:00:00. > :00:08.The battle is on to save Portsmouth's shipbuilding heritage.
:00:09. > :00:11.With closures set for next year, how will more than a thousand families
:00:12. > :00:23.cope with the devastating impact on their lives. It will affect
:00:24. > :00:26.everyone, basically. All my friends and family and every local business
:00:27. > :00:29.around. We'll be asking if the south lost out to Scottish ship building
:00:30. > :00:42.yards because of the independence referendum. It is a sad day for the
:00:43. > :00:45.loss of work in the South yet again for a political decision for
:00:46. > :00:51.Scotland to have all the work and others have nothing. And as the
:00:52. > :00:54.south's contribution to the ?6 billion aircraft carrier contract is
:00:55. > :00:57.brought to a premature end, we'll be looking back at the history and
:00:58. > :01:00.politics surrounding shipbuilding on the south coast ` a region which
:01:01. > :01:04.traditionally thrives in times of war but which now must learn to live
:01:05. > :01:05.with the impact of defence cuts. I'm Robert Hall reporting from
:01:06. > :01:32.Portsmouth for Inside Out South. Sports mode's historic dockyard is
:01:33. > :01:38.still home to some of our most famous warships. More than five
:01:39. > :01:43.centuries after shipbuilding began here came the news last week it was
:01:44. > :01:48.to disappear. BAE Systems who have the monopoly on building warships in
:01:49. > :01:59.Britain broke the story already widely linked, over 1000 jobs were
:02:00. > :02:07.to go in England and Scotland. Statement, the secretary of state
:02:08. > :02:11.for defence. Philip Hammond. With permission I would like to make a
:02:12. > :02:18.statement on the future of shipbuilding programmes of the Royal
:02:19. > :02:21.Navy. The house will be aware that this morning BAE Systems has
:02:22. > :02:28.announced plans for their shipbuilding business. The surge of
:02:29. > :02:31.work for the carriers comes to an end and that will regrettably mean
:02:32. > :02:42.the closure of the shipbuilding yard in Portsmouth. It is all going to
:02:43. > :02:52.Scotland and there is nothing left. I have had 900 through Portsmouth.
:02:53. > :02:57.It is not good for us. A sad day for the loss of work in the South yet
:02:58. > :03:03.again for the political decision for Scotland to have all the work and as
:03:04. > :03:09.have nothing. We build a better product than govern. We have been
:03:10. > :03:13.told we are better than them. Most of the managing directors are
:03:14. > :03:21.Scottish so what can you do? I have worked here 26 years and this is the
:03:22. > :03:29.first time it has happened to me. Starved in the back. Very angry
:03:30. > :03:36.about this. It is not just 1000 jobs, it is 1000 homes. It is the
:03:37. > :03:41.end of shipbuilding in Portsmouth so that is the end for me. One of the
:03:42. > :03:51.hundreds affected is Jim from Portsea. I am going to my parents
:03:52. > :04:00.house to let them know and then going home to see the kids. This is
:04:01. > :04:17.my back garden. My entire life 33 years. Go and tell my mum and dad
:04:18. > :04:27.the bad news. She'll go of her head. We've just been laid off. You've
:04:28. > :04:40.seen it? We've just been told that workers finishing. Not building any
:04:41. > :04:49.more. `` work is finishing. A lot of people are really unhappy
:04:50. > :04:52.but the older boys ROK, it is only the shipbuilding side that is
:04:53. > :04:57.affected. The time of year is rubbish, just before Christmas. Lots
:04:58. > :05:06.of young families to support and take care of. The children grew up
:05:07. > :05:10.here since they were babies. They have been told they are bad is
:05:11. > :05:15.looking for the new job again. It will affect everyone. All my friends
:05:16. > :05:24.and family and every local business around. Very sad. There are so many
:05:25. > :05:31.jobs that are going to be lost on so many families affected. Absolutely
:05:32. > :05:37.awful. This is their life here and it is all to do with Scotland and
:05:38. > :05:41.money. It goes back hundreds of years, completely ruined now and
:05:42. > :05:47.going to foreign labour. It is cutting the heart out. I understand
:05:48. > :05:53.the impact of today's announcement on all other people in Portsmouth
:05:54. > :05:59.and Glasgow. My primary focus along with all of my colleagues is to
:06:00. > :06:01.minimise the impact of today's announcement as much as we possibly
:06:02. > :06:05.can. BAE Systems said there simply weren't enough new orders to sustain
:06:06. > :06:08.the current workforce. 940 staff and 170 agency workers would lose their
:06:09. > :06:15.jobs in Portsmouth by the middle of next year. That's on top of 115
:06:16. > :06:22.agency staff who were told last month that their shipyard contracts
:06:23. > :06:24.were being terminated. The lives of port and city are interwoven, and
:06:25. > :06:28.Doctor Dominic Fontana, who lectures at Portsmouth University, argues
:06:29. > :06:31.that it's not the first time the community has had to adapt to the
:06:32. > :06:38.changing fortunes of the shipbuilding industry. This isn't
:06:39. > :06:48.the first time there's been a major change in the shipping. Over here,
:06:49. > :06:54.we have an area of houses that used to be a shipyard until the early
:06:55. > :07:08.1990s. It is no nice houses and we have a small fishing fleet. `` now.
:07:09. > :07:11.This was one of the fortifications that guards at the entrance to
:07:12. > :07:17.Portsmouth Harbour, a very narrow entrance, and there was a similar
:07:18. > :07:26.tone on the other side. In between the two, there was a chain that used
:07:27. > :07:31.to defend the harbour entrance. This is really the these in Portsmouth
:07:32. > :07:39.this year. It is very defendable but in order to defend it properly, you
:07:40. > :07:41.have to have ships. Here is an illustration of how much our
:07:42. > :07:46.shipbuilding heritage has declined. From 42% of the world's new ships in
:07:47. > :07:49.the 1950s to just 4% 20years on. As naval historian Duncan Redford
:07:50. > :07:56.points out, our ships stood out across centuries of maritime
:07:57. > :08:00.history. Portsmouth built a lot of very famous warships in its day. The
:08:01. > :08:03.Mary Rose in its new ship hall was built here in Portsmouth, this
:08:04. > :08:06.dockyard build HMS Dreadnought, the first big gunned battleship that
:08:07. > :08:09.gave the name to the type of battleship that fought the First
:08:10. > :08:13.World War, the navy's flagship at the battle of Jutland in 1916, HMS
:08:14. > :08:15.Ironduke was guilt here in this dockyard the dockyard has built
:08:16. > :08:18.battleships, destroyers, cruise ships frigates even submarines for
:08:19. > :08:33.the royal navy and for commonwealth navies as well. `` was built here.
:08:34. > :08:40.Duncan Redford says history teaches us that Portsmouth's fortunes can
:08:41. > :08:44.travel full circle. Yes, the news is bad news for Portsmouth but behind
:08:45. > :08:51.us we have HMS Duncan the future of the Royal Navy. The Royal Navy's
:08:52. > :08:54.latest warship, built on the Clyde, but built from components that came
:08:55. > :08:58.from Portsmouth dockyard and many other sites around the country. This
:08:59. > :09:02.isn't the first time that Portsmouth has lost shipbuilding ` from the mid
:09:03. > :09:06.1960s through to the late 1990s the dockyard did not build a ship for
:09:07. > :09:14.the royal navy so what has gone could possibly come back in the
:09:15. > :09:18.future, if there is a demand for it. Fundamentally BAE doesn't want to
:09:19. > :09:29.spend enough money on the navy to justify the level of shipbuilding
:09:30. > :09:36.sites that we currently have. Back at the fortified entrance to the
:09:37. > :09:41.Fort, he recalled another occasion when Portsmouth stood firm against
:09:42. > :09:45.adversity, a battle which claimed a flagship built here and now one of
:09:46. > :09:54.the world's most successful visitor attractions. This picture shows us
:09:55. > :10:00.what was going on in the invasion attempt of July 15 45. The French
:10:01. > :10:05.are attacking England and it is the English fleet that is here and
:10:06. > :10:14.defending Portsmouth from invasion by a huge French army. The port of
:10:15. > :10:25.Portsmouth is absolutely crucial. 500 years of shipbuilding.
:10:26. > :10:31.The first Royal dockyard was built in Portsmouth in 1212, 800 years
:10:32. > :10:35.ago. The Mary Rose was amongst the first of the really big ships 500
:10:36. > :10:42.years ago so there's an incredibly long tradition of building ships for
:10:43. > :10:49.the defence of the UK. Portsmouth was shipbuilding in the sea and it
:10:50. > :10:55.was an incredibly vibrant place with sailors coming home from the sea and
:10:56. > :11:02.they had an incredible thirst. They were lots of breweries producing
:11:03. > :11:12.huge amounts of air. It is all gone. `` air. During the Napoleonic
:11:13. > :11:16.period, Portsmouth was lively but it was not the kind of place you would
:11:17. > :11:23.call if you wear a gent he'll, nice person. It was a place you could
:11:24. > :11:26.earn a very good living `` genteel. Of course many will remember
:11:27. > :11:29.Portsmouth on the 5th of April 1982 when HMS Hermes and Invincible
:11:30. > :11:33.sailed from here as part of a taskforce of 100 ships heading for
:11:34. > :11:36.the South Atlantic and the Falklands war. Commanding the Ardent, which
:11:37. > :11:40.sunk with the loss of more than 20 men, was Admiral West whose heroism
:11:41. > :11:45.at the time was recognised with the Distinguished Service Cross. He says
:11:46. > :11:48.the loss of Portsmouth as a ship building centre is directly due to
:11:49. > :12:02.defence cuts and leaves the country dangerously exposed. Part of the
:12:03. > :12:05.pressure on the yards has been that Our navy has been cut in size quite
:12:06. > :12:09.dramatically. When I fought in the Falklands and was sunk there we had
:12:10. > :12:16.over 50 frigates and destroyers, not counting aircraft carriers. In the
:12:17. > :12:20.Defence Review 1998 which everyone regarded as best review for 40 years
:12:21. > :12:31.` the view was we should have about 30 frigates and destroyers. We now
:12:32. > :12:35.have 19 and everyone agrees pretty well that 19 is not enough for a
:12:36. > :12:39.nation like ours reliant on the sea with interests all over the world,
:12:40. > :12:54.95% imported by sea ` 19 is not enough. The biggest investor of any
:12:55. > :13:05.European country in south Asia. A huge chunk of our energy coming from
:13:06. > :13:08.our sea as well. Of course if you only have that number and you keep
:13:09. > :13:11.scrapping ships and never ordering them, then it's very difficult to
:13:12. > :13:15.have a warship building capability in the country ` and recently we
:13:16. > :13:22.have type 45 destroyer ` six of those were built and we were going
:13:23. > :13:28.to have 12. Instantly you have a problem. We had the carriers
:13:29. > :13:31.building but no other ships building. To my mind, it's very
:13:32. > :13:34.risky to our nation not to have sufficient capacity for building
:13:35. > :13:41.warships ` by closing yards we close that option. When our country is
:13:42. > :13:45.wealthier we will have to build up again. We haven't looked at this in
:13:46. > :13:54.a strategic way. I believe there's a need for another stream.
:13:55. > :13:57.I understand the commercial decision and BAE Systems have always wanted
:13:58. > :14:02.to cause Portsmouth but I believe there less for another stream, and
:14:03. > :14:07.that does not even take into account the problem with the Scottish people
:14:08. > :14:14.decide to separate from the UK. We would then have two degenerate they
:14:15. > :14:23.yard in Portsmouth `` regenerate the yard in Portsmouth, and we would not
:14:24. > :14:26.spend ?7.5 billion on building ships in a foreign country.
:14:27. > :14:30.But Richard Clayton from the consultancy group HIS is convinced
:14:31. > :14:37.that the decision to move work to Scotland was not politically
:14:38. > :14:41.motivated. I understand that BAE Systems made a strategic view and
:14:42. > :14:44.took a commercial decision that one of these shipyards' ship building
:14:45. > :14:50.facilities would have to close, now I personally don't think it was
:14:51. > :14:54.anything to do with Scotland. I think it was a commercial decision
:14:55. > :14:59.taken for commercial reasons ` that doesn't make it any easier to
:15:00. > :15:03.accept. They've been saying for a long time that it's going to shut
:15:04. > :15:06.down, it's going to shut down, but they've been saying that since I've
:15:07. > :15:10.been in there and it's never happened before but basically the
:15:11. > :15:14.way the government is at the moment and with money and budgets then it's
:15:15. > :15:17.hard to find the money. They've just been told it's an extra two million
:15:18. > :15:20.over budget or something, do you know what I mean? You can't answer
:15:21. > :15:23.things like that. It's not acceptable. They went for a meeting,
:15:24. > :15:27.came back and said, basically everyone go home today, you'll get
:15:28. > :15:38.paid by BAE but carry on tomorrow as normal as if nothing's happened. How
:15:39. > :15:42.can you do that? There's 800 men at work in the yard, how can we all
:15:43. > :15:45.carry on as if nothing has happened? As the news sunk in, thousands of
:15:46. > :15:49.people signed up to support a Facebook campaign ` Save Portsmouth
:15:50. > :16:02.Shipyard ` calling on BAE Systems to rethink the job cuts. And a protest
:16:03. > :16:07.march was rapidly organised. My feeling is I think it is a disgrace
:16:08. > :16:14.and I think the Portsmouth people should stand and fight. Everybody! I
:16:15. > :16:17.think it is the really a wrong decision and there is absolutely
:16:18. > :16:23.wrong but I do not see any allies for us. I think Portsmouth has been
:16:24. > :16:29.badly let down. The whole tone is coming out and it is about the tone
:16:30. > :16:33.and the heritage. I am absolutely disgusted by the government. I
:16:34. > :16:37.cannot believe they are closing down the only shipbuilding place in
:16:38. > :16:43.England. The city has nothing except the dockyards. We do not think it is
:16:44. > :16:48.fear of the government are picking on Portsmouth. It is our heritage
:16:49. > :16:53.and her study and shipbuilding has been here for hundreds of years.
:16:54. > :16:58.Really disappointed with Penny Martin because she works with Philip
:16:59. > :17:02.Hammond and less as a decision that has been taken with BAE Systems and
:17:03. > :17:06.the government and the a lot of people will be put out of work. That
:17:07. > :17:11.is what we are here to show our support for, the workers, and for
:17:12. > :17:19.shipbuilding across the country. We also feel for those in Glasgow. The
:17:20. > :17:25.Conservative MP is a Royal Navy reservist. But she is in a difficult
:17:26. > :17:28.position. Parliamentary Private Secretary to Philip Hammond, she's
:17:29. > :17:33.not allowed to speak about issues in Parliament. Archie says she believes
:17:34. > :17:41.it might be possible to keep the open. `` at she says. We have got to
:17:42. > :17:44.get orders in. I have been speaking to a lot of companies who are
:17:45. > :17:48.interested in the yard and I'm going back to some companies that BAE have
:17:49. > :17:53.turned down work for. We tried to get BAE to build a successor to
:17:54. > :18:00.protector. There are companies that wanted double hulled vessels built.
:18:01. > :18:06.BAE were not interested in that work. If we can find work either for
:18:07. > :18:12.BAE to do, or, as is more likely, for other companies to do, that has
:18:13. > :18:19.got to be our focus for those 940 individuals, some of whom might be
:18:20. > :18:24.out of a job. Often you have people from the same family. We have got
:18:25. > :18:32.generations of shipbuilders in this cut `` city. It is bad for the
:18:33. > :18:36.country. We have got to retain the sovereign capability to build
:18:37. > :18:42.ships, to build warships, and to service them. If this had not
:18:43. > :18:46.happened, people would have said there was no concern. This rally is
:18:47. > :18:51.the start of a lengthy process of trying to bring home to the
:18:52. > :19:00.government and to attempt to `` BAE that people in the city do care
:19:01. > :19:03.about it. People still believe they have been sold down the river by the
:19:04. > :19:07.government on this issue over Scotland. They also believe this was
:19:08. > :19:11.all done as part of the stitch up between someone micro and the
:19:12. > :19:15.government over BAE taking the share of the cuts, the share of the
:19:16. > :19:23.overrun but it on the aircraft carriers. Once that was done,
:19:24. > :19:25.Portsmouth's fate was sealed. I don't believe the money is and
:19:26. > :19:30.therefore shipbuilding in the country. It is just where they want
:19:31. > :19:35.to go for cheap alternatives. I understand some of our ships are
:19:36. > :19:40.being built in Korea. Why is that decision being taken? We have a 72
:19:41. > :19:46.hours to think about it and take some of the story. It is important
:19:47. > :19:51.to say that shipbuilding has been in decline in the UK for about 100
:19:52. > :19:57.years. The heyday of British building was in the years leading up
:19:58. > :20:01.to the First World War and immediately afterwards. Since then,
:20:02. > :20:06.the French and the Germans and the Spanish and the Dutch and the
:20:07. > :20:13.Scandinavians and all kinds of people have taken our business away.
:20:14. > :20:20.Since then, the Japanese took a lot of business in the 70s, and then the
:20:21. > :20:24.Koreans in the 90s, and then the Chinese in the past ten or 15 years.
:20:25. > :20:28.If you add up the amount of shipbuilding that has taken place in
:20:29. > :20:32.Asia, it is 80% of all ships on the construction. There is little left
:20:33. > :20:41.for the European market. British building has been left with Pat,
:20:42. > :20:46.nothing. `` practically nothing. The loss of Portsmouth is just the
:20:47. > :20:54.latest in a long series of decline for British building. If you want to
:20:55. > :20:56.build warships, if you want the country to have a sovereign
:20:57. > :21:05.capability, you have to order warships. That is our problem. We
:21:06. > :21:08.can't keep up with... We have the capacity but we don't have the
:21:09. > :21:14.requirement for the number of ships that were used to. 30 years ago, the
:21:15. > :21:22.number of ships being commissioned by the Royal Navy was approximately
:21:23. > :21:27.3.7 ships per year. Today we are at 0.7. That shows you the massive
:21:28. > :21:33.change that has gone on, and yet the capability to build ships hasn't
:21:34. > :21:42.shrunk in order with the levels of decline in terms of sales.
:21:43. > :21:45.Southampton has already been through the pain which now seems inevitable
:21:46. > :21:48.for Portsmouth. The John I Thorneycroft shipyard at Woolston
:21:49. > :21:51.was one of the city's major employers, delivering its first ship
:21:52. > :21:55.to the Royal Navy, HMS Tartar, in 1907. It built scores of warships
:21:56. > :21:58.for the First World War, and during the Falklands crisis experts from
:21:59. > :22:01.Woolston played a big part in converting the liners Canberra and
:22:02. > :22:05.QE2 into troop ships. But in 2003 came the shock news that Woolston
:22:06. > :22:20.would close and the work would go to Portsmouth. Down the road I run.
:22:21. > :22:27.Don't forget to show the path at the mine. But while I am dreaming and
:22:28. > :22:35.going down memory lane, let us remember the company that is our
:22:36. > :22:39.loss and Pompey's gain. We had been there from gone 100 years before the
:22:40. > :22:42.bulldozers came and fought us to tears.
:22:43. > :22:45.Nonetheless, ten years ago things were looking bright for shipbuilding
:22:46. > :22:47.on the south coast as a newly`opened Vosper Thorneycroft yard in
:22:48. > :22:57.Portsmouth prepared to work on orders to build the new Type 45
:22:58. > :23:00.destroyers. Portsmouth has been in the spotlight for two reasons,
:23:01. > :23:05.firstly the opening of this new shipyard, the first to open in the
:23:06. > :23:09.UK for 60 years. We have competition. This facility puts the
:23:10. > :23:20.company are strong position to compete desolate `` successfully.
:23:21. > :23:24.Despite the optimism generated by work on the Type 45 destroyers,
:23:25. > :23:27.there were even then signs of things to come. The original plan had been
:23:28. > :23:31.for 12 destroyers to be built, but belt tightening meant the order was
:23:32. > :23:36.slashed to just six. So Portsmouth faces a battle onto my
:23:37. > :23:44.first front. Firstly it needs to track `` The battle facing
:23:45. > :23:46.Portsmouth now is to attract new jobs and retain skills.
:23:47. > :23:49.Iit shouldn't be forgotten that 11,000 people are still employed on
:23:50. > :23:52.maintenance of ships, and the government has promised ?100 million
:23:53. > :23:56.to develop Portsmouth as the base for the two new aircraft carriers.
:23:57. > :24:00.But many say that's old money, and more is now needed to plug the gap
:24:01. > :24:06.left by the demise of shipbuilding. Any major loss of jobs, first of all
:24:07. > :24:11.you have to feel disappointed for the people who have lost their job.
:24:12. > :24:15.940 direct jobs and possibly up to 2000 indirect jobs, it is a huge
:24:16. > :24:20.economic blow to the region. This is not just people who live in
:24:21. > :24:23.Portsmouth. This is a wider Solent region. Sometimes we focus on the
:24:24. > :24:32.city 's directly affected. But it does affect the wider region. Off
:24:33. > :24:36.the back of the Ford factory, this has been a bad couple of weeks for
:24:37. > :24:46.us in this region. Government have to recognise that is any, priority
:24:47. > :24:51.`` there is an economic priority. Just going home now to tell my wife
:24:52. > :25:00.the bad news, and the children. Hopefully she will be OK about it
:25:01. > :25:04.but maybe not. We will see. April next year, April, May, they up
:25:05. > :25:09.closing the shipbuilding completely. No more ships being built. We are
:25:10. > :25:16.all right for the moment but we have to look for something shortly. We
:25:17. > :25:24.have just got to accept it. It is out of our hands. We have got to
:25:25. > :25:29.make the most of it. It is known good being down. I have got four
:25:30. > :25:33.kids. I can't come home depressed. I may feel down and crap, but you have
:25:34. > :25:40.got to do what you have got to do. I have defined whelk `` work `` I have
:25:41. > :25:45.to find work elsewhere. You have to be positive or you would just sit
:25:46. > :25:52.there depressed. I don't want to go and sign on. I want to go out and
:25:53. > :25:56.look for work. Shipbuilding is a very labour`intensive industry. It
:25:57. > :26:01.is best done where Labour is cheap. For the Japanese in the 70s, they
:26:02. > :26:05.found that their Labour was undercut by the Koreans. The Koreans have
:26:06. > :26:10.been undercut by the Chinese. The Chinese are being undercut by the
:26:11. > :26:16.Vietnamese. Wherever they go, there is always somebody else who once the
:26:17. > :26:22.business `` wants the business for lower wages. It will be a
:26:23. > :26:27.disappointment but we have to take `` come to terms that we don't make
:26:28. > :26:32.aeroplanes or cars any more. Why is it any different that we don't build
:26:33. > :26:35.ships now? It is important for us all to understand that British
:26:36. > :26:43.shipbuilding started in places like Sunderland and Newcastle, Liverpool
:26:44. > :26:46.and Barrow, Glasgow. All of those cities have had to learn to adapt to
:26:47. > :26:51.new technologies when the shipbuilding industry went into
:26:52. > :26:55.decline. The employees there have moved away into different site
:26:56. > :27:01.tours. That they work at sea. Perhaps they work in the offshore
:27:02. > :27:04.sector. `` perhaps they work at sea. They have had to adapt and I think
:27:05. > :27:11.the people in of Portsmouth are going to have to learn to do that as
:27:12. > :27:20.well stop `` as well. Daniel Defoe said in 1720 that when this war ``
:27:21. > :27:24.there is war with France or Spain, Portsmouth becomes rich. It has
:27:25. > :27:29.always been important to the city when there has been a need for the
:27:30. > :27:34.Navy. Times of peace, when is a reduced need for the Navy,
:27:35. > :27:41.Portsmouth has always suffered. This is part of an ongoing historical
:27:42. > :27:47.process. It is a shame that 500 years of tradition shipbuilding is
:27:48. > :27:52.coming to an end here. Certainly there have been times in the past
:27:53. > :27:57.when shipbuilding has been at a fairly low ebb within Portsmouth.
:27:58. > :28:07.But it has always come back. Whether it comes back in the future, I don't
:28:08. > :28:11.know. Is this the end of an ancient tradition? The unions certainly hope
:28:12. > :28:15.not. They have already begun pressing their case. In the coming
:28:16. > :28:23.days, weeks and months, all sides will be trying to find a future for
:28:24. > :28:28.English shipbuilding. We will be all right. We are from Portsmouth. We
:28:29. > :28:30.have been through a lot in the past. Home is where the heart is. We will
:28:31. > :29:08.be good. Hopefully. Hello, I'm Ellie Crisell with your
:29:09. > :29:13.90-second update. A state of national calamity in the
:29:14. > :29:16.Philippines. The devastating typhoon is thought to have killed 10,000
:29:17. > :29:17.people. Millions have no