The hub is intended to help make Scotland a go-to destination for subsea engineering, creating jobs and business opportunities. The sector already supports about 45,000 jobs and 1,000 companies in the UK, 60% of which are based in Scotland.
The planned Global Underwater Engineering Hub is aimed at reinforcing the UK’s status as a global leader in the field and building on expertise in subsea robotics, remotely-operated underwater vehicles and maritime support vessels.
The government said that seizing the opportunities in the blue economy will also help the UK’s oil and gas sector diversify and support the UK move away from fossil fuels towards clean growth.
The UK already has a 40% share of the global market in underwater engineering and is in prime position to capitalise on the industry that could be worth more than £100 billion globally by 2035, it added.
Prime minister Theresa May said: "Today I can announce that the UK government is backing plans for a new Global Underwater Hub in Aberdeen, helping established businesses thrive and creating new opportunities as the world makes the shift towards clean growth.
“Cementing Aberdeen’s place as an energy hub for offshore and renewables, the new hub would bring together areas of excellence in underwater technology under a single commercial vision. It would support industry, generate new skilled jobs and help us in the fight against climate change.”
Following the endorsement from the UK government, industry is now being encouraged to develop a business case for the hub for the Department for Business, Energy & Industrial Strategy to review.