River blot on BAE Systems’ maritime results
BAE Systems has created a £47 million ($61 million) loss provision for the Batch 2 River-class OPV build, after identifying programme quality issues, some of which saw the first vessel, HMS Forth, returned to the care of company by the Royal Navy in 2018.
The news was revealed in the company’s financial results for 2018, published on 21 February. The company had previously stated that ‘some of its processes were not good enough’ in the River programme and had initiated efforts to rectify the issue.
The run of five Batch 2 River OPVs has been controversial
Our news & analysis is now part of Defence Insight®
A Basic-level or higher Defence Insight subscription is now required to view this content.
You may also like
More from Naval Warfare
-
![US Navy’s MUSV programme could lay the USV procurement blueprint for NATO allies]()
US Navy’s MUSV programme could lay the USV procurement blueprint for NATO allies
The programme’s structure as a marketplace will allow multiple companies to compete for ongoing procurements; an approach which could be replicated across the Atlantic.
-
![UK Defence Investment Plan: What does it mean for the country’s naval forces?]()
UK Defence Investment Plan: What does it mean for the country’s naval forces?
Investment in nuclear submarines, autonomous systems and stronger defensive capabilities for existing vessels show a clear strategic shift in Royal Navy priorities.
-
![UK Royal Navy shifts focus from warships to system-led warfare]()
UK Royal Navy shifts focus from warships to system-led warfare
With a revised Defence Investment Plan on the way ahead of the upcoming NATO Summit on 7-8 July, the UK government has begun to reveal more details of how its future naval fleet could look.
-
![UK’s Type 31 frigate balances cost pressure with long-term export ambition]()
UK’s Type 31 frigate balances cost pressure with long-term export ambition
The UK shipbuilder’s full-year results to the end of March revealed the impact of the £140 million charge linked to design changes and rework on the Royal Navy’s Type 31 frigate programme.
