The exact cost overrun will become more apparent during the upcoming financial year, as the design activities are finalized and the construction of the first ship nears completion.
According to Mr. Lockwood, everything is progressing smoothly to deliver the first warship next year.
HMS Venturer, the first Type 31 frigate, is expected to be structurally finished by December, while construction on the second frigate, HMS Active, began in January.
Part of the construction process for the Royal Navy’s ships will take place in Poland, with final assembly being completed at Babcock’s yard in Rosyth, located north of Edinburgh. However, the percentage of work done in Poland is relatively small in terms of its value.
The Type 31 project is seen as a significant test for the UK’s ability to successfully execute a large naval project within budget and on schedule, without any subsequent issues arising.
The currently deployed Type 45 Destroyer has experienced engine problems, and one of the Navy’s two aircraft carriers, HMS Prince of Wales, was out of commission due to a blown propeller shaft. Babcock repaired the aircraft carrier at a drydock in Scotland, and it has since been returned to service.
Mr. Lockwood expressed optimism about the prospects of receiving additional orders for the Type 31 ships from international buyers following the contracts with the UK and Poland.
In 2019, Babcock won the contract to build five Type 31 frigates for the Royal Navy, with each ship having a basic production cost of £250m. These frigates were hailed as more affordable and versatile compared to the Type 26 frigates, which will be used for submarine hunting and have a cost of £840m each.
Last year, Babcock secured a £1.4bn contract to construct three frigates for the Polish Navy, named Miecznik, meaning “Swordfish”. The ships will be built in Polish shipyards based on Babcock’s design and will incorporate combat equipment from Thales, as well as anti-aircraft firepower from missile manufacturer MBDA, which is partially owned by BAE Systems.
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