Britain's Defence Boost: £9 Billion Submarine Contract with Rolls-Royce

Britain has awarded Rolls-Royce a £9 billion contract to design and build nuclear submarine reactors. This strengthens the UK's at-sea deterrent and the AUKUS pact, aligning with increased defence spending amidst tensions with Russia. The contract is expected to create jobs and save £400 million.

The United Kingdom has entered into a significant £9 billion contract with Rolls-Royce, focusing on the design, creation, and support of nuclear reactors for its submarine fleet. This move aligns with U.S. appeals for heightened defence investments.

This contract aims to bolster the Royal Navy's continuous at-sea deterrent, which ensures that a nuclear-armed submarine is always on patrol. It also reinforces the AUKUS defence alliance with the United States and Australia. The announcement followed U.S. President Donald Trump's call for NATO allies to allocate 5% of GDP to defence.

Amid rising tensions with Russia, exemplified by a recent Russian spy ship in UK waters, the UK announced it would raise defence spending to 2.5% of GDP, with details expected in a forthcoming Strategic Defence Review. The Rolls-Royce contract is projected to save the UK £400 million and secure thousands of jobs, showcasing defence as a driver of economic growth.

(With inputs from agencies.)