The UK has agreed a £4bn Maritime Partnership Programme with Indonesia, according to a UK Government release. Led by Babcock, the plan is expected to be announced at the G20 on Saturday 22 November 2025 and is billed as securing 1,000 skilled jobs across Rosyth, Bristol and Plymouth.

Under the programme, the two countries will develop capability for Indonesia’s navy and more than 1,000 vessels for the nation’s fishing fleets. Hulls will be built in Indonesia using British ship design, project management and systems integration, with the government framing the effort as a food‑security play that boosts domestic seafood consumption.

For UK industry, value is likely to concentrate in design, digital ship modelling and integrated naval systems rather than heavy fabrication, given construction takes place in‑country. Babcock indicates the bulk of UK roles will be at Rosyth, with additional work in Bristol and Devonport; expect demand for naval architects, marine engineers, software specialists and testers, alongside joint research into automation and AI‑enabled shipbuilding practices.

This is a steadier outlook for Scotland’s Fife coast, where order flow has been uneven in recent years. A multi‑year export pipeline can help apprenticeships and contractor pools plan ahead, while Bristol’s teams support digital design and systems, and Plymouth’s dockyard underpins integration and through‑life support. The supply chain read‑across spans marine electronics, composites, precision machining and cyber‑secure systems.

Ministers cast the deal as part of deeper Indo‑Pacific engagement, linking it to freedom of navigation and a rules‑based order. Recent visits by the UK Carrier Strike Group and patrol ship HMS Spey to Jakarta are cited as groundwork, with the partnership expected to widen joint training and improve interoperability between the two navies.

Officials also position this alongside other headline exports. Citing UK Government figures, they reference a £10bn contract with Norway for next‑generation anti‑submarine warfare destroyers said to support around 4,000 UK jobs, and an £8bn agreement with NATO ally Türkiye for 20 Typhoon fighter jets, which they say secures a further 20,000 jobs.

Sustainability is part of the brief. Backed by the UK’s Blue Planet Fund, the programme is expected to deploy dynamic fish‑stock assessment, tighter fisheries management and community‑led coastal resilience so new vessels are used in ways that are economically viable and environmentally responsible.

For investors, the near‑term questions are practical: delivery schedule, Indonesian local‑content requirements, technology‑transfer protections and how cyber security and intellectual property will be handled. Any UK Export Finance backing, if confirmed, would shape risk appetites and pricing across the tier‑two and tier‑three supply base.

Currency is a secondary swing factor. With build activity in rupiah and higher‑value UK inputs priced in sterling, GBP/IDR moves could influence margins and working capital for suppliers. Management commentary on hedging, milestone payments and escalation clauses will be important to watch.

For SMEs in marine systems and digital engineering, now is the time to be export‑ready: quality certifications in place, documentation tight, and secure‑by‑design processes embedded. Babcock’s plan to deepen links between UK and Indonesian universities in precision engineering and digital ship design should widen the talent pipeline over the life of the programme.

The immediate markers are straightforward: a formal G20‑timed announcement, more detail from Babcock on work packages, and clarity on how activity splits between Rosyth, Bristol and Devonport. We’ll be watching the company’s next trading update for revenue phasing, capex and cash conversion-signals that turn a £4bn headline into pay packets on the ground.