The Spanish shipbuilding giant Navantia has finalized a deal to acquire Harland & Wolff, ensuring the survival of its four shipyards in Belfast, Scotland, and Devon while saving approximately 1,000 jobs. This rescue package brings an end to the uncertainty that followed Harland & Wolff’s collapse into administration in September, after the UK government declined to offer direct financial support.
The acquisition includes Harland & Wolff’s historic Belfast yard, famous as the birthplace of the Titanic, alongside the Arnish and Methil yards in Scotland and the Appledore yard in Devon.
The financial terms of the deal were not fully disclosed, but the UK government reportedly improved the terms of a £1.6bn Fleet Solid Support (FSS) contract awarded to Navantia for constructing three Royal Navy supply ships. The contract will be shared between Belfast, Appledore, and Puerto Real in Spain.
The Northern Ireland Secretary, Hilary Benn, praised the agreement for securing jobs at Harland & Wolff’s facilities, including 500 positions in Belfast alone. He emphasized that the deal would ensure the timely delivery of the FSS programme, vital for supporting the Royal Navy’s carrier strike group.
Business Secretary Jonathan Reynolds explained in Parliament that offering taxpayer-backed guarantees or loans to save Harland & Wolff would have exposed the UK government to excessive financial risk. Instead, renegotiated FSS terms with Navantia helped secure the future of the shipyards without direct loans or guarantees.
“This agreement secures not only all four yards but also jobs for three years in Belfast and two years in the other locations,” Reynolds stated, adding that there would be “no significant delays” in delivering the FSS vessels.
The deal is also seen as part of the UK government’s broader effort to reset relations with the European Union and deepen security cooperation, particularly as Navantia is involved in six EU defence projects under the Permanent Structured Cooperation (Pesco) framework.
The agreement further strengthens the UK’s sovereign manufacturing capabilities in defence and shipbuilding, while supporting offshore wind initiatives. Navantia, which already collaborates with Harland & Wolff on various projects, hailed the acquisition as a step forward in enhancing the UK’s industrial capabilities.
Defence Secretary John Healey said, “This deal keeps vital defence manufacturing in the UK while delivering growth and strengthening our ability to support the Royal Navy.”
Founded in 1861, Harland & Wolff has a storied history in global shipbuilding, but in recent years it struggled to remain viable amid declining orders. The acquisition by Navantia breathes new life into the company, allowing it to continue contributing to both national defence and commercial projects.
As Navantia integrates Harland & Wolff into its operations, the historic Belfast yard and its counterparts will play pivotal roles in delivering key naval and renewable energy projects, ensuring their place in the modern maritime industry.
