Carrier contract signed

The carriers, HMS Queen Elizabeth II and Prince of Wale, will be the largest ships to enter service with the Royal Navy. BAE chief executive Mike Turner said the signing was an important milestone in the long term sustainability of the UK naval sector and a proud moment for the 7,000 employees of BVT Surface Fleet while his VT counterpart Paul Lester said the manufacturing contract was a major boost for the joint venture and would ensure that UK shipbuilding “has a healthy workload for several years to come”. The contract will contribute in the region of £3 billion to BVT’s order book, of which just under half will be delivered by the joint venture directly and the balance sub-contracted. CVF revenues will start to flow through BVT shortly with production of the first carrier set to start later this year. VT owns 45 per cent of BVT, with the remaining 55 per cent owned by BAE Systems. BVT, which officially started operations on July 1, also includes the remaining work on the Royal Navy's Type 45 Anti Air Warfare Destroyer programme and export projects for Oman and Trinidad and Tobago in its order book.