Naval Shipbuilding 2026-02-02
2026-02-02
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Response quality
Questions & Answers
Q1
Partial Answer
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Context
The recent news that a £200 million contract has been awarded to the Dutch firm Damen, raising concerns among local companies in Mr Quigley's constituency.
Wight Shipyard and Diverse Marine do fantastic work and welcome the launch of the new dedicated unit to help small defence companies access Ministry of Defence contracts. However, given the recent news that a £200 million contract has been awarded to the Dutch firm Damen, what assurances can the Minister offer to companies such as Wight Shipyard and Diverse Marine that they will have a fair and credible route into competing for these major programmes?
Serco has indeed awarded a contract to Damen as part of its provision of tugs for the UK military. We have set out clearly our intention that more of our rising defence Budget should be spent with British companies, supporting the construction of more naval assets in British shipyards. We will continue to do that, not just through supporting the Type 26s and Type 31s being built in Scottish shipyards but, as we move to a hybrid Navy, through more platforms being built in shipyards right across the United Kingdom.
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Assessment & feedback
Did not provide specific assurances or mechanisms for local companies to compete fairly for contracts.
Response accuracy
Q2
Partial Answer
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Context
A National Audit Office report estimates that £1.5 billion a year of defence spending is lost to fraud, and the Ministry of Defence recovers only 48p for every £1 spent on counter-fraud work.
The Government could invest better in naval shipbuilding if it paid attention to a National Audit Office report estimating that £1.5 billion a year of defence spending is lost to fraud, and the Ministry of Defence recovers only 48p for every £1 spent on counter-fraud work, less than other Departments. What will the Minister do to ensure that more of this funding can be recovered for our national defence?
Let us be absolutely clear: any money lost to fraud is money that people have taken away from our national security and our national defences, and that is unacceptable. The Department is looking at how we can continuously improve our anti-fraud measures, and we will continue to do so. As we roll out increased defence spending, it is even more important that we spend the money wisely.
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Assessment & feedback
Did not provide specific actions or timelines for improving fraud recovery rates.
Response accuracy