UK Signs £9 Bln Deal with Rolls-Royce to Support Nuclear Submarines

The UK government announced on Friday that it has signed a £9 billion deal with British company Rolls-Royce to manufacture nuclear reactors for its submarines, further solidifying its commitment to maintaining a "deterrent force" at sea.

This contract, which spans eight years, will ensure continued nuclear power for the UK’s submarine fleet, an essential part of the country’s national defense strategy.

The contract, dubbed "Unit," will create 1,000 new jobs in the UK and safeguard an additional 4,000 positions, according to a government statement.

The UK government has made growth a priority since coming to power in July, although it has faced challenges in delivering on its promises.

The £9 billion agreement will see the design, manufacturing, and support services for nuclear reactors that power British submarines.

Rolls-Royce has committed to strengthening its support for the Royal Navy’s nuclear defense capabilities, ensuring that the UK's deterrent force remains operational.

Steve Carlier, CEO of Rolls-Royce Submarines, commented that the deal affirms commitment to the Royal Navy and the UK’s nuclear defense program.

The company’s involvement underscores the critical role of the UK’s nuclear submarines in safeguarding national and NATO security.

Minister of Defense, John Healey, described the deal as a clear demonstration of the UK’s commitment to nuclear deterrence in an increasingly dangerous world. The UK maintains its nuclear deterrent capability on standby 24/7, 365 days a year, to protect both the UK and its NATO allies.

The contract, valued at £9 billion, is seen as a strategic investment in the country’s defense infrastructure.

Healey is expected to announce the deal during a visit to Rolls-Royce’s nuclear production facility in Derby on Friday, according to German news agency DPA. This deal also comes at a time when the UK is reinforcing its role in European and global defense discussions, as tensions rise internationally.

The agreement has garnered support from the Conservative Party, although they have called on the government to remain on track with its defense spending commitments, aiming to increase defense expenditure to 2.5% of GDP.

The timing of the deal also coincides with upcoming international meetings, including a special EU defense summit scheduled for February 3 in Belgium.

This summit will involve European Union leaders, the UK, and NATO Secretary General Jens Stoltenberg, held just two weeks after the inauguration of US President Donald Trump.