BAE Systems has been awarded a contract worth £3.7 billion by the UK Ministry of Defence to manufacture the first three ships in the Type 26 Global Combat Ship programme, and the first steel is due to be cut in Glasgow in the coming weeks (www.baesystems.com).

This contract will underpin the next two decades of shipbuilding in Scotland, securing more than 3,400 jobs across BAE Systems and the maritime supply chain.

Defence Secretary Michael Fallon said: “The Type 26 frigate is a cutting-edge warship, combining the expertise of the British shipbuilding industry with the excellence of the Royal Navy.

“Backed by a rising defence budget and a £178 billion Equipment Plan, the Type 26 programme will bring vast economic benefits to Scotland and the wider UK.”

Charles Woodburn, chief executive of BAE Systems, said: “We will continue to invest in our technologies, productivity and people to help us deliver these ships to the highest standards.

“We currently have five River Class Offshore Patrol vessels at varying stages of construction for the Royal Navy across our shipyards in Glasgow, and we look forward to starting manufacture on the first Type 26 ship in the coming weeks.”

The Type 26 Global Combat Ship will be the world’s most advanced anti-submarine warfare ship and will replace the anti-submarine variant of the Type 23 frigate.

Globally deployable, it will be capable of undertaking a wide range of roles — from high intensity warfare to humanitarian assistance — either operating independently or as part of a task group.