Rolls-Royce Submarines confirms 130 job investment for Cardiff with hopes it will lead to thousands more

Rolls-Royce Submarines is creating 130 high-skilled jobs Cardiff in a first phase investment that has the potential to see thousands more.

The investment, confirmed by the Ministry of Defence, is linked to a multi-billion contract to deliver a new fleet of attack nuclear submarines for the Australia Government. The AUKUS programme also involves the US government

The confirmed investment will be located at Paramount Business Park in St Mellons. However, Rolls-Royce has identified the planned new Cardiff Parkway mainline train station and integrated business park at St Mellons as a potential location for a major hub for its involvement in the AUKUS programme. While it will appraise other UK locations, with supply chain co-investment, there is the potential for several thousand new jobs being created at Cardiff Parkway.

Both elements of the scheme, in a £120m four platform station and business park, were called by the Welsh Government. Following the reopening of a planning hearing in January, after it strengthened planning policy on the protection of sites of special scientific interest, a final decision by the Welsh Government will be made later this month. This is likely to be taken after the appointment of a new First Minister.

Rolls-Royce, in providing evidence to the hearing, appraised Cardiff Parkway as an ideal site for expansion with its own mainline train station – with prospects for increased services across South Wales and to Bristol – as well as the security provided by a dedicated and secure campus at an out of city centre location.

An artist’s impression of the Cardiff Hendre Lakes development, leading down towards Cardiff Parkway train station

The Parkway station and integrated business park, which over the long-term could provide 900,000 sq ft of mainly new office, but with leisure and a small element of retail space, is being developed by Cardiff Parkway Developments. The Welsh Government has a minority 10% equity stake in the business, in which financial services giant Investec has the biggest equity interest. The other investors are entrepreneur Nigel Roberts and his family.

As part of the AUKUS programme Rolls-Royce Submarines will provide all the nuclear reactor plants that will power the new attack submarines. As part of a first phase 200 job investment, Rolls-Royce Submarine is also establishing an operation in Glasgow.

In Cardiff it is looking to attract people with a background in mechanical design, materials engineering, structural integrity analysis, thermal analysis and fluid dynamics. For Glasgow, the focus is on recruiting those with a pedigree in electrical controls and instrumentation and cyber security.

Steve Carlier, president of Rolls-Royce Submarines, said: “From our commitments to maintaining the UK’s nuclear deterrent through our deliveries into the Dreadnought programme, to increased demand as a result of AUKUS, this is a time of unprecedented growth for our business. To help us succeed we want to attract the brightest and best from across the UK to help us build a better world with nuclear.

“The work secured from recent announcements will see us support UK and Australian submarines well into the second half of this century, so there has never been a better time to join our industry.”

Minister for Defence Procurement, James Cartlidge, said:“We are excited to continue our partnership with British industry to not only strengthen defence capabilities of the UK and our allies, but also support jobs nationwide.

“Thousands of jobs will be created and sustained through the AUKUS partnership and this is another example of how the UK government continues to work towards providing growth and prosperity all across the country.”

Welsh Secretary David TC Davies said: “It’s great news for Wales that UK Government funding is enabling Rolls-Royce to open new offices in Cardiff. This investment is leading to over a hundred highly skilled and well-paid new jobs in our capital city.

“The UK Government is focussed on doing all we can to drive prosperity and growth and make sure Wales’s economy is fit for the 21st century. We’re delighted to be working with Rolls-Royce who are helping us achieve this.”

Cardiff Council is hopeful that the first phase investment will lead to thousands of more jobs being created if the Welsh Government gives to go ahead to the Cardiff Parkway project.

Russell Goodway, Cardiff Council cabinet member for investment and development said: “The decision by Rolls Royce to select St Mellons in Cardiff for their investment to deliver a new engineering office to support the growth of their nuclear business in the UK is a major boost not only for the economy of Cardiff and its city region but also Wales.

“I was delighted to be able to meet the Rolls Royce team at an early stage in their decision-making process and offer them the full support of the council in establishing their office in St Mellons.

“The investment not only brings an iconic multinational business to Cardiff, but with-it new skills to support a growing global industrial sector. In terms of its long-term impact on the economy, this inward investment project has the potential to follow other transformational investments from the likes of Admiral, IQE, and Legal and General, which the council was also heavily involved with.

“The investment will provide long-term skilled, and well-paid employment across our communities, creating a tremendous boost to innovation and research amongst Universities and Colleges across Wales and I understand some of these innovation partnerships have already been established.

“In our discussions it was also clear that the decision by Rolls Royce in selecting St Mellons was heavily influenced by the prospect of a planned new rail station serving the business park, and I am delighted the council team were able to work closely with the developer at St Mellons to land this prestigious project.”

In evidence provided to the Parkway planning hearing, in the form of a letter to leader of Cardiff Council, Huw Thomas, a Rolls-Royce executive said: “We selected our premises at St Mellons in Cardiff that meet our current needs, but also has expansion potential when the proposed Cardiff Parkway Station and business district come forward. Our demographic studies show that there is a talent pool in the region and a rail hub will extend our reach.

“We will be able to reach a considerably wider catchment area with sustainable transport access, with the further attraction of direct connectivity to our customers and suppliers in Bristol and London, along with links to Cardiff and Swansea universities. This vision of the Cardiff Parkway railway station and development makes your location attractive and is a key consideration in the potential expansion of our presence in Cardiff.”

Rolls-Royce Submarines currently employs more than 4,000 people to design, manufacture and provide in-service support to the pressurised water reactors that power every boat in the Royal Navy’s submarine fleet.”