Aplogies, I am mistaken. A quick search of Hansard provided this MoD quote: "... I have been checking throughout the price we have, which is £250 million per ship. We made some initial adjustments to make it tie in with the way we have procured other warships in the past, so we have taken costs such as Government-furnished equipment out of that £250 million"I believe I am correct in saying although the MoD has said they will allow a greater amount of GFM, its cost still has to be entirely met by the 250m average for 5 ships including R&D. In other words, the budget for the ships has not increased.Definitely not. The article seems quite clear that the procurement is proceeding, with MoD taking over a larger share of the cost (in the form of increased Government Furnished Equipment) and risk. The only thing that is dead here is the idea that the ships could be built with useful capabilities for £250m.