Notable Point ยท 2:12-4:20

Why a longer Type 45 run would change its apparent cost

Type 45 illustrates how development costs and a shortened production run can make a warship look far more expensive per hull.

Notes

The proposed Type 45 total fell from twelve ships through several lower figures to six completed destroyers. Recurring construction cost has to be separated from development spending because additional hulls spread the latter across a longer run and permit more efficient ordering. Procurement comparisons therefore need to distinguish fixed program costs from the price of each additional ship. The Type 23 example shows how experience, advance ordering, and fewer construction surprises can reduce recurring cost across a stable production run.