Maritime UK welcomes Labour focus on procurement

Maritime UK, which represents the UK’s shipping, ports, services, engineering and leisure marine industries, has welcomed Labour's focus on procurement, believing it a key component of a modern and credible industrial strategy.

The group believes it is right for the government to use its purchasing power to support British industry. In government procurement Maritime UK calls not for protectionism, but for a level playing field for UK companies.

Chairman, David Dingle said:

“Britain is an internationalist, free trading, maritime nation. Whilst that must remain so, we need to review the way we procure to ensure British companies are not at a disadvantage.

"We’re not calling for protectionism but for UK firms to be able to compete on a level playing field when it comes to government procurement.

"It is completely right that UK business is encouraged to bid for the procurement of the three new Fleet Solid Support Ships to support the Royal Navy. The UK is a maritime nation and has the skills and expertise to build these ships at home. There is a strong argument that RFA ships should be built here in the same way as Royal Navy ships are. We believe that would be in the spirit of the National Shipbuilding Strategy.

The UK’s expertise and capacity is evidenced by the recent launch of the RRS David Attenborough, which is among the most sophisticated, technologically advanced scientific vessels in the world.

“Projects like the RRS David Attenborough are made possible when the UK Government provides UK manufacturers with a level playing field to compete against our international counterparts. British manufacturers are not asking for a ‘leg up’, but to simply be considered on the same page as our international competitors.

Many yards competing for the RFA contract overseas are subsidised by their governments.

“There is a strong argument to exclude overseas yards subsidised by their governments. It’s very difficult for British companies to compete on that basis.”

“We need Government to take a more holistic view when considering the terms for new procurement. While initial capital expenditure for UK projects may come at a slight premium, the long term benefits to UK economy through employment, training and productivity throughout a considerable supply chain will vastly outweigh the primary saving. 

“What’s more, we’ll continue to develop the skills and expertise that will translate into further exports. It’s a fortuitous – and crucially, sustainable – cycle.

“The UK is already a leading manufacturer of superyachts, naval vessels including the new aircraft carriers, high-speed ferries and highly innovative autonomous vessels, beside much more. Backing British represents a sound investment in our future in a post-Brexit world.”