BAE sale on ice

A summit of UK shipbuilders has been convened by the UK?s Defence Procurement Agency which has asked representatives of shipbuilding companies to attend a meeting to discuss proposals for Britain?s naval programmes to be allocated on a planned basis. The outcome of this meeting, to be held on 11 October, is likely to influence BAE?s decision concerning the future of its shipyards and industry sources think it unlikely BAE will press ahead with the sale until the negotiations with the government are concluded.

A separate report on the capacity and capability of British shipyards prepared by the Rand Corporation, an influential American think tank, will also be considered.