Submarine plans to begin after $5b Australia-UK deal

Australia will spend more than $4.6 billion on a submarine nuclear reactor factory in the United Kingdom to ensure its new nuclear-powered fleet arrives on time.

The 10-year deal will boost capacity at the Rolls-Royce factory in Derby and bankroll the design costs of the boats that Australia will build.

Defence Minister Richard Marles and his UK counterpart Grant Shapps will confirm on Friday that BAE Systems will build the submarines at the…