I do see a merger, will it create a monopoly, not really, the UK can always threaten too have some other nation build ships for them, if the company gets too greedy, or, break it up via the monopoly's commission.. if they can not play "ball". We do not export major warships, nor submarines, the policy to cut and cut the RN is flawed. Tax money pays for the RN, however, its so small now, i see the tax money being more a direct investment in the little but very high end industry. The people wanting too be the leaders of the UK need to put money back into the defences services and frankly stop letting too many other nations outside the UK get major contracts ( yes un-pc there). The type 23 ( new radar, new sonar, new helo, block 2 sea wolf) gots plently of life 6 T-45's is better than none (i;d argue for no less than 10), subs, carriers, amphibs are looking okay (for now)..