Financial Times FT.com

Navy carriers face £1bn cost increase

By Jeremy Lemer and Alex Barker

Published: June 30 2009 03:28 | Last updated: June 30 2009 03:28

The government’s decision to delay production of two new Royal Navy aircraft carriers could cost taxpayers about £1bn ($1.7bn), according to a leaked memo from the consortium building them.

The 65,000-tonne ships could now cost almost £5bn, 25 per cent more than estimated a year ago when the contract was signed. This will add to pressure on the defence budget.

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