Welsh job fears over delayed defence radio project Morpheus

There are fears over jobs at a defence manufacturer in Wales after it emerged a project to develop a new military communications system has been delayed.

The £330m Morpheus programme is being designed at General Dynamics in Oakdale, in Caerphilly county.

Ministry of Defence (MoD) officials admitted progress on the scheme has "fallen short" and was under review.

Local Labour MP Chris Evans said he was "extremely worried" about jobs at the valleys company.

General Dynamics said it is "proud of the capability we deliver".

Morpheus was supposed to be operational by 2025, but does not have a new date.

It created 125 highly-skilled engineering jobs and secured a further 125 when the contract was awarded to the American-owned firm in April 2017.

Morpheus will allow commanders to view and direct their forces on the battlefield and for their vehicles to communicate with each other. It integrates radios, apps and other systems.

Mr Evans is calling for reassurance from both the MoD and the company.

"I am also extremely worried about whether the MoD is going to be reticent about further contracts. If they don't award further contracts those jobs are not going to be here."

Mr Evans has submitted a series of written questions in Parliament to defence ministers, but has been told that the information is commercially sensitive and that it would be inappropriate to comment.

"I have spoken to the company, they told me there were problems and that they were dealing with them," he said.

"Yes it is commercially sensitive, but for those workers there - very motivated workers - to be labelled as failing to meet targets it is a real concern for them as well."

It's a company that many would not have heard of which employs hundreds in the kind of highly skilled roles vital to its base in the south Wales valleys.

But General Dynamics has been in the headlines lately for the wrong reasons after its multi-million defence equipment projects for the UK government hit delays.

GDUK employs 900 people across its sites in Merthyr Tydfil and Oakdale, and a further 200 at Hastings.

Its history dates back decades to the merger of two firms in North America that made submarines - Electric Boat - and military aircraft - Canadair.

The American company bought the firm that became its UK subsidiary, a company called Computing Devices which made electronic systems for fighter jets, in the 1990s.

It opened its huge Oakdale site by the early 2000s, having been awarded a £1.9 billion contract for Bowman - an Army radio system and the predecessor to the Morpheus project.

Its most controversial project came later, in 2010, when it was commissioned to build a new generation of armoured vehicles.

The vehicles, assembled in Merthyr, were meant to be first delivered by 2017 but it was hit with serious noise and vibration issues. More than 300 soldiers had to to assessed for hearing loss.

It has been beset by delays, and is now due to deliver 589 vehicles by 2029.

A review of the troubled £5.5bn armoured vehicle programme highlighted "systemic, cultural and institutional problems" at the Ministry of Defence.

Mr Evans said he was worried about the implications for the armed forces at a time of increased global threat, especially since Russia's invasion of Ukraine.

"My concern about this is that our equipment is ageing," he said.

"Most importantly is the soldier on the ground getting what they need to stay protected? The last thing we want is for our soldiers to have out of date equipment."

The delay means the armed forces' existing Bowman system - which is also a product of the Oakdale site - will have to continue in operation.

Although the Morpheus project is struggling, there could be hope from another General Dynamics project in Merthyr Tydfil, which at one point was at serious risk.

The Ajax armoured vehicle programme struggled for years after soldiers were injured by noise and vibration problems during testing, and at one stage there was intense speculation that it might be scrapped.

But despite lengthy delays and several critical reports from MPs and the National Audit Office, Ajax is now back on track.

In a statement a MoD spokesperson said: "As ministers have made clear, we remain committed to the Morpheus project.

"While we continue to meet all operational requirements, progress on the Morpheus project has fallen short and we are reviewing next steps on how to best achieve our objectives."

A spokeswoman for General Dynamics UK (GDUK) said it is "working collaboratively with the MoD on the continued support and delivery of the highly regarded Bowman capability, the system Morpheus will supersede".

"The first phase of Morpheus is underway, where we are delivering the foundations for the subsequent phase which the MoD is expected to complete (the details of which are yet to be published).

"We are proud of the capability we deliver and the significant advantage it will give to the British Army."