Ferguson Marine and BAE Systems have signed a contract to fabricate three structural components for HMS Birmingham as part of the Type 26 programme.

The contract will help to sustain and grow the 300-strong Ferguson Marine workforce over the next two to three years.

After building the sections of the frigate they will be taken to BAE’s Govan yard where the warship is being assembled. There has been no confirmation of the value of the contract or the completion deadline.

A report from a committee of MSPs last week said the state-owned yard’s future was in doubt unless new orders were placed quickly. It has been beset by delays and cost overruns on two ferries to serve the islands.

The contract with BAE Systems comes as the Clyde yard is finishing the Glen Rosa ferry, the only work on its books.

There had been hints in January that an order was in the pipeline when the interim CEO John Petticrew told the parliament’s Net Zero, Energy and Transport Committee, that the yard was negotiating for a major subcontract.

After the order was confirmed, Deputy First Minister Kate Forbes said: “This contract award is a positive demonstration of the shipyard’s capabilities, skills and ability to win work in a commercial playing field, and most importantly, the workers at Ferguson Marine.

“The Scottish Government’s decision to take Ferguson Marine into public ownership saved the last commercial shipyard on the Clyde and we continue to ensure the long-term future of the Yard and the workforce, with investment of up to £14.2 million in the yard over the next two years in order to help it modernise and secure further future business.

“Securing new business for the Ferguson Marine Yard has always been vital for the Scottish Government, which is why this contract is so welcome.

“I sincerely hope that the business’s future commercial strategy, which is being spearheaded by a new CEO, will enable Ferguson Marine to win new business in its target markets.”

Scottish Labour Economy, Business and Fair Work spokesperson Daniel Johnson said: “It is good news that Ferguson Marine has secured this contract with BAE Systems to help further enhance the UK’s maritime capability, making use of the skilled workforce there. 

“It is a real boost for Fergusons and Scottish shipbuilding and highlights the kind of good jobs and opportunities that’ll come to Scotland thanks to the UK Labour Government’s investment in our country’s defence.  

“SNP ministers have a habit of rushing down to Port Glasgow for a photo-op but any crowing from them about this would be the height of hypocrisy. 

“Their student union politics on defence has put good, skilled jobs at risk in Scotland. But as we saw last month, if the SNP won’t step up to support skills and jobs in Scotland, then Labour will.”

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