In a monumental step for the trilateral AUKUS pact, the British and Australian governments have unveiled a joint £1.2 billion investment to radically overhaul Western Australia's Henderson Shipyard. This colossal down payment marks the beginning of its transformation into a world-class facility capable of building and maintaining the future fleet of nuclear-powered submarines.
The funding, a direct outcome of the landmark Defence and Security Cooperation Agreement signed by Prime Ministers Anthony Albanese and Keir Starmer, signals a fierce commitment to the pillar I plan of the AUKUS alliance. The upgrade is pivotal for constructing the UK-designed SSN-AUKUS submarines and sustaining Australia's current Collins-class fleet.
A Strategic Hub for the Indo-Pacific
The Henderson precinct in Perth is poised to become the epicentre of Australian naval manufacturing. This investment directly safeguards over 3,000 highly skilled jobs and is projected to create thousands more, establishing a critical sovereign capability for Australia and its allies.
"This isn't just an upgrade; it's a strategic necessity," the agreement underscores. The modernised shipyard will be equipped to handle the immense complexity and stringent safety requirements of nuclear-powered vessels, ensuring Australia can steward its own fleet.
More Than Subs: A Broader Naval Vision
While the shadow of the AUKUS submarines looms large, the funding will also bolster Henderson's role in building and sustaining the Royal Australian Navy's surface fleet, including new general-purpose frigates and Hunter-class frigates. This dual-purpose approach maximises the value of the investment, creating a versatile and resilient naval hub.
The announcement, made ahead of high-level ministerial meetings, alleviates growing concerns from industry leaders about project timelines. It provides the certainty needed for major firms like Austal and Civmec to invest in their own workforce and infrastructure, knowing the government's commitment is now set in stone.
This massive investment in Western Australian industry solidifies the UK-Australia defence relationship and sends a powerful message of deterrence and stability across the Indo-Pacific region.
