UK government releases tranche of existing funding for Dreadnought submarines

A computer-generated view of the UK's future Dreadnought-class of SSBN, in an image released on 29 July 2026. (BAE Systems)

The UK government will release GBP8.4 billion (USD11.2 billion) of previously assigned investment for the UK's continuous at-sea deterrent (CASD), some of it going to a new contract with BAE Systems for Delivery Phase 4 (DP4) of the SSBN replacement programme, the Prime Minister's office announced in a press release on 29 July 2026.

The GBP8.4 billion is not new money, but was previously forecast within the Dreadnought-class SSBN cost envelope, a UK Ministry of Defence spokesperson told Janes on 30 July. The sum is part of GBP47 billion (itself including previously assigned spending) for SSBNs (including maintenance and infrastructure) out to 2030, under ring-fenced Defence Nuclear Enterprise (DNE) spending laid out in the UK's Defence Investment Plan (DIP) published on 30 June. Total DNE spending from financial year (FY) 26/27 to FY29/30 was set at GBP63.3 billion in the DIP.

As part of DP4 of the UK's Dreadnought-class SSBN programme, to replace the current Vanguard-class, first-of-class HMS Dreadnought is due to complete its sea trials and be ready to enter service with the Royal Navy (RN) in the early 2030s, the government said in the release. The BAE Systems contract will also see boat two, HMS Valiant, start sea trials and fabrication and outfitting of boats three and four, Warspite and King George VI, which are in the early stages of construction, BAE Systems said in a 30 July press release.