London Daily

Focus on the big picture.
Tuesday, Jul 28, 2026

AUKUS nuclear submarine deal not a ‘betrayal,’ UK defence minister says, as French cut out of lucrative military contract

AUKUS nuclear submarine deal not a ‘betrayal,’ UK defence minister says, as French cut out of lucrative military contract

Britain’s defence minister has said he understands the disappointment of the French government and Naval Group at the loss of a major contract with Australia, but insisted it was not a ‘betrayal’ of Paris by the AUKUS partners.
Speaking on Thursday, Ben Wallace said that the UK had no strategic differences with France after Paris and French shipbuilder Naval Group were cut out of a deal to deliver submarines to Australia.

The AUKUS (Australia, UK, US) pact, announced by the countries’ leaders on Wednesday night, will see Australia procure conventionally armed, nuclear-powered submarines from their UK and US allies.

The agreement comes at the expense of Naval Group, whose 2016 deal with Australia will now be thrown out. It will be the first time the UK and US, both of which have operated nuclear submarines for decades, have shared nuclear technology for military purposes with Canberra.

“I understand France’s disappointment on its industrial contract,” but this is not a “betrayal,” Wallace told the BBC, confirming that he had already spoken with his French counterparts. Naval Group’s deal to build diesel-power vessels for Australia was reportedly worth $40 billion.

Wallace said the deal would be worth a considerable amount to the British economy, echoing PM Boris Johnson’s talk of “levelling up” during his Wednesday night press conference with US President Joe Biden and Australian PM Scott Morrison.

“There will be a boost for the British defence industry in this collaboration because we have sub-systems that Australia doesn’t have that we will be able to offer into that,” Wallace told the BBC.

On Thursday, French Armed Forces Minister Florence Parly said the government will look to limit the financial damage to Naval Group following the contract’s cancellation and refused to rule out seeking compensation from Australia.“We are studying all avenues,” Parly told French radio station RFI. The Naval Group contract had been personally backed by French President Emmanuel Macron, although it is understood that complications had arisen in the past few years.

Wallace told Sky News on Thursday that the pact was looking to safeguard against a number of threats, dismissing the notion that it was aimed solely at China. He explained that nuclear submarines were harder to detect and don’t need to resurface.
Newsletter

Related Articles

0:00
0:00
Close
Burnham Puts School-to-Work Reform at Centre of Welfare Strategy
Fresh Heatwave Threatens to Rekindle France’s Historic Wildfire Crisis
The Burnham government is seeking to establish its credibility through ambitious social care reform while maintaining fiscal discipline and public confidence in the National Health Service. Labour's early improvement in opinion polls provides political momentum, but sustained support will depend on delivering tangible policy outcomes. Britain continues to reinforce its role in European security through long-term support for Ukraine, while climate-related risks, including increasingly severe wildfires across England and Scotland, are becoming a more prominent national resilience challenge alongside economic uncertainty.
United Kingdom Economy Remains Exposed to Global Energy Risks
Prime Minister Dismisses Calls for an Early General Election
Scottish Wildfires Continue to Stretch Emergency Services
United Kingdom Faces Rising Wildfire Risk as Heatwave Continues
Lower Oil Prices Ease Inflation Concerns and Support Financial Markets
Financial Conduct Authority Launches Consumer Campaign on Car Finance Compensation
Government Prioritises Employment Over Benefit Cuts in Welfare Reform Plans
Prime Minister Rules Out Sweeping Property Tax Changes Before Autumn Budget
AstraZeneca Beats Expectations as Cancer Medicines Drive Strong Profit Growth
Labour Regains Narrow Polling Lead After Burnham's First Week in Office
United Kingdom Reaffirms Long-Term Commitment to Ukraine Under Burnham Government
Prime Minister Andy Burnham Makes Social Care Reform the First Major Test of His Government
Following OpenAI's Cyberattack: 'Most Companies Still Do Not Understand What Is Coming'
Autopsy Finds No Violence in Death of Epstein-Linked Model Scout
Indian Education Minister Resigns After Cockroach Youth Protests
California Desert Data-Centre Plan Stalls as Water and Power Disputes Mount
Northern Ireland Border Security Tightened After Military-Grade Explosive Interception
British Hospitality Sector Targets Summer Visitors Through Regional Promotions
England River Access Debate Intensifies After New Data Shows Limited Public Access
Royal Navy Strengthens Maritime Vigilance Amid Rising Security Concerns
UK Education Department Expands Mental Health Support for Young People Entering Work
UK Tourism Industry Launches Summer Campaigns to Boost Domestic Travel
North England Transport Plans Advance to Support Industrial Growth
Financial Markets Watch New Government’s Economic Strategy as Investors Assess Fiscal Risks
Royal Navy Continues Monitoring Russian Naval Activity Near UK Waters
UK Care Workers May Receive Immigration Exemptions Under Proposed Visa Changes
Health Secretary Yvette Cooper Begins Emergency Talks to Address NHS Staffing Shortages
UK Banks Launch High-Interest Savings Offers to Attract Household Deposits
North Sea Oil Drilling Projects Face Delays After Offshore Equipment Accident
Cairngorms Wildfire Highlights Growing Pressure on UK Emergency Services
UK Government Borrowing Plans Put Pressure on Ten-Year Gilt Markets
Royal Navy Aircraft Carrier HMS Prince of Wales Returns After NATO Northern Flank Mission
Metropolitan Police Opens Criminal Investigation Into Reform UK Political Donations
Scottish Government Requests Military Support as Cairngorms Wildfire Forces Emergency Response
Andy Burnham Takes Office as UK Prime Minister and Unveils New Cabinet Team
War, Youth Revolt and the Global Struggle for Control
War, Power and the Rising Price of Political Decisions
High Street Sales Suffer Sharpest Summer Decline in Five Years
Wales Approves Higher Taxes on Second Homes and Long-Term Empty Properties
Environment Agency Imposes Record £150 Million Penalty on Water Companies
UK Competition Watchdog Blocks U.S. Takeover of Cambridge Chip Designer
Scotland Unveils Land Reform Bill to Expand Renewable Energy Projects
Northern Ireland Secures £500 Million Technology Investment for Belfast Cybersecurity Hub
NHS Rolls Out AI Triage System Across Major Hospitals in England
UK Strengthens North Sea Naval Cooperation With European Allies
UK Chancellor Commits £7 Billion to Accelerate Manchester-Leeds Rail Link
Bank of England Signals Interest Rate Cuts After Inflation Falls Below Target
×