The question isn’t why we aren’t buying cheaper ships, but whether we’d be prepared to accept less capability to cut costs.
Building warships is an expensive business, especially if you’re getting back into it after a few decades. Take the Canadian Surface Combatant (CSC). Fifteen CSCs will be built at Halifax’s Irving Shipbuilding to replace Canada’s current frigates and decommissioned destroyers. According to a 2022 study by the Parliamentary Budget Officer (PBO), the CSC acquisition will cost $80.2 billion. Given that defence inflation is well above regular inflation, and that regular inflation is running hot, that number isn’t going to go down.
Canada’s CSC will be a variant of
the Type 26 Global Combat Ship originally designed for the Royal Navy.
The Canadian variant includes significant changes to the original Type
26 design, notably to the combat systems. With the estimated per unit
cost of each ship topping $5.6 billion, the National Post's John Ivison warns that the CSC is out of control. Ivison notes that the United States Navy (USN) acquired its Constellation-class frigates for $1.66 billion. Why, he understandably asks, is Canada paying so much for the CSC, and to what end? ...
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