Harland and Wolff crisis should prompt Labour to focus on 'national priority' of restoring UK's shipbuilding capability

The current global security situation should be focusing the government’s attention on the lack of shipbuilding capacity within the United Kingdom, according to Steve Aiken.

The Ulster Unionist MLA and former Royal Navy Commander says the Harland and Wolff crisis must be tackled as a national priority by the new Labour government – and a failure to back Harland and Wolff is an admission that it cannot support the Royal Navy.

UUP MLA Steve Aiken - a former Royal Navy commander - says the current global security environment should be focusing the government's attention on the nation's shipbuilding capacity. Photo: MOD/Crown Copyright2024/LPhot Alex Ceolin/PA Wire

placeholder image — UUP MLA Steve Aiken - a former Royal Navy commander - says the current global security environment should be focusing the government's attention on the nation's shipbuilding capacity. Photo: MOD/Crown Copyright2024/LPhot Alex Ceolin/PA Wire

It is the second time the shipbuilding business has been placed in administration in five years.

Mr Aiken told the News Letter: “The mood music coming from the MoD is that Labour’s commitment to boosting the UK’s defences are being driven by the treasury, not by the security need.

UUP MLA Steve Aiken OBE has warned the government needs to focus on shipbuilding amid growing global insecurity.

“Our Royal Navy has been significantly denuded of the warships and support shipping it needs, particularly by the last government. However, recently HMT & the MoD had the opportunity to make a strong signal about our future intent by granting H&W £200M UKEF [UK Export Finance] - it didn’t, instead it gave a message to those who want to see a rejuvenated shipbuilding industry able to support our defence needs, that this government isn’t really interested.

“There isn’t the capacity across the UK at the moment to build the shipping we need, failing to support H&W is basically saying that we can’t support the Royal Navy.

“Ironic, as the Prime Minister is now hosting weekly meetings of the National Security Council to bring a proper focus on defence & security issues”.

The government decided against providing financial support to the struggling company during the summer.

Business Secretary Jonathan Reynolds said support for Harland & Wolff “would not have been a prudent use of government money”.

When asked if he was confident that Royal Navy ships would still be built in Belfast, he answered: “Yes.”

Harland and Wolff had hoped to secure a guarantee from the government of up to 80% of any private loan it secured to stop it entering into administration for the second time in the past five years.

The government was concerned that it would have put taxpayer money at risk if the shipyard had failed.