The UK shipbuilding industry is in long-term decline (and we could have a separate discussion about why France and Germany have thriving shipbuilding industries whereas the UK has a mere rump of its former base). The major customer for UK-built ships is the Royal Navy.
Over the last 20, 30 , 40+ years demand for navy ships has reduced a series of closures of yards throughout the country have left Portsmouth and yards on the Clyde as the only places in the UK capable of building high-tech ships.
Story: http://www.bbc.co.uk/news/uk-scotlan...-west-24831779
The yards are privately owned by BAE Systems who have just announced that the Portsmouth yard will no longer build ships (although it will undertake maintenance and repair work). According to BAE Systems, the decision has been taken based on economic factors, demand is low and the Scottish yards are cheaper (labour costs in Scotland are substantially lower) and better.
Other commentators have suggested that there is a political motivation behind the decision to keep shipbuilding in Scotland and that it is a sop to the "NO" campaign for Scottish independence. Other commentators (and the Portsmouth MP) has said that this is a strategically disasterous decision and, should Scotland vote "YES" it would leave the rest of the UK without an indigenous warship-building capability (and unless Scotland can persuade the rest of the UK to buy ships built in Scotland, it will leave Scotland with a white elephant).
My personal view is that BAE Systems have taken the decision on economic grounds (although it may be trying to force the government's hand to give it more work) but that the government have not worked too hard to have the decision reversed because it does serve its own purposes. I also think that we will miss an opportunity to deploy skilled workers on alternative infrastructure projects and the skills currently concentrated in Portsmouth will simply evaporate.
Over the last 20, 30 , 40+ years demand for navy ships has reduced a series of closures of yards throughout the country have left Portsmouth and yards on the Clyde as the only places in the UK capable of building high-tech ships.
Story: http://www.bbc.co.uk/news/uk-scotlan...-west-24831779
The yards are privately owned by BAE Systems who have just announced that the Portsmouth yard will no longer build ships (although it will undertake maintenance and repair work). According to BAE Systems, the decision has been taken based on economic factors, demand is low and the Scottish yards are cheaper (labour costs in Scotland are substantially lower) and better.
Other commentators have suggested that there is a political motivation behind the decision to keep shipbuilding in Scotland and that it is a sop to the "NO" campaign for Scottish independence. Other commentators (and the Portsmouth MP) has said that this is a strategically disasterous decision and, should Scotland vote "YES" it would leave the rest of the UK without an indigenous warship-building capability (and unless Scotland can persuade the rest of the UK to buy ships built in Scotland, it will leave Scotland with a white elephant).
My personal view is that BAE Systems have taken the decision on economic grounds (although it may be trying to force the government's hand to give it more work) but that the government have not worked too hard to have the decision reversed because it does serve its own purposes. I also think that we will miss an opportunity to deploy skilled workers on alternative infrastructure projects and the skills currently concentrated in Portsmouth will simply evaporate.
via JREF Forum http://forums.randi.org/showthread.php?t=268077&goto=newpost
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