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Babcock’s in-Service Contract for Victoria Subs Extended 6 Years

The $1.1 billion contract includes options to support the Victoria-class fleet until retirement, as Canada prepares for its next submarines.

  • On Monday, the federal government awarded Babcock Canada a six-year extension valued at $1.1 billion for servicing the Royal Canadian Navy's Victoria-class submarines, with options to extend through the fleet's end of life.
  • Prime Minister Mark Carney announced earlier this month that Canada's preferred bidder for its next submarine fleet will be a German-Norwegian partnership, with German shipbuilder TKMS potentially supplying four submarines by 2034, prompting sustained Victoria-class support as the current fleet retires mid-2030s.
  • Since 2008, Babcock's Victoria In-Service Support Contract work has generated over $3.2 billion in GDP impact, maintained more than 1,500 jobs annually, and built a Canadian supply chain with over 450 suppliers; CEO Tony March stated the extension enables a smooth transition to Canada's future submarine capability.
  • The extension ensures uninterrupted submarine sustainment operations and positions Babcock's specialized workforce and supply chain for potential selection as sustainment partner for Canada's future Canadian Patrol Submarine Project arriving in the 2030s.
  • Meanwhile, HMCS Corner Book currently participates in the Rim of the Pacific international exercise off Hawaii, while the Victoria-class fleet undergoes modernization including new optronic mast installations.
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The federal government extended Babcock Canada's contract to maintain the Royal Canadian Navy submarines.

·Montreal, Canada
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Winnipeg Free Press broke the news in Winnipeg, Canada on Monday, July 20, 2026.
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