Source · Select Committees · Scottish Affairs Committee
Fourth Report - Defence in Scotland: military shipbuilding
Scottish Affairs Committee
HC 1096
Published 27 January 2023
Recommendations
3
Accepted
Para 19
In its response to this report, the UK Government should set out what work it...
Recommendation
In its response to this report, the UK Government should set out what work it did, in preparing the National Shipbuilding Strategy Refresh, to estimate and measure the benefits of procuring ships domestically for the Scottish economy and the wider …
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Government Response Summary
The Government stated they seek to account for the wider benefits from shipbuilding procurement programmes through the application of the Social Value model. The National Shipbuilding Office (NSO) and the MOD have undertaken a series of regional assessments to better understand the economic footprint of the UK shipbuilding industry.
Scotland Office
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5
Not Addressed
Para 25
The UK Government should set out its reasoning for selecting Team Resolute as the preferred...
Recommendation
The UK Government should set out its reasoning for selecting Team Resolute as the preferred bidder for building the new order of Fleet Solid Support ships. Specifically, it should confirm whether the bid from Team Resolute offered the lowest price …
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Government Response Summary
The government stated that the decision to award the Fleet Solid Support ship contract to Team Resolute did not prioritise short-term savings, that Scottish shipyards are building Type 26 and Type 31 frigates, and that both Harland & Wolff and BMT have sites in Northern Ireland, Scotland and England. It does not confirm whether Team Resolute offered the lowest price, citing commercial interests.
Scotland Office
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11
Accepted
Para 38
The UK Government should carry out and lay before Parliament a formal evaluation of the...
Recommendation
The UK Government should carry out and lay before Parliament a formal evaluation of the contribution of the National Shipbuilding Office after two years, and again after five and ten years, to assess whether it has succeeded in driving better …
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Government Response Summary
The NSO is gathering the required data to monitor and assure the delivery of the Refresh and is suitably empowered to provide strategic oversight of all Government activity across the shipbuilding enterprise and is committed to demonstrating accountability and value publicly where possible.
Scotland Office
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13
Accepted
To enhance its relationships with the Scottish shipbuilding sector, the National Shipbuilding Office should, by...
Recommendation
To enhance its relationships with the Scottish shipbuilding sector, the National Shipbuilding Office should, by the end of 2023, establish a permanent staff presence in its Edinburgh hub, as the MoD and NSO have indicated. (Paragraph 40) The shipbuilding pipeline
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Government Response Summary
The Department stated that they have already signed a lease for a base in Queen Elizabeth House in Edinburgh, which will be used by the NSO to host its staff and support visits. The NSO is advertising jobs based in Edinburgh.
Scotland Office
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15
Acknowledged
Para 52
The UK Government should provide greater clarity about the work that will fill the whole...
Recommendation
The UK Government should provide greater clarity about the work that will fill the whole of the 30-year shipbuilding pipeline into the 2030s and 2040s. It is of course difficult to calculate precise military needs beyond 2050. However, the UK …
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Government Response Summary
The MOD recognises the importance of maintaining a regular drumbeat of orders and refers to the NSbS and the 30-year Shipbuilding Pipeline. However, the details of shipbuilding programmes in the later decades will come with time.
Scotland Office
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19
Acknowledged
Para 59
Given the ongoing global uncertainties we ask the UK Government to provide annual updates on...
Recommendation
Given the ongoing global uncertainties we ask the UK Government to provide annual updates on the construction of the Type 26 vessels to both Houses of Parliament. We note that the Defence Select Committee has made a similar recommendation, but …
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Government Response Summary
The MOD welcomes the committee’s interest in the construction of Type 26 and will consider its request when providing updates to Parliament on key Defence programmes.
Scotland Office
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21
Acknowledged
In its response, the UK Government should set out how much capacity it expects to...
Recommendation
In its response, the UK Government should set out how much capacity it expects to now be available in the Scottish warship industry in each of the years between 2025– 2032 as a result of the decision to select Team …
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Government Response Summary
The Fleet Solid Support contract will still provide opportunities for Scotland in Harland and Wolff’s Methil and Arnish sites, stating there will be ample opportunity for Scottish naval shipyards to fill their order books over the next decade. The NSO recognises that key to delivering this Government’s vision for UK shipbuilding is to better understand the opportunities and pressures across the sector.
Scotland Office
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23
Accepted
Para 70
The Ministry of Defence should, in line with its commitments in the National Shipbuilding Strategy...
Recommendation
The Ministry of Defence should, in line with its commitments in the National Shipbuilding Strategy and the UK Government’s commitments in Maritime 2050, work specifically to develop shipbuilding clusters in Scotland. In responding to this report, the UK Government should …
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Government Response Summary
The MOD referenced its SME Action Plan and engagement with the Scottish Supplier Development Programme as actions already in place to support shipbuilding clusters and address barriers to Scottish SMEs.
Scotland Office
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24
Accepted
Para 71
The Ministry of Defence should report back to us at the end of the financial...
Recommendation
The Ministry of Defence should report back to us at the end of the financial year to confirm whether it met its target of spending 25 per cent of its procurement spend with SMEs. In addition, it should provide an …
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Government Response Summary
The MOD stated that they had a target of 25% SME procurement spend by the end of 2022, with Scottish SMEs playing a significant role, and that figures are being gathered and will be published. They also stated that regional statistics for FY21/22 have been published and confirm £67M went directly to Scottish SMEs, representing 7% of direct SME spend.
Scotland Office
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26
Accepted
Para 75
The MOD should set out how it evaluates social value in competitions, how it measures...
Recommendation
The MOD should set out how it evaluates social value in competitions, how it measures the delivery of social value in the contracts it negotiates, and how it holds contractors accountable to ensure they meet those targets. It should also, …
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Government Response Summary
The MOD uses the Cabinet Office Social Value Model, measures delivery through standard reporting metrics, contract-specific metrics, and a Social Value Key Performance Indicator, and manages performance through reporting obligations, performance management terms, and a formal framework for managing relationships with its largest suppliers.
Scotland Office
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28
Rejected
Para 79
The Ministry of Defence should publish data on the composition of shipbuilding supply chains, to...
Recommendation
The Ministry of Defence should publish data on the composition of shipbuilding supply chains, to assist understanding of how the UK shipbuilding industry is structured. This should include regional breakdowns so that the extent of local supply chains and industry …
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Government Response Summary
The MOD did not commit to publishing data on the composition of shipbuilding supply chains and instead outlined existing initiatives to understand and improve supply chain resilience.
Scotland Office
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30
Accepted
Building on the work of the UK Shipbuilding Skills Taskforce, the Ministry of Defence should...
Recommendation
Building on the work of the UK Shipbuilding Skills Taskforce, the Ministry of Defence should commission regular research to develop and keep up to date its understanding of the current and future skills profile of the shipbuilding workforce, and the …
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Government Response Summary
The government states that the UK Shipbuilding Skills Taskforce (UKSST) is already addressing this challenge and includes representatives from Skills Development Scotland and Scottish industry.
Scotland Office
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32
Accepted in Part
Para 94
We invite the UK Shipbuilding Taskforce, together with UK Government Ministers, to give oral evidence...
Recommendation
We invite the UK Shipbuilding Taskforce, together with UK Government Ministers, to give oral evidence to the Committee when the UKSST’s report is published in autumn 2023, so that its findings can be discussed further and priorities identified to ensure …
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Government Response Summary
The Chair of the UKSST, with support from Government, would be pleased to meet with the Committee following publication of its report.
Scotland Office
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34
Acknowledged
Para 96
The UK Shipbuilding Skills Taskforce’s report should identify the skills demands of the warship industry...
Recommendation
The UK Shipbuilding Skills Taskforce’s report should identify the skills demands of the warship industry specifically, as well as steps that can be taken to meet those needs.
Government Response Summary
The UKSST will consider the skills requirements and know-how for the entirety of the shipbuilding enterprise, including the warship, commercial, workboat and leisure market sectors, both in the short and long term. The UKSST will also consider the impact of technological innovation on these sectors.
Scotland Office
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36
Acknowledged
The UK Shipbuilding Skills Taskforce should have a specific objective to encourage coordination between different...
Recommendation
The UK Shipbuilding Skills Taskforce should have a specific objective to encourage coordination between different jurisdictions in the UK, so that a common effort can be made towards supporting shipbuilding in Scotland and other parts of the UK. (Paragraph 98) …
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Government Response Summary
The UKSST, NSO and DfE welcome the signal to work collaboratively to meet skills needs, recognizing skills is a devolved issue. The UKSST is committed to ensuring its recommendations work for all UK nations and has worked with Devolved Administrations.
Scotland Office
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38
Accepted
The UK Government should carry out and lay before Parliament a formal evaluation of the...
Recommendation
The UK Government should carry out and lay before Parliament a formal evaluation of the contribution of the National Shipbuilding Office after two years, and again after five and ten years, to assess whether it has succeeded in driving better …
Read more
Government Response Summary
The government states that the NSO is gathering the required data to monitor and assure the delivery of the Refresh, and reports to the Secretary of State for Defence who has the ability to hold other Ministers to account. They believe the NSO is suitably empowered to provide strategic oversight and is committed to demonstrating accountability and value publicly, including the publication of the NSO Corporate Plan (2022–25).
Scotland Office
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40
Accepted
To enhance its relationships with the Scottish shipbuilding sector, the National Shipbuilding Office should, by...
Recommendation
To enhance its relationships with the Scottish shipbuilding sector, the National Shipbuilding Office should, by the end of 2023, establish a permanent staff presence in its Edinburgh hub, as the MOD and NSO have indicated. Defence in Scotland: military shipbuilding …
Read more
Government Response Summary
The NSO has signed a lease for a base in Queen Elizabeth House in Edinburgh to host its staff and support engagement. The NSO advertises all its job vacancies to be based from either its Edinburgh or London offices.
Scotland Office
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49
Acknowledged
In its December 2021 report “We’re going to need a bigger Navy”, the Defence Select...
Recommendation
In its December 2021 report “We’re going to need a bigger Navy”, the Defence Select Committee recommended that the Ministry of Defence provide Parliament with an annual shipbuilding plan, including the number of ships planned to enter and leave service …
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Government Response Summary
The MOD acknowledges the committee's interest in the construction of Type 26 and will consider the request when providing updates to Parliament on key Defence programs.
Scotland Office
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52
Acknowledged
The UK Government should provide greater clarity about the work that will fill the whole...
Recommendation
The UK Government should provide greater clarity about the work that will fill the whole of the 30-year shipbuilding pipeline into the 2030s and 2040s. It is of course difficult to calculate precise military needs beyond 2050. However, the UK …
Read more
Government Response Summary
The MOD recognizes the importance of maintaining a regular drumbeat of orders across the Shipbuilding industry and aims to provide a more sustainable demand signal from Government as a whole through the 30-year cross-Government Shipbuilding Pipeline of over 150 new vessels.
Scotland Office
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54
Accepted
In its response to this report, and in its annual shipbuilding update to the Defence...
Recommendation
In its response to this report, and in its annual shipbuilding update to the Defence Select Committee, the UK Government should provide an update on the current status of the military shipbuilding pipeline for Scottish naval yards. In particular, it …
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Government Response Summary
The government confirms the Royal Navy intends to procure more frigates and destroyers, states the T32 program is in the concept phase, and the suspension of the National Flagship has not created a gap in the pipeline as the MROS ships are being brought forward.
Scotland Office
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59
Rejected
Given the ongoing global uncertainties we ask the UK Government to provide annual updates on...
Recommendation
Given the ongoing global uncertainties we ask the UK Government to provide annual updates on the construction of the Type 26 vessels to both Houses of Parliament. We note that the Defence Select Committee has made a similar recommendation, but …
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Government Response Summary
The MOD does not disclose details of losing bids in commercial competitions and states that the FSS contract award resulted from a fair and open competition, supporting the objectives of the National Shipbuilding Strategy.
Scotland Office
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63
Acknowledged
In its response, the UK Government should set out how much capacity it expects to...
Recommendation
In its response, the UK Government should set out how much capacity it expects to now be available in the Scottish warship industry in each of the years between 2025– 2032 as a result of the decision to select Team …
Read more
Government Response Summary
The government states that the Fleet Solid Support contract will still provide opportunities for Scotland, and Scottish shipyards will have ample opportunity to fill their order books over the next decade, the NSO recognises that key to delivering this Government’s vision for UK shipbuilding is to better understand the opportunities and pressures across the sector.
Scotland Office
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70
Accepted in Part
The Ministry of Defence should, in line with its commitments in the National Shipbuilding Strategy...
Recommendation
The Ministry of Defence should, in line with its commitments in the National Shipbuilding Strategy and the UK Government’s commitments in Maritime 2050, work specifically to develop shipbuilding clusters in Scotland. In responding to this report, the UK Government should …
Read more
Government Response Summary
The MOD refers to its existing SME Action Plan and digital outreach to support SMEs, and mentions the Department for Transport's lead role in the Regional Maritime Cluster Development Programme.
Scotland Office
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71
Accepted in Part
The Ministry of Defence should report back to us at the end of the financial...
Recommendation
The Ministry of Defence should report back to us at the end of the financial year to confirm whether it met its target of spending 25 per cent of its procurement spend with SMEs. In addition, it should provide an …
Read more
Government Response Summary
The MOD is gathering figures for Financial Year 2021/22, and will publish on Gov.uk in as part of the annual data on central government SME spend; regional statistics have recently been published that confirm that £67M went directly to Scottish SMEs in that year, representing 7% of our total direct SME spend. They state that direct spend only accounts for a small proportion of their overall spend with SMEs.
Scotland Office
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75
Accepted
The MOD should set out how it evaluates social value in competitions, how it measures...
Recommendation
The MOD should set out how it evaluates social value in competitions, how it measures the delivery of social value in the contracts it negotiates, and how it holds contractors accountable to ensure they meet those targets. It should also, …
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Government Response Summary
The MOD uses the Cabinet Office Social Value Model as the framework, measures social value delivery using standard metrics, contract-specific metrics, and a Social Value Key Performance Indicator, and manages performance like any other contractual obligation with appropriate reporting and performance management terms.
Scotland Office
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79
Accepted
The Ministry of Defence should publish data on the composition of shipbuilding supply chains, to...
Recommendation
The Ministry of Defence should publish data on the composition of shipbuilding supply chains, to assist understanding of how the UK shipbuilding industry is structured. This should include regional breakdowns so that the extent of local supply chains and industry …
Read more
Government Response Summary
The MOD states it already has initiatives to improve understanding of supply chains, including a Supply Chain Resilience Programme and a new Defence Condition (DEFCON) requiring supply chain maps.
Scotland Office
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88
Accepted
Building on the work of the UK Shipbuilding Skills Taskforce, the Ministry of Defence should...
Recommendation
Building on the work of the UK Shipbuilding Skills Taskforce, the Ministry of Defence should commission regular research to develop and keep up to date its understanding of the current and future skills profile of the shipbuilding workforce, and the …
Read more
Government Response Summary
The UK Shipbuilding Skills Taskforce (UKSST) is collaborating across Government, the Devolved Administrations, industry and training providers to develop and implement a future-focussed skills strategy and intends to publish a report of recommended actions in autumn 2023.
Scotland Office
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98
Acknowledged
The UK Shipbuilding Skills Taskforce should have a specific objective to encourage coordination between different...
Recommendation
The UK Shipbuilding Skills Taskforce should have a specific objective to encourage coordination between different jurisdictions in the UK, so that a common effort can be made towards supporting shipbuilding in Scotland and other parts of the UK. Defence in …
Read more
Government Response Summary
The UKSST, NSO and DfE welcome the signal to work collaboratively and are committed to ensuring its recommendations work for all UK nations, with the NSO providing transparency on future orders and a stable baseline of work through the 30 Year Cross-Government Shipbuilding Pipeline.
Scotland Office
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Conclusions (70)
1
Conclusion
Rejected
Para 17
The UK Government’s approach to procuring warships has shifted in recent years, and it is no longer the default position that warships will be designed and built fully in the UK, which was of concern to some in the Scottish military shipbuilding sector.
Government Response Summary
The MOD disagrees that its approach has shifted away from designing and building warships fully in the UK. They state the DSIS provides flexibility and considers long-term industrial impact, and the Shipbuilding Tsar will maximize UK content where possible.
2
Conclusion
Accepted
Para 18
If bids from Scottish yards are to be fairly compared with those of their international competitors, this process should be based on a full analysis of their respective benefits, including the benefits to the local economy and in additional tax revenue collected in the UK. However, it is not clear …
Government Response Summary
The Government seeks to account for the wider benefits from shipbuilding procurement programmes through the application of the Social Value model and regional assessments. The NSO also works with MOD procurement teams to ensure economic benefits are considered.
4
Conclusion
Accepted
Para 24
The decision to award the Fleet Solid Support (FSS) ships to the international consortium Team Resolute is an example of a shift in the UK Government’s approach to warship procurement. We note that the UK Government chose the Team Resolute bid over a Team UK bid that would reportedly have …
Government Response Summary
The MOD states that the decision to award the Fleet Solid Support ship contract to Team Resolute did not prioritise short-term savings and that the decision was the result of a fair and open competition, supporting the objectives of the National Shipbuilding Strategy.
6
Conclusion
Rejected
Para 26
The Secretary of State told us that Team UK’s bid for the Fleet Solid Support contract was “non-compliant” with the terms of the competition but did not give further details. We would welcome further information to help understand the Government’s reasoning.
Government Response Summary
The MOD declined to provide further details on why Team UK's bid was non-compliant, citing commercial interests of the bidders.
7
Conclusion
Acknowledged
In its response to this report, the UK Government should confirm on what date it determined that Team UK’s bid for the Fleet Solid Support ships contract was non- compliant with the terms of the competition, what work was done to resolve the compliance issues identified, and on what date …
Government Response Summary
The government stated that bidders were fully aware of the evaluation criteria and that Team Resolute was informed of the decision on 10 November 2022, formally appointed on 15 November 2022.
8
Conclusion
Acknowledged
Para 31
The export of the Type 26 and Type 31 design licences is a great success story for the Scottish shipbuilding industry, and we are confident that further exports will follow. At the same time, export opportunities cannot be depended upon to provide consistent work for the Scottish military shipbuilding industry …
Government Response Summary
The MOD notes the success of exporting the Global Combat Ship, estimating it will create/sustain 5,000 export-led jobs and enable £6bn in potential export contracts. They state the NSbS Refresh recognizes the role of exports in growing the shipbuilding enterprise.
9
Conclusion
Acknowledged
Para 32
The role of exports of military ships/design licences in the National Shipbuilding Strategy should be to supplement, and not to replace, domestic demand. The UK Government should be prepared to use shipbuilding contracts strategically to sustain shipbuilding capacity in Scotland in circumstances where the export environment is more challenging than …
Government Response Summary
The MOD noted the success of exports, estimating they will create or sustain 5,000 export-led jobs in the UK and will enable c.£6 billion of potential export contracts to flow to UK suppliers. The NSbS Refresh recognizes the role that exports have in growing the overall shipbuilding enterprise and bolstering domestic demand.
10
Conclusion
Acknowledged
Para 37
The creation of the National Shipbuilding Office is a welcome development that can bring greater coherence to shipbuilding planning. At the same time, we note that the NSO does not have formal powers and will therefore rely on its ability to manage and influence stakeholders.
Government Response Summary
The NSO is a strategic organization that oversees all of the Government’s shipbuilding interests. The NSO reports to the Secretary of State for Defence, who in his role as Shipbuilding Tsar has the ability to hold other Ministers to account in support of the delivery of the NSbS.
12
Conclusion
Acknowledged
Para 39
The establishment of a National Shipbuilding Office hub in Edinburgh provides a welcome link to Scottish shipbuilders.
Government Response Summary
The Department is pleased that the committee recognizes the importance of the NSO’s physical presence in Scotland and has signed a lease for a base in Queen Elizabeth House in Edinburgh.
14
Conclusion
Acknowledged
Para 51
We wish to underline the importance to Scottish shipyards of maintaining a dependable ‘drumbeat’ of orders to allow them to invest and grow. The days of ‘feast and famine’ must not return. The creation of the National Shipbuilding Strategy suggests that the UK Government appreciates the importance of this point. …
Government Response Summary
The MOD recognizes the importance of maintaining a regular drumbeat of orders and the NSbS aims to provide a sustainable demand signal through a 30-year cross-Government Shipbuilding Pipeline.
16
Conclusion
Acknowledged
Para 53
Recent developments have introduced uncertainty about some orders in the pipeline and whether it sets out a clear ‘drumbeat’ of orders needed to sustain Scottish shipyards. The Fleet Solid Support Ships and the National Flagship are two examples. There has been some media speculation about the Type 32s, although the …
Government Response Summary
The MOD recognizes the importance of a regular drumbeat of orders. The 30-year cross-Government Shipbuilding Pipeline of over 150 new vessels aims to provide a sustainable demand signal, encouraging industry investment. The NSO will update the pipeline at each multi-year Spending Review.
17
Conclusion
Acknowledged
Para 54
In its response to this report, and in its annual shipbuilding update to the Defence Select Committee, the UK Government should provide an update on the current status of the military shipbuilding pipeline for Scottish naval yards. In particular, it should confirm whether the MOD still intends to order the …
Government Response Summary
The government stated its intention to have more frigates and destroyers. The T32 programme is in concept phase, the National Flagship was suspended to bring forward the Multi Role Ocean Surveillance (MROS) ships.
18
Conclusion
Acknowledged
Para 58
The award of the contract to build five additional Type 26 frigates to BAE Systems is welcome news for Scottish shipbuilding, and importantly continues the shipbuilding ‘drumbeat’ into the medium-term. We note that, partly as a consequence of global challenges, the first batch of Type 26 vessels has faced delays …
Government Response Summary
The government acknowledged the delays and increased costs of the first batch of Type 26 vessels due to global challenges.
20
Conclusion
Rejected
Para 62
The decision to select Team Resolute bid as the preferred bidder for the upcoming order of Fleet Solid Support ships could create a potential gap in the workstream for the Scottish warship industry.
Government Response Summary
The MOD disagrees that the Fleet Solid Support contract creates a gap in work for Scottish shipyards, citing ongoing Type 31 and Type 26 frigate construction. They claim delaying the build of Fleet Solid Support ships would put vital capability at risk.
22
Conclusion
Accepted
We note that the MOD did not agree with the concerns expressed by Scottish SMEs during our Defence in Scotland: military landscape inquiry about the difficulties they experienced engaging with the Ministry. The steps the UK Government outlined in its response to our report are encouraging; however, we believe the …
Government Response Summary
The MOD published the SME Action Plan in 2022 which outlines the commitments being made to increasing and supporting opportunities for Small and Medium Enterprises (SMEs). The Department for Transport is the lead Government Department for the Regional Maritime Cluster Development Programme.
25
Conclusion
Accepted
Para 74
We heard that including a social value component in shipbuilding contracts can help deliver benefits for the wider economy and in shipbuilding communities. However, there are challenges in measuring how effectively those commitments are being delivered on.
Government Response Summary
The NSO and the MOD are committed to ensuring that social value commitments through Government shipbuilding procurements and investments are delivered. Under the Cabinet Office Social Value Model, the contracting authority is also mandated to assess the supplier’s performance.
27
Conclusion
Acknowledged
Para 78
We heard that historically the Ministry of Defence’s understanding of shipbuilding supply chains had been a vulnerability. The Secretary of State told us this had subsequently improved. The new Defence Supply Chain Strategy’s emphasis on building resilience in supply chains is welcome, and improving understanding of supply chains further will …
Government Response Summary
The MOD is operating a Supply Chain Resilience Programme and introducing a new Defence Condition (DEFCON) to improve understanding of supply chains and address vulnerabilities.
29
Conclusion
Acknowledged
Para 87
We heard evidence that the MOD and the Scottish Government could both have a better understanding of the skills profile of the shipbuilding workforce. This makes workforce planning for a highly advanced sector like military shipbuilding more challenging.
Government Response Summary
The UK Shipbuilding Skills Taskforce (UKSST) seeks to address this challenge by collaborating across Government, the Devolved Administrations, industry and training providers to develop and implement a future-focussed skills strategy. The UKSST includes representatives from both Skills Development Scotland and Scottish industry.
31
Conclusion
Acknowledged
Para 93
The creation of the UK Shipbuilding Skills Taskforce shows a welcome recognition of the importance of long-term workforce planning in shipbuilding. This kind of planning is essential if Scottish yards are to have the highly-skilled workers they need to thrive in the future. We look forward to the publication of …
Government Response Summary
The NSO agrees that workforce planning by the UKSST is essential. The 30-Year Cross-Government shipbuilding pipeline provides transparency and encourages investment in skills. The NSO also recognizes shared ambitions between the work of the UKSST and Scotland’s National Strategy for Economic Transformation (NSET).
33
Conclusion
Acknowledged
Para 95
We wish to underline that the additional complexity of building warships demands highly specialised skills and knowledge, and that these will need to be updated and refreshed as warship design and manufacture evolves.
Government Response Summary
The UKSST will consider the skills requirements and know-how for the entirety of the shipbuilding enterprise, including the warship, commercial, workboat and leisure market sectors, both in the short and long term. The UKSST will also consider the impact of technological innovation on these sectors.
35
Conclusion
Acknowledged
Para 97
Skills policies will best support the shipbuilding industry if the UK and Scottish Governments’ approaches complement each other. For this to happen, education policymakers in Scotland will need to be able to receive clear signals about the skills needs of the defence sector, and will need routes for working together …
Government Response Summary
The UKSST, NSO and DfE welcome the signal from the Committee to work collaboratively to meet the skills needs of the sector through the existing education system. The NSO has committed to providing transparency on future orders and a stable baseline of work through the 30 Year Cross-Government Shipbuilding Pipeline.
37
Conclusion
Acknowledged
The creation of the National Shipbuilding Office is a welcome development that can bring greater coherence to shipbuilding planning. At the same time, we note that the NSO does not have formal powers and will therefore rely on its ability to manage and influence stakeholders.
Government Response Summary
The NSO is a strategic organization overseeing the Government’s shipbuilding interests, working with Departments to optimize shipbuilding requirements and reporting to the Secretary of State for Defence.
39
Conclusion
Acknowledged
The establishment of a National Shipbuilding Office hub in Edinburgh provides a welcome link to Scottish shipbuilders.
Government Response Summary
The Department are pleased that the committee recognises the importance of the NSO’s physical presence in Scotland. The NSO is using the Edinburgh base to host staff, support visits and engagement and has made the space available for other Departments involved in delivery of the NSbS.
41
Conclusion
Accepted
A theme we heard repeatedly emphasised during our inquiry was the importance of a regular ‘drumbeat’ of orders to provide a consistent workload that could help industry plan for the future. Stakeholders from all parts of the sector stressed that shipbuilding is an industry that operates on long timescales and …
Government Response Summary
The MOD recognizes the importance of maintaining a regular drumbeat of orders across the Shipbuilding industry and the NSbS aims to provide a more sustainable demand signal from Government through a 30-year cross-Government Shipbuilding Pipeline. The NSO has committed to updating the shipbuilding pipeline at each multi-year Spending Review.
42
Conclusion
Acknowledged
Stakeholders also emphasised that a steady ‘drumbeat’ could underpin future investment that would make the industry more productive in the future. Mr Waddell told us: It is a very simple equation. If businesses are faced with uncertainty, they do not invest. If they are faced with certainty and can guarantee …
Government Response Summary
The MOD recognises the importance of a regular drumbeat of orders and states the NSbS and 30-year pipeline aim to provide a sustainable demand signal. They also highlight workforce and programme details.
43
Conclusion
Acknowledged
In written evidence, the UK Defence Journal set out their understanding of the shipbuilding pipeline for BAE Systems and Babcock as of April 2022 (Table 1). 64 BAE Systems (DIS0030) 65 UK Defence Journal (DIS0022) 66 Q2 67 Q3 68 Q12 69 UK Defence Journal (DIS0022); BAE Systems (DIS0030); Q144 …
Government Response Summary
The MOD fully recognises the importance of maintaining a regular drumbeat of orders across the Shipbuilding industry. The NSbS is clear that we do not want a return to the “boom and bust” cycles of historic Naval demand, but to provide a more sustainable demand signal from Government as a whole, providing the certainty required by industry. The NSO has committed to updating the shipbuilding pipeline at each multi-year Spending Review.
44
Conclusion
Acknowledged
In his foreword to the National Shipbuilding Strategy Refresh, the Defence Secretary says the UK Government “will give industry a much clearer demand signal about what we are trying to achieve with our procurement programmes” and that for the first time the 70 Professor Trevor Taylor, RUSI (DIS0033) Defence in …
Government Response Summary
The MOD recognises the importance of a regular drumbeat of orders and states the NSbS and 30-year pipeline aim to provide a sustainable demand signal. They also highlight workforce and programme details.
45
Conclusion
Acknowledged
Some parts of this pipeline have since been confirmed, such as the confirmation that the second batch of Type 26 frigates would be built by BAE at Govan (considered in more detail later in this chapter).73 However, the pipeline is also subject to change. The Refresh explains that The NSO …
Government Response Summary
The MOD recognizes the importance of maintaining a regular drumbeat of orders across the Shipbuilding industry and highlights the 30-year cross-Government Shipbuilding Pipeline.
46
Conclusion
Accepted
Other elements of the pipeline face questions, including the Type 32 frigates, which under the pipeline suggested above would be built by Babcock at Rosyth from 2028 into the late 2030s. A National Audit Office report in November noted that, in July 2022, Navy Command withdrew its initial plans for …
Government Response Summary
The MOD recognizes the importance of maintaining a regular drumbeat of orders across the Shipbuilding industry and the NSbS aims to provide a more sustainable demand signal from Government through a 30-year cross-Government Shipbuilding Pipeline. The NSO has committed to updating the shipbuilding pipeline at each multi-year Spending Review. The Type 32 Frigate programme remains a key part of the future fleet and will be UK-built, but the procurement route has yet to be determined.
47
Conclusion
Acknowledged
In addition to uncertainty around the Type 32 frigate, the selection of Team Resolute as the preferred bidder for the Fleet Solid Support ships contract (as discussed in paragraphs 20–27 above) also means that the FSS vessels (considered later in this chapter) will not be forming part of the drumbeat …
Government Response Summary
The MOD recognizes the importance of maintaining a regular drumbeat of orders across the Shipbuilding industry and highlights the 30-year cross-Government Shipbuilding Pipeline.
48
Conclusion
Acknowledged
Representatives from the shipbuilding industry told us that having sight of upcoming shipbuilding projects over the coming decades was helpful, but that it was less clear how this translated into a drumbeat of work for shipyards. Ian Waddell of the Confederation of Shipbuilding and Engineering Unions told us: My frustration …
Government Response Summary
The MOD recognises the importance of a regular drumbeat of orders and states the NSbS and 30-year pipeline aim to provide a sustainable demand signal. They also highlight workforce and programme details.
50
Conclusion
Acknowledged
We heard differing views over how decisions about how Scotland’s constitutional future might affect the shipbuilding pipeline. Professor Keith Hartley told us that “at the moment, the industry’s future depends on the Royal Navy. Without the Royal Navy, you would not have an industry.”86 He concluded that “I do not …
Government Response Summary
The MOD recognizes the importance of maintaining a regular drumbeat of orders across the Shipbuilding industry and highlights the 30-year cross-Government Shipbuilding Pipeline.
51
Conclusion
Acknowledged
We wish to underline the importance to Scottish shipyards of maintaining a dependable ‘drumbeat’ of orders to allow them to invest and grow. The days of ‘feast and famine’ must not return. The creation of the National Shipbuilding Strategy suggests that the UK Government appreciates the importance of this point. …
Government Response Summary
The MOD fully recognises the importance of maintaining a regular drumbeat of orders across the Shipbuilding industry. The NSbS is clear that we do not want a return to the “boom and bust” cycles of historic Naval demand, but to provide a more sustainable demand signal from Government as a whole, providing the certainty required by industry. The NSO has committed to updating the shipbuilding pipeline at each multi-year Spending Review.
53
Conclusion
Acknowledged
Recent developments have introduced uncertainty about some orders in the pipeline and whether it sets out a clear ‘drumbeat’ of orders needed to sustain Scottish shipyards. The Fleet Solid Support Ships and the National Flagship are two examples. There has been some media speculation about the Type 32s, although the …
Government Response Summary
The MOD recognizes the importance of a regular drumbeat of orders and highlights the 30-year cross-Government Shipbuilding Pipeline. Scotland plays a vital role in defence shipbuilding, and the Type 26 Batch 2 contract reaffirms the UK Government's commitment to shipbuilding in Scotland.
55
Conclusion
Acknowledged
During our inquiry the Prime Minister announced the decision that the second batch of Type 26 anti-submarine warfare frigates would be built by BAE in Glasgow.90 This means that, in addition to the three Type 26 ships already being built, five more vessels will be built on the Clyde. The …
Government Response Summary
The government acknowledges the importance of the Type 26 frigates, but reports that the Initial Operating Capability date of the first ship will be a year later than anticipated with additional costs, but work is underway to increase productivity and improve efficiency.
56
Conclusion
Not Addressed
Prior to the announcement of the Batch 2 contract, the Defence Secretary informed the House in a Written Ministerial Statement that there would be a 12-month delay to the Batch 1 frigates becoming operational, from October 2027 to October 2028. The cost of the project would therefore grow by 4.2 …
Government Response Summary
The response acknowledges the delay in the Initial Operating Capability date of the first Type 26, HMS Glasgow, due to a number of complex reasons including global challenges, and that work is underway to increase productivity and improve on the revised forecast Initial Operating Capability date.
57
Conclusion
Acknowledged
As noted in the section above, the Defence Select Committee has recommended that the Ministry of Defence provides an annual shipbuilding update to Parliament, and annual updates on particular programmes including the Type 26 frigate. No such update has yet been provided.97
Government Response Summary
The MOD acknowledges the committee's interest in the construction of Type 26 and will consider the request when providing updates to Parliament on key Defence programs.
58
Conclusion
Acknowledged
The award of the contract to build five additional Type 26 frigates to BAE Systems is welcome news for Scottish shipbuilding, and importantly continues the shipbuilding ‘drumbeat’ into the medium-term. We note that, partly as a consequence of global challenges, the first batch of Type 26 vessels has faced delays …
Government Response Summary
The MOD welcomes the committee’s interest in the construction of Type 26 and will consider its request when providing updates to Parliament on key Defence programmes.
60
Conclusion
Not Addressed
As discussed in Chapter 2, in November 2022 the MOD took the decision to select Team Resolute as the preferred bidder for the Fleet Solid Support ships contract. The MOD did not select a bid from Team UK, a consortium which included BAE Systems and Babcock.
Government Response Summary
The government defends its decision to award the Fleet Solid Support ship contract to Team Resolute, citing ongoing work in Scottish shipyards, investment in the UK, and adherence to the National Shipbuilding Strategy.
61
Conclusion
Not Addressed
Sir Simon Lister of BAE told us that were the FSS vessels not to be built in Scotland it would create a gap in the continuity of orders for workers in the Scottish warship industry, but added that this gap could still be filled by other work: I see continuity …
Government Response Summary
The government defends its decision to award the Fleet Solid Support ship contract to Team Resolute, citing ongoing work in Scottish shipyards, investment in the UK, and adherence to the National Shipbuilding Strategy.
62
Conclusion
Rejected
The decision to select Team Resolute bid as the preferred bidder for the upcoming order of Fleet Solid Support ships could create a potential gap in the workstream for the Scottish warship industry.
Government Response Summary
The MOD does not agree that the decision to award the Fleet Solid Support contract to Team Resolute creates a potential gap in the workstream for the Scottish warship industry, citing ongoing construction of Type 31 and Type 26 frigates.
64
Conclusion
Acknowledged
In addition to its large shipyards, Scotland is home to a large number of Small and Medium-sized Enterprises (SMEs) which contribute to Scottish shipbuilding and to the wider defence sector. An SME is defined as a company with annual turnover of less than €50 million and fewer than 250 employees.101
Government Response Summary
The MOD published the SME Action Plan in 2022, which outlines the commitments being made to increasing and supporting opportunities for Small and Medium Enterprises (SMEs) and supports the Defence Suppliers Portal which offers SMEs access to view contracting opportunities.
65
Conclusion
Accepted
The UK defence sector, and the shipbuilding industry in particular, is dominated by a relatively small number of major companies. This is partly as a result of significant rationalisation and consolidation over the years, the highly specialised nature of its work and its limited customer base. In 2021/22, 42 per …
Government Response Summary
The MOD published the SME Action Plan in 2022, outlining commitments to increasing opportunities for SMEs and supporting the defence supply chain through initiatives such as the Defence Suppliers Portal and digital outreach.
66
Conclusion
Accepted
Only a small proportion of MOD spending with SMEs goes to Scottish SMEs, however. During our previous defence inquiry into Scotland’s military landscape, the MOD told us that Scottish SMEs accounted for just over £25 million of the MOD’s total spend. This is around 2.5 per cent of the approximate …
Government Response Summary
The MOD had a target of 25% of procurement spend going to SMEs by the end of 2022 and expects Scottish SMEs played a significant role in this. Figures for FY21/22 show £67M went directly to Scottish SMEs, representing 7% of total direct SME spend.
67
Conclusion
Acknowledged
The MOD’s SME Action Plan acknowledges some of the challenges SMEs face. The Plan notes that “improving access to opportunities for SMEs also requires support from MOD as the end customer”109 and proposes a number of actions aimed at improving 101 Ministry of Defence, MOD trade, industry and contracts 2022, …
Government Response Summary
The MOD refers to its existing SME Action Plan and digital outreach to support SMEs, and mentions the Department for Transport's lead role in the Regional Maritime Cluster Development Programme.
68
Conclusion
Accepted
We heard that geographically targeted measures could be an effective way of involving SMEs in defence supply chains, such as fostering the growth of industry clusters. Hans Pung of RAND Europe, when asked what the UK Government could do to promote SME involvement, suggested that “the MOD working-with-industry group should …
Government Response Summary
The MOD outlines the SME Action Plan and initiatives to support SMEs, including the Defence Suppliers Portal, SME champions, and digital outreach. They also note the Department for Transport is the lead for the Regional Maritime Cluster Development Programme.
69
Conclusion
Accepted
We note that the MOD did not agree with the concerns expressed by Scottish SMEs during our Defence in Scotland: military landscape inquiry about the difficulties they experienced engaging with the Ministry. The steps the UK Government outlined in its response to our report are encouraging; however, we believe the …
Government Response Summary
The MOD published the SME Action Plan in 2022 which outlines the commitments being made to increasing and supporting opportunities for Small and Medium Enterprises (SMEs), including easier procurement models, recognition of the role of the MOD and its suppliers in supporting the supply chain, and support for innovation and exports. The MOD also supports the Defence Suppliers Portal and digital outreach, and aims to achieve 25% of Defence spend with SMEs this year. The Department for Transport is the lead for the Regional Maritime Cluster Development Programme.
72
Conclusion
Accepted
Another tool the MOD uses to attempt to deliver benefits for local economies and communities is through using social value criteria to evaluate contracts. The MOD has a minimum 20 per cent weighting for social value. which will be applied to shipbuilding competitions.113 We heard that the three areas the …
Government Response Summary
The NSO and the MOD are committed to ensuring that social value commitments through Government shipbuilding procurements and investments are delivered. Under the Cabinet Office Social Value Model, the contracting authority is also mandated to assess the supplier’s performance.
73
Conclusion
Acknowledged
We heard there was some uncertainty over how MOD assessed social value, and how delivery of social value would be measured. Industry representatives told the Defence Committee that social value was “probably the biggest factor in deciding who will win these contracts, and we don’t understand what the criteria are.”117 …
Government Response Summary
Both the NSO and the MOD are committed to ensuring that social value commitments through Government shipbuilding procurements and investments are delivered, with the contracting authority mandated to assess the supplier’s performance.
74
Conclusion
Accepted
We heard that including a social value component in shipbuilding contracts can help deliver benefits for the wider economy and in shipbuilding communities. However, there are challenges in measuring how effectively those commitments are being delivered on.
Government Response Summary
The NSO and the MOD are committed to ensuring that social value commitments through Government shipbuilding procurements and investments are delivered. Under the Cabinet Office Social Value Model, the contracting authority is also mandated to assess the supplier’s performance.
76
Conclusion
Accepted
Professor Keith Hartley of the University of York told us that there was a limited understanding of shipbuilding supply chains: The problem we face in the Scottish shipbuilding industry is that, although we know the major primes like BAE and have a limited amount of information on their supply chains …
Government Response Summary
The MOD operates initiatives to improve understanding of supply chains, including the Supply Chain Resilience Programme and a new Defence Condition (DEFCON) requiring contractors to provide supply chain maps.
77
Conclusion
Accepted
The Defence Secretary acknowledged that the MOD’s understanding of supply chains had been “one of our vulnerabilities” in the past, but said that since then “there has been a real drive across Government, and certainly in our department, to map and understand your supply chain right the way through the …
Government Response Summary
The MOD operates a series of initiatives to improve understanding of supply chains and address vulnerabilities, including a Supply Chain Resilience Programme and the introduction of a new Defence Condition (DEFCON) in contracts to map supply chains.
78
Conclusion
Accepted
We heard that historically the Ministry of Defence’s understanding of shipbuilding supply chains had been a vulnerability. The Secretary of State told us this had subsequently improved. The new Defence Supply Chain Strategy’s emphasis on building resilience in supply chains is welcome, and improving understanding of supply chains further will …
Government Response Summary
The MOD states that it already operates several initiatives to improve the understanding of supply chains, including a Supply Chain Resilience Programme and a new Defence Condition (DEFCON) in contracts.
80
Conclusion
Accepted
A number of contributors to our inquiry highlighted that shipbuilding is an industry that requires a highly trained and specialised workforce.127 This is particularly true in the warship industry because warships are built to more demanding specifications: they must be built to withstand combat, and they incorporate a number of …
Government Response Summary
The UK Shipbuilding Skills Taskforce (UKSST) seeks to address this challenge by collaborating across Government, the Devolved Administrations, industry and training providers to develop and implement a future-focussed skills strategy, with a report of recommended actions expected in autumn 2023.
81
Conclusion
Accepted
As well as employing large numbers of skilled workers in its shipyards, Scotland also trains highly specialised workers at its higher and further education institutions, many of which go on to work for BAE and Babcock. Among the institutions which provide shipbuilding qualifications in Scotland are City of Glasgow College, …
Government Response Summary
The UK Shipbuilding Skills Taskforce (UKSST) seeks to address this challenge by collaborating across Government, the Devolved Administrations, industry and training providers to develop and implement a future-focussed skills strategy, with a report of recommended actions expected in autumn 2023.
82
Conclusion
Accepted
The Confederation of Shipbuilding and Engineering Unions said workforce recruitment, skills and retention were “the biggest challenge for the industry and the enterprise collectively.”129 City of Glasgow College, one of the biggest trainers of Scottish shipbuilders, agreed that “Scottish shipbuilding cannot succeed without addressing chronic shortages in labour and skills.”130 …
Government Response Summary
The UK Shipbuilding Skills Taskforce (UKSST) is collaborating across Government, the Devolved Administrations, industry and training providers to develop and implement a future-focussed skills strategy and intends to publish a report of recommended actions in autumn 2023.
83
Conclusion
Accepted
A further challenge relates to retaining existing staff. Witnesses told us that uncertainty about future workloads could lead to staff leaving their roles. John Howie of Babcock said: “There are inherent inefficiencies in ordering a batch of ships and then not ordering anything for four, five or six years. It …
Government Response Summary
The UK Shipbuilding Skills Taskforce (UKSST) seeks to address the challenge of retaining existing staff by developing and implementing a future-focussed skills strategy. The UKSST includes representatives from Skills Development Scotland and Scottish industry and intends to publish a report of recommended actions in autumn 2023.
84
Conclusion
Accepted
Witnesses emphasised the importance of a reliable drumbeat of work to help them recruit and retain staff. City of Glasgow College called for “a clearer demand signal to trigger both the public and private sector investment needed to expand the shipbuilding workforce.”138 Hans Pung of RAND Europe agreed that “the …
Government Response Summary
The government is addressing this challenge through the UK Shipbuilding Skills Taskforce (UKSST), which aims to develop and implement a future-focused skills strategy and publish a report of recommended actions in autumn 2023.
85
Conclusion
Accepted
Another challenge identified by contributors related to retraining and lifelong learning for the existing workforce. City of Glasgow College told us “a skilled workforce which is regularly upskilled and reskilled across a lifetime is vital to sustaining a world-class shipbuilding industry in Scotland and the UK.” The College drew attention, …
Government Response Summary
The UK Shipbuilding Skills Taskforce (UKSST) is collaborating across Government, the Devolved Administrations, industry and training providers to develop and implement a future-focussed skills strategy and intends to publish a report of recommended actions in autumn 2023.
86
Conclusion
Acknowledged
Some contributors to our inquiry argued that addressing skills challenges was made more difficult by a lack of data on the skills composition of the UK workforce. Professor Keith Hartley told us that while the UK has “decent data on both direct and indirect employment in the UK’s defence industries…when …
Government Response Summary
The government states that the UK Shipbuilding Skills Taskforce (UKSST) is collaborating to develop and implement a skills strategy and will publish a report of recommended actions in autumn 2023.
87
Conclusion
Accepted
We heard evidence that the MOD and the Scottish Government could both have a better understanding of the skills profile of the shipbuilding workforce. This makes workforce planning for a highly advanced sector like military shipbuilding more challenging.
Government Response Summary
The government is addressing this challenge through the UK Shipbuilding Skills Taskforce (UKSST), which aims to develop and implement a future-focused skills strategy and publish a report of recommended actions in autumn 2023.
89
Conclusion
Acknowledged
The National Shipbuilding Strategy Refresh recognised the importance of skills as an issue, and in response announced the establishment of a UK Shipbuilding Skills Taskforce (UKSST). The Taskforce is run by the Department for Education, working with the National Shipbuilding Office.146 The Taskforce’s role is to “build a picture of …
Government Response Summary
The government states that the scope of the UKSST aligns with the NSbS Refresh and will consider the skills requirements for the entirety of the shipbuilding enterprise, as well as the impact of technological innovation.
90
Conclusion
Acknowledged
The National Shipbuilding Strategy Refresh implicitly recognises that the design and building of warships is significantly more complex than for many other vessels, and includes warships as a discrete category when listing types of shipbuilding undertaken in the UK.149 It does not acknowledge as explicitly that the warship industry demands …
Government Response Summary
The government states the UKSST will consider the skills requirements for the entirety of the shipbuilding enterprise, including the warship sector.
91
Conclusion
Acknowledged
The creation of the UKSST was widely welcomed by contributors to our inquiry.152 John Howie of Babcock described it as “a key example of…the longer term planning that is needed to ensure that we generate the next generation of the workforce, and that we 144 Professor John Louth (DIS0028) 145 …
Government Response Summary
The NSO agrees that workforce planning by the UKSST is essential, and that the 30 Year Cross-Government shipbuilding pipeline provides transparency to plan and manage its workforce, and encourages investment in skills; the Chair of the UKSST would be pleased to meet with the Committee following publication of its report.
92
Conclusion
Acknowledged
A complicating factor in the work of the Taskforce is the devolved nature of skills policy in parts of the UK, including in Scotland. Kevin Craven of ADS Group said “the devolved nature of the work involved means that co-ordination and collaboration, working together on these things, is desperately important.”155 …
Government Response Summary
The UKSST, NSO and DfE welcome this signal from the Committee to work collaboratively to meet the skills needs of the sector through the existing education system. The UKSST recognises skills is a devolved issue and is committed to ensuring its recommendations work for England, Northern Ireland, Scotland and Wales.
93
Conclusion
Acknowledged
The creation of the UK Shipbuilding Skills Taskforce shows a welcome recognition of the importance of long-term workforce planning in shipbuilding. This kind of planning is essential if Scottish yards are to have the highly-skilled workers they need to thrive in the future. We look forward to the publication of …
Government Response Summary
The government agrees that workforce planning by the UKSST is essential and that the 30-year shipbuilding pipeline will provide industry with transparency to plan and manage its workforce and encourage investment in skills. The Chair of the UKSST would be pleased to meet with the Committee following publication of its report.
94
Conclusion
Acknowledged
We invite the UK Shipbuilding Taskforce, together with UK Government Ministers, to give oral evidence to the Committee when the UKSST’s report is published in autumn 2023, so that its findings can be discussed further and priorities identified to ensure Scottish shipyards have the skills they need.
Government Response Summary
The government agrees the workforce planning is essential and the Chair of the UKSST would be pleased to meet with the Committee following publication of its report.
95
Conclusion
Acknowledged
We wish to underline that the additional complexity of building warships demands highly specialised skills and knowledge, and that these will need to be updated and refreshed as warship design and manufacture evolves.
Government Response Summary
The government states the UKSST will consider the skills requirements for the entirety of the shipbuilding enterprise, including the warship sector.
96
Conclusion
Accepted
The UK Shipbuilding Skills Taskforce’s report should identify the skills demands of the warship industry specifically, as well as steps that can be taken to meet those needs.
Government Response Summary
The scope of the UKSST aligns with the NSbS Refresh and it will therefore consider the skills requirements and know-how for the entirety of the shipbuilding enterprise, including the warship, commercial, workboat and leisure market sectors, both in the short and long term.
97
Conclusion
Acknowledged
Skills policies will best support the shipbuilding industry if the UK and Scottish Governments’ approaches complement each other. For this to happen, education policymakers in Scotland will need to be able to receive clear signals about the skills needs of the defence sector, and will need routes for working together …
Government Response Summary
The UKSST, NSO and DfE welcome the signal to work collaboratively and state the UKSST is committed to ensuring its recommendations work for all UK nations, and the NSO will provide transparency on future orders via the 30 Year Cross-Government Shipbuilding Pipeline.