A BLACK hole in defence spending could spell "disaster" for the UK's ability to defend its shores, and for the thousands at work in the shipyard of Barrow.

A report released by the National Audit Office (NAO) revealed a funding gap of nearly £20bn in the country's defence budget. It has been claimed the Ministry of Defence's ambition to fund a new generation of submarines, war planes and ships may be at risk due to how much it needs to spend, versus the budget it is given.

Barrow MP John Woodcock has sought reassurance from the government over what he sees is a looming crisis for the security of Barrow's shipbuilding industry.

He said: "I've had senior people in the industry and government say that there is a real funding problem getting the long-promised money for the Astute Class signed off.

"The new defence secretary, Gavin Williamson, has spoken of the need for the full fleet of Astute Class built to replace the Trafalgar Class.

"It would be disastrous both for the UK's ability to defend its shores and of course for the work force in Barrow if the worst would happen."

In its report, published on Wednesday (31), the NAO said the MoD failed to account for billions of pounds of expenditure over the next decade. This included costs for a new fleet of frigates, around £8bn in efficiency savings, and the rising cost of the Astute and Dreadnought Class of submarines.

However, following the report an MoD spokesman reiterated its commitment to future defence projects.

He said: "We have just launched the Modernising Defence Programme to ensure our armed forces have everything they need to defend the country from intensifying threats across the globe. We have already saved almost £5bn while making sure our military have the best equipment available and taxpayers get value for money.

"We remain committed to our submarine build programmes, which were decisively supported by Parliament in the July 2016 vote to maintain the UK’s independent nuclear deterrent."

At the end of January Mr Woodcock pressed the defence secretary in the House of Commons on a commitment to funding the seventh Astute submarine, which is in its early construction in Barrow.

However, the defence secretary was unable to give Mr Woodcock the assurances he was looking for.

Gavin Williamson said: "It is too early in the process for me to be able to comment on that, but I will look into the issue and come back to the honourable gentleman."

Mr Woodcock said the issues surrounding the continued funding of the Astute programme were part of a wider debate on defence spending.

He said: "Privately senior officials in the department (MoD) admit this is a real problem. It is part of a wider battle to increase the defence budget, but also to allow the treasury to allow these programmes to get the money when they need it."

A treasury spokesman said the chancellor Philip Hammond remained committed as ever to giving the armed forces the money they need.

They referred to a statement Mr Hammond made in December to the treasury select committee, during which he said: "There is no greater champion of defence than me. I was Defence Secretary for almost three years. I am a huge advocate for our armed forces.

"We have Europe’s largest defence budget. We are one of the very few countries committed to the 2 per cent of GDP NATO target. We have a defence budget for the next three years that grows by at least 0.5 per cent in real terms in each of those years. That is at least £1 billion of extra cash in each of the next three years. I too have read stories about the defence budget being cut.

"There is no question of the defence budget being cut. The defence budget is being increased.

The Mail contacted BAE for a statement on the uncertainty surrounding future submarine funding. A spokesman said: "We remain focused on delivering our commitments to the Royal Navy."

Mr Woodcock concluded by saying the situation over Astute's funding had not reached a crisis point yet, but more word had to be done by all parties to ensure the future of Barrow's workforce, and the security of the UK at sea.

"It is important to say that we are not at a crisis point in terms of a decision being made. Clearly the key people in the MoD want it to happen. But in private and semi-publicly it is said this could reach a crisis point unless the treasury comes to its senses."