I somehow missed this article by Sir Humphrey when he posted it a few weeks back. He’s looking at the Australian and Canadian governments’ respective decisions to use the British Type 26 design to replace their current anti-submarine fleets and considering some of the economic and military concerns that led to the decision.

In both cases there have been media articles in the last week over the programmes and concerns. In Canada, the challenge has been that the cost has grown to a total of $77bn for 15 escorts. There has been cost growth from an originally scheduled $14bn many years ago, and the first of class will not now be delivered until 2031. This has led to suggestions in some media quarters that Canada could do things faster and more cheaply if it simply bought an off the shelf foreign design now and got on with things.

An artist’s rendition of BAE’s Type 26 Global Combat Ship, which was selected as the Canadian Surface Combatant design in 2019, the most recent “largest single expenditure in Canadian government history” (as all major weapon systems purchases tend to be).
(BAE Systems, via Flickr)

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The issue now is that Canada will need to establish, almost from scratch, a frigate construction programme and workforce for a finite period of time without a clear plan of what follows on when the last hull is completed. At the same time it will need to run on ships that are becoming increasingly elderly – it is likely that most of the Halifax class will see more than 40 years of service, and some may approach their 50th birthdays before being replaced – something that will pose an increasing maintenance and resource challenge.

Could things be done more cheaply or quickly? Almost certainly yes, but only if you are willing to make massive compromises. It could be possible, for example, to look to licence build an existing design that is already in service. There are plenty of designs out there that could be licence built and brought into service in the next few years — probably at less cost than the T26 programme.

But while this may sound easy, its also a recipe for disaster. It’s easy to look at country X and say “they’re buying this ship for that much” and assume that Canada is getting a bad deal. But Country X is likely to have a very different set of requirements, and their design will reflect it.

For example, Canada needs a ship able to operate with NATO and 5 EYES as a fully integrated player – this adds cost to fit specific systems and equipment that is compatible. Canada will also want to fit bespoke systems to meet national needs – again this will require design changes, that come at a price. Bolting on all manner of different requirements that Canada needs to meet the unique operational circumstances adds price and complexity to the design.

While you probably could take an off the shelf design and build it now, it would be just that, an off the shelf design. It wouldn’t be optimised for local needs, and it wouldn’t have the right equipment, comms, meet local design standards, or be certified for use with national equipment.

You are then faced with two choices – either bring a cheap ship into service that is entirely unsuitable and not designed for your needs, but is a lot cheaper, or spend an enormous amount of money shifting the design to better reflect your needs. If you choose the latter, then suddenly you are adding cost and time in, and the 2031 date will slip even further.

If you choose the former, then you have to accept that the design is “as it comes” and will have minimal Canadian input – so limited industrial offsets, very little economic benefit, and the long-term support solutions will firmly be tied into the country of origin and not Canada. In other words, Canadian taxpayer dollars will be spent to support a foreign economy.

That last point is really the key. Canadian governments, in my lifetime at least, never look at the military requirement as the top priority and sometimes not even the second or third priority. The economic spin-offs, especially in those cases where the benefits can be allocated to marginal parliamentary constituencies, will be the top priority. As is always a talking point in the case of any major military hardware acquisition, this is going to be the “single largest expenditure in Canadian government history”. Just as the replacement of the RCAF’s aged CF-18 fighters will be the largest expenditure in its turn.