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In a major step toward modernizing the U.K. Royal Navy’s auxiliary fleet, Serco U.K. has awarded Damen Shipyards Group a contract to deliver 24 new vessels under a program valued at more than £1 billion.
The award follows the Ministry of Defence’s decision in May to grant Serco contracts worth over £1 billion to provide maritime services for the Royal Navy across key naval bases. The long-term agreement, valued at approximately £850 million over ten years, covers in-port services at HMNB Devonport in Plymouth, HMNB Portsmouth, and the Clyde, including HMNB Faslane.
As part of this program, Serco will serve as the prime contractor for the Vessel Replacement Project (VRP), with Damen acting as subcontractor. The new fleet will include a diverse mix of ASD tugs, RSD tugs, pilot boats, barges, and crane barges, all designed to replace aging support vessels and strengthen operational resilience across the naval bases.
The collaboration is not the first between the two companies. In 2007, Serco and Damen signed an agreement for the delivery of 29 vessels under the Future Provision of Maritime Services program. Since then, both organizations have continued to work together on multiple international maritime projects.
Damen’s Sales Manager for the U.K. and Ireland, Frederik van der Linde, described the deal as a testament to the strength of the partnership. “We are delighted to be awarded this significant contract by Serco. It reaffirms the excellent and complementary relationship between our organizations, and we look forward to working closely on the construction and delivery of these 24 vessels.”
Serco’s maritime services director, Guy Barker, echoed this sentiment, highlighting the importance of the program for the Royal Navy’s future. “Serco is proud to continue its long-standing partnership with the Royal Navy and to work alongside Damen once again. This project marks a significant step forward in modernizing the MoD’s auxiliary fleet. By combining Serco’s operational expertise with Damen’s proven shipbuilding capabilities, we are confident in delivering a fleet that will enhance effectiveness and resilience across U.K. naval bases.”
The delivery phase is set to begin in 2027, with completion scheduled for 2028. Damen will continue to support the vessels throughout their lifecycle via its U.K. service hub, offering warranty services, spare parts, training, and maintenance as part of its global support network.















