LONDON: Britain will spend £4.2 billion ($4.9 billion) on five new frigates Defence giant BAE Systems to For security, increase it “in the face of increased Russian threats”, Prime Minister Rishi Sunak Tuesday,
“The UK and allies are taking steps to bolster their security in the face of increased Russian threats,” Sunak made the remarks in a Downing Street statement.
“Russia’s actions put all of us at risk. As we give the Ukrainian people the support they need, we are also harnessing the breadth and depth of UK expertise to protect ourselves and our allies. This includes building the next generation of British warships.”
The next stage in a program that has three vessels under construction and eight others is spending, is called the spending phase. frigates Expected to to be completed in the middle of the 2030s.
A separate statement is available. BAE Systems confirmed that the order was placed by five Additional City Class Type 26 frigates.
This would support 4,000 jobs in the company as well as the wider supply chain, according to the British defense giant.
“This contract secures a critical UK industry and allows us to build on our long history of shipbuilding as we continue to deliver cutting-edge equipment to the Royal Navy into the next decade,” Charles Woodburn, chief executive of BAE, said that.
Sunak was also condemned for Tuesday’s announcement Russia’s “barbaric” Invasion of Ukraine, during a speech at the Group of 20 summit (G20), Bali, Indonesia.
Russian President Vladimir Putin has not been present and instead sent his foreign minister.
BAE Systems has increased its earnings guidance and cited strong orders due to the “elevated threat environment” Following the Ukraine conflict.
The shares of the group rose more than three percentage points in late morning London stock exchange deals.
“BAE is a beneficiary of today’s geopolitical tension,” Research consultancy Third Bridge has Olly Anibaba, a noted analyst.
“Our experts expect US and European defence budgets to continue to grow over the next 2-5 years. The Russia-Ukraine conflict is a wake-up call for many European countries.”