Last fighter jet factory could close

Wednesday, August 05, 2009

In a further sign that lower defence spending is taking its toll on British industry, the last fighter aircraft factory could close it doors by the middle of next decade it has been revealed.

The decision to only buy 16 aircraft in tranche three of the Eurofighter Typhoon order along with the fact that Britain is unlikely to embark on a new fighter jet procurement programme anytime soon, means that the BAE facility in Warton, Lancashire is likely to run out of work by 2014.

"We have no obligation to our partners to buy any more and we have no current intention or expectation of purchasing more at the present time," Quentin Davies, the minister for defence equipment and support, said last week at the tranche three signing.

Britain was scheduled to buy 88 Typhoons in two tranche three instalments. But at least 24 of the aircraft are being included in the 72 plane order by Saudi Arabia. It is unknown what will become of the remaining 48 aircraft in Britain's order. Most defence industry experts believe that the planes will eventually be included in the Saudi's order.

Eurofighter partner Germany is upset by Britain's desire to essentially avoid buying 80 per cent of its final order. It could demand that Britain either buy more of the planes or compensate the other partnering nations. However, a key clause in the tranche three contract allows countries to sell off some of their orders as long as the planes are bought by the Eurofighter partner in the first place.

Either way the BAE fighter jet production facility will continue to build the planes, regardless of whether they are for the RAF or Saudi RAF. It may also benefit from additional Saudi orders. Defence officials in the oil rich kingdom are allegedly interested in buying a further 72 planes from BAE. Other countries such as Oman and Japan have also expressed an interest in buying some Eurofighters.

But once the orders are complete, the nearly century old factory may close for good.

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I hope this is just speculation and posturing. BAE have very promising UCAV programs, and Warton is the logical place to build them. Plus the tories will be in power in 12 months and the current 70's student union attitude to UK defence will pass. Fingers crossed.
Martin Bayliss - Stroud

I noted the MoD has now selected the F35C as opposed to F35B? Announced today in the Telegraph?

Good, this should mean far greater benefits, and the in-service date of the new carriers should surely now be far sooner, say 2012? as the F35C should be ready by then?


John - London

By the time the last of these T3 batch get into service, the first aircraft will be running out of service life. So what will we defend the UK with then? RAF say we will never have more than 120 in service (but not all airworthy) at one time, lets hope we do not need an airforce anytime soon. We may be in a pickle.
steve - Essex

I doubt if the carriers will be in by 2012, more likely to slip to the right by a few years. May be only have money for one initially?

Actually, why on earth do we need the F35 at all, if we need to have the capability lets pay a contractor to supply them as we need them OFS - a new form of contracting for availability! By removing F35 capability there would be no requirement to have either of the carriers. If these two major programmes were 'postponed' to a later date, it might give the MOD a chance to recover from the Treasury blight of the last 12 years, and help shape SDR next year in a much more positive way, than I think will be the case.

As with the political system, we need to re-think Defence on a global scale by opening the market up to international competition and partnering - not lets keep the jobs in the UK attitude. Why not export the jobs where the work is - I'm sure there are people who would love to work and live in other countries for a few years, while this country tries to recover!
Anom - Bristol

BAE has sought to protect Warton for decades, sacrificing other plants (e.g. Kingston, home of the Harrier, which was always profitable) to protect it - a legacy of the BAC dominance of BAE management after nationalisation in '77.

The assumption was that its loss was too important nationally to allow happen. Will they really just 'let it go', or try, once more, to position it as a 'strategic asset' that needs 'make work' programmes, like Typhoon became (whither FOAS?)?

Time will tell, but note that Tory Procurement Minister Gerald Howarth was there a short while back, getting the guided tour.
Anon - Crawley