Yes for a secure and sustainable future for shipbuilding – No more Westminster hypocrisy The naming ceremony for the new Queen Elizabeth-class aircraft carrier at Rosyth is further testament to the expertise of Scotland’s shipbuilders. And of course we look forward to the second carrier helping to keep Scotland’s yards busy right up until 2022, after a Yes vote. The UK Government is once again attempting to portray itself as the protector of shipbuilding in Scotland. But that couldn’t be further from the truth. The reality is that shipbuilding in Scotland - and throughout the UK - has been sold down the river by successive Westminster governments. Here are the facts that show why we need a Yes vote to build a long term and sustainable future for our yards: 1) Successive Westminster governments have overseen a drastic decline in shipbuilding employment. In 1979, Scottish shipbuilding employed around 35,000 people. In 1993 it was over 11,000. By 2012 there were less than 8,000 employed in the industry. 2) Building ships abroad and closing shipyards in the UK is official Westminster policy. In 2009 the Westminster government entered into a “Terms of Business Agreement” (ToBA) with BAE systems requiring BAE to pursue options for “strategic rationalisation of a Shipbuilding Facility” - i.e. closure - at “one or more of Scotstoun, Govan and Portsmouth”. Under ToBA, BAE are required to oversee a loss of jobs from a peak of over 5,000 (during the building of the carriers) to 1,500 in anticipation of new frigates being built. In a 2005 White Paper, the Westminster government reversed previous policy that all shipbuilding for the navy would be carried out in the UK. 3) Westminster has failed to draw up a strategy for a sustainable future for shipbuilding. The 2005 Westminster white paper noted that an unsustainable 85% of shipbuilding in the UK is for the navy, and that “UK new builds for export are a small fraction of the domestic output, whereas European states export a significant proportion of their total build.” The UK has failed to deliver a plan to diversify and promote exports. When the job losses at Portsmouth and Glasgow were announced last year, the Guardian commented “this is what happens when a whole political generation fails to develop an industrial strategy”. In “Scotland’s Future” the Scottish Government explains its priority is to make sure that any company based in Scotland can compete in global defence markets, while further support can include investment in R&D and science and innovation funding. 4) After independence, Glasgow yards will continue to receive orders from the UK. From time to time UK ministers suggest it would simply reopen Portsmouth for shipbuilding if Scotland voted Yes – but research cited in their own defence industrial strategy white paper in 2005 suggests that when shipyards lay-off workers, 70% of them leave the industry and are unavailable for re-hire by their former employer. 5) Even Westminster has admitted EU laws don’t stop rUK placing orders in Scotland after Yes. Contrary to earlier No campaign myths, there is nothing in EU law that would require rUK to put bids for complex warships out to European-wide competitive tender, if not placing the order within rUK. UK Security Minister Dr Andrew Murrison admitted as much, and Professor Trevor Taylor and Professor Malcolm Chalmers have both confirmed this is the case. The UK could instead “place” the order in Scotland. 6) We’ll need to build ships for the Scottish navy. The Scottish Government’s immediate proposals are to procure four Type 26 frigates for the new Scottish navy, two to be ordered before 2020 and the other two thereafter. 7) Defence procurement is increasingly a matter of international cooperation. Increasingly, governments are working together to procure ships jointly. Last year the UK and Australia signed a new Defence Treaty that could “pave the way for the long-standing allies to join forces in constructing their next generation frigate”. As the UK Defence Minister commented, “in times of budget pressures for all nations, it makes sense to maximise economies of scale and work with our friends to get the best value for money on all sides.” That’s exactly why the Clyde yards are the only realistic choice for the UK’s plans for 13 new Type 26 frigates – the place where they were designed. 8) Scotland is sold short on defence procurement Official figures show that small and medium size companies in Scotland get 40% less than our population share of direct contracts from the MoD - £102 million instead of £264 million. A Yes will see a sustainable shipbuilding future prioritised and delivered.
Posted on: Mon, 07 Jul 2014 10:16:05 +0000
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