Business
New Rolls-Royce CEO Says More To Come After Profit Beat
February 23, 2023
January 24, 2025
By Evans Momodu
1 minute read
The UK government has awarded Rolls-Royce a £9 billion contract to design, manufacture, and provide support services for nuclear reactors that power the Royal Navy’s submarine fleet.
The contract, spanning eight years, is hailed as a significant boost for the UK economy and the country’s nuclear deterrent.
This deal ensures the continuation of the Royal Navy’s continuous at-sea deterrent, where at least one nuclear-armed ballistic missile submarine is on patrol at all times.
The Ministry of Defence (MOD) also highlighted the potential benefits to the AUKUS defence pact, a collaboration between the UK, the United States, and Australia.
Defence Secretary John Healey noted that the Unity contract, which consolidates several smaller agreements, is expected to save £400 million over its term. He described the contract as "a boost to British jobs, British business, and our nuclear deterrent."
The announcement comes as the government works to advance its growth agenda, following criticism of the chancellor’s October budget for its perceived negative impact on the economy.
Source: Sky news
