Rolls-Royce submarine contract 'massive' for Derby

An illustration of the SSN-AUKUS submarine

The creation of Australia's first nuclear-powered submarines will be a huge boost for Derby, a union official has said.

Derby-based Rolls-Royce will provide the reactors for the new fleet in a defence agreement between the UK, US and Australia (Aukus).

Ian Bestwick, from Unite, said the contract was "massive" for the city.

The deal will "create thousands of jobs in the UK in the decades ahead", the government said.

Most of the jobs "will be concentrated in Barrow-in-Furness with further roles created elsewhere along the supply chain, including in Derby", the MoD added.

The submarines will be built in Britain and Australia but use technology from all three countries.

'Historic opportunity'

Speaking to the BBC, Mr Bestwick said the deal not only benefitted peace in the Indo-Pacific region but also "the industry, Derby and the country".

He said: "We don't know the true number but it could be thousands of jobs for many years to come.

"We've been gearing up to hopefully get this contract over the line and we've been recruiting heavily against the current programmes we've got so it's been 18 months to two years in the making.

"It's immeasurable, for Derby, for Rolls-Royce, the fantastic union members in the supply chain - it's absolutely massive."

Union GMB said the pact was a "historic opportunity" to boost UK defence manufacturing.

National officer Matt Roberts said: "In Barrow-in-Furness and in Derby, GMB Union members are at the cutting edge of defence design and manufacturing.

"As their union, we welcome the news of a central role for UK defence manufacturing in this agreement, working closely with our Australian allies."

Steve Carlier, president of Rolls-Royce Submarines Ltd, added: "This is great news for Rolls-Royce and for the country as a whole with the creation of more UK jobs and an opportunity to showcase British innovation and expertise on the world stage."

Australian Prime Minister Anthony Albenese said the plan marked the "biggest single investment in Australia's defence capability in all of its history"

In an announcement in San Diego, California, on Monday, US President Joe Biden said the attack craft would be "nuclear-powered not nuclear-armed".

Australian Prime Minister Anthony Albenese said the plan - which will cost up to A$368bn (£201bn) over 30 years - marked the "biggest single investment in Australia's defence capability in all of its history".

UK Prime Minister Rishi Sunak added: "The Aukus partnership, and the submarines we are building in British shipyards, are a tangible demonstration of our commitment to global security."

Australia becomes just the second after the UK to receive Washington's elite nuclear propulsion technology.

As part of the arrangement, Australian navy sailors will be sent to US and UK submarine bases from this year to learn how to use the nuclear-powered submarines.

From 2027, the US and UK will also base a small number of nuclear submarines in Perth, Western Australia, before Canberra will buy three US-model Virginia-class submarines in the early 2030s - with options to purchase two more.

Rolls-Royce opened a new Nuclear Skills Academy in Derby in 2022, which will provide 200 apprenticeships each year for at least the next decade and "ensure a steady pipeline of future talent into the industry", the firm said.