projects with the UK as she visited the British defence giant behind the $35 billion warship deal for the Royal Australian Navy.

Ms Payne toured the BAE Systems shipyard in Glasgow with British Defence Secretary Gavin Williamson.

She saw work on the first of the UK's new anti-submarine warships, a Type 26 frigate, after Canberra announced the 30-year deal for nine ships of the same design last month.

The ships will be built in Australia, securing an expected 4000 jobs but 35 per cent of the supply chain opportunities will be open to overseas firms.

The UK government hopes to capitalise on British firms' existing experience in that area through work with BAE Systems.

Ms Payne said: "It's very special opportunity for me to see the development of your Type 26, which will be our Hunter class.

"It's obviously been a significant decision for Australia but it will deliver for us the capacity the Royal Australian Navy needs in what is a very complex strategic operational environment."

British Defence Secretary Gavin Williamson, right, speaks to Australian Defence Minister Marise Payne
British Defence Secretary Gavin Williamson, right, speaks to Australian Defence Minister Marise Payne, left. Source: AAP

She said the visit enabled her to "consolidate the ability to work together closely decades into the future on this project and many others".

Mr Williamson said the two countries working closely together moving forward would be able to "seize opportunities" to create jobs and prosperity for both nations.

He said in the 12 months since steel was first cut on the first Type 26 frigate HMS Glasgow, STG1 billion ($A1.8 billion) has been invested in the supply chain in more than 80 companies, 64 of which are based in the UK.

More than 80 per cent of the total equipment spend for the Royal Navy's STG3.7 billion deal for the first three of the planned eight frigates has now been committed to the supply chain.

Mr Williamson said: "The Type 26 supply chain has now seen investment worth over STG1 billion and many of the businesses involved are now perfectly placed to benefit from Australia's STG20 billion build."


Share

2 min read

Published

Updated

Source: AAP



Share this with family and friends


Get SBS News daily and direct to your Inbox

Sign up now for the latest news from Australia and around the world direct to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Follow SBS News

Download our apps

Listen to our podcasts

Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS

SBS World News

Take a global view with Australia's most comprehensive world news service

Watch now

Watch the latest news videos from Australia and across the world