UK MoD Signs £9 Billion Deal with Rolls-Royce to Boost Submarine Fleet and National Security

On January 24, 2025, the UK Ministry of Defence (MoD) signed a £9 billion ($11.16 billion) contract with Rolls-Royce Submarines Ltd, marking the largest deal in the company’s history. This eight-year agreement, known as the Unity contract, encompasses the design, manufacture, and support services for nuclear reactors that will power the Royal Navy’s submarine fleet.

Vanguard-Class nuclear submarine at sea. (Via UK MoD)

The Unity contract between the UK Ministry of Defence and Rolls-Royce Submarines is set to create 1,000 new jobs and protect 4,000 existing ones. This deal will boost the UK’s security and economy. The government said the new deal “streamlines” previous contracts and “incentivizes more efficient delivery”, resulting in savings of £400m over the eight-year term of the contract.

Defence Secretary John Healey MP stated:

“This investment strengthens Britain’s defense, supports British businesses, and creates jobs while enhancing national security. Aligned with our upcoming defense industrial strategy, this partnership with Rolls-Royce, will boost high-skilled UK jobs and support submariners who keep us safe. Defense is proving to be an engine for growth, delivering better value for taxpayers.”

Artist’s impression of a future dreadnought submarine above water
(Via X/@RollsRoyce )

The submarines supported by the Unity contract are an essential part of the UK’s national defense, powered by advanced nuclear reactors designed and manufactured by Rolls-Royce Submarines Ltd. These nuclear-powered vessels are capable of operating underwater for extended periods, providing the UK with stealth and global reach without the need for frequent refueling. As a key component of the UK’s Continuous At-Sea Deterrent (CASD), they ensure at least one submarine is always on patrol, maintaining the nation’s strategic nuclear deterrent. Equipped with cutting-edge technology, including advanced sonar systems, navigation tools, and missile capabilities, these submarines play a vital role in safeguarding national security. They also contribute to international defense commitments under the AUKUS pact with the U.S. and Australia, focusing on advancements in nuclear submarine technology. Operated by highly skilled Royal Navy personnel, these submarines demonstrate the UK’s commitment to maintaining a robust and modern defense system while fostering technological innovation and economic growth.