An MoD pledge to build three warships in the 海角视频 has been hailed as good news for Appledore Shipyard in North Devon.
The shipyard has been after being , the asset management firm behind Harland & Wolff.
Tim Jones, chairman of the Appledore Taskforce and the South West Business Council, said if Appledore was successful in bidding for the work, it could see the ship yard back to full strength.
He said: "During the run up to the purchase of the Yard by InfraStrata, discussions took place with Senior officials in Whitehall, which gave encouragement to the prospect that MoD work would be directed to the Yard.
"This announcement further reinforces this position. Appledore has all the capabilities to deliver a high quality product, the passion and commitment of the workforce is world renowned. I would urge the MoD to engage with the Appledore Team to ensure that they had every chance of securing some of the current order book.
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"The result of success here for North Devon could be to restore the total employment within the yard back to somewhere near the 600 that used to be employed. Behind this, a huge number of local businesses would gain economic benefit as sub-contractors. The community and economic benefits would be transformational for Northern Devon."
Defence Secretary Ben Wallace has said he wants British-led teams to build support craft for Royal Navy aircraft carriers.
Appledore has a track record of building for the MoD and recently a series of patrol vessels for the Irish Navy.
The Ministry of Defence said plans to build three fleet support warships, set to launch in the spring of next year, will see a 鈥渟ignificant proportion of the build and assembly work to be carried out in the 海角视频鈥.
A Ministry of Defence spokesman said: 鈥淚nternational companies will be invited to work in collaboration with 海角视频 firms to feed in their skills and expertise, but the successful manufacturing team must be led by a British company.
鈥淭his will have a huge impact on the local economies across the 海角视频 where shipbuilding is a prominent feature.鈥
Mr Wallace said: 鈥淪hipbuilding has historically been a British success story, and I am determined to revitalise this amazing industry as part of this Government鈥檚 commitment to build back better.鈥
The GMB Union has long been .
The union said defining the Fleet Solid Support (FSS) ships as military means they must, under strict security rules, be built on these shores.
In 2018 it was revealed that Plymouth鈥檚 Babcock International Group Plc, which runs Devonport Dockyard, was in the running to construct them, but with 11 other firms, including from Spain, Japan and South Korea.
This latest move is expected to support a range of jobs across the country, especially in Scotland.
The spokesman said: 鈥淭he fleet solid support ship competition will build on the success of the Type 31 programme, which will be built primarily in Scotland and is expected to support 1,250 highly skilled jobs and 150 apprenticeships across the country.鈥
The shipbuilding programme aims to 鈥渄evelop the skills and expertise for the shipyards of tomorrow鈥.
A Ministry of Defence spokesperson said: 鈥淭he fleet solid support warships competition will be designed to challenge the shipbuilding industry.
鈥淭he goal will be to build ships fit for the future, while boosting homegrown skills and leading to a highly competitive shipbuilding industry.
鈥淭he warships will incorporate next-generation technology with a purpose-built design and will eventually support HMS Queen Elizabeth and Prince of Wales as part of the carrier strike group, which will undertake its first operational deployment next year.鈥