VT eyes new destroyers deal

BRITAIN'S first new naval dockyard for 100 years, owned by VT Group, could be boosted by further orders for the new Type 45 destroyer.

When Defence Secretary Geoff Hoon opened the £50m yard at Portsmouth last September, he hinted at further destroyer orders.

VT, the former Vosper Thornycroft, has already had an order for six Type 45s in a £4.3bn contract that has boosted its order book to a record £2.2bn.

VT will build the bow section, funnels and masts for the state-of-the-art destroyers. The parts will be shipped by barge for final assembly at BAE Systems' Scottish yards. A further three or four Type 45 destroyers are likely to be ordered soon.

VT chief executive Paul Lester hopes to persuade the Minister that the group is also able to build at least one of two offshore patrol vessels needed by the Navy. Lester said VT support services, which provides training and logistics for the military communications support and careers services, now accounts for 75% of VT's business.

At the interim stage ending September, pre-tax profits before goodwill, amortisation and exceptional items increased by 11% to £20m. The interim dividend goes up by 12% to 7.7p.