Several British shipyards can build warships, but specialisation limits direct competition between them. In this proposed division of work, the Type 31 yard would continue with Type 32 and other light frigates, while the Type 26 yard would probably take on the more complex Type 83. Domestic production still leaves government funding the profit of suppliers whose principal market it provides, unless it chooses public ownership. Keeping spare capacity available for a surge also has a cost when normal construction runs slowly. The illustrative carrier calculation puts spending at enough for roughly three and a half ships while delivering two, although that estimate depends on how the accounts are treated.
Notable Point · 52:14-55:05
Shipyard specialisation limits competition and adds capacity costs
Specialised yards and deliberately slow construction expose the price of retaining domestic production and capacity for a surge.