Luke Pollard, Minister for Defence Readiness and Industry, has said the forecast cost of the four Dreadnought submarines remains within the £41 billion estimated in 2015, with the first entering service in the early 2030s, according to answers given in Parliament.
Stuart Anderson, the Conservative MP for South Shropshire, asked how much funding has been allocated to the programme since its inception. Pollard said: “The 2015 National Security Strategy and Strategic Defence and Security Review, under the previous government, estimated that to build four Dreadnought submarines, the likely cost would be £41 billion. The current forecast to completion remains within that estimate.”
Anderson also asked what milestones remain before the first boat enters service. Pollard replied: “As I hope the hon. Gentleman will already have realised, providing the dates of key build milestones for Dreadnought would, or would be likely to, prejudice the capability, effectiveness or security of the Armed Forces. Dreadnought will be ready to enter service in the early 2030s.”
The £41 billion figure is made up of the £31 billion estimate set in the 2015 review, including inflation over the life of the programme, and a £10 billion contingency, and £8.5 billion had been spent by March 2020.
Ministers have previously acknowledged that inflation pushed up cost forecasts while saying the programme stayed within its overall budget, and the Ministry of Defence has said that the timing of sea trials is withheld for security reasons. The boats, built by BAE Systems at Barrow-in-Furness, will replace the Vanguard class in carrying Britain’s continuous at-sea deterrent.
