Adam Ingram: Involved in talks

It is feared that the move would mean up to 750 job losses.

Workers at Faslane and Coulport have already staged a one-day strike in protest at the plans, but ballots for further industrial action were suspended pending the outcome of Tuesday's talks.

Union officials have now set a seven-day deadline for sufficient progress to be made.

Senior union sources told BBC Scotland they are increasingly confident that a deal can be reached to protect the rights and conditions of workers transferred to the private sector.

However, it is understood the privatisation process will still go ahead.

'Fair hearing'

Earlier this month, unions claimed overwhelming support for a 24-hour stoppage.

The strike prompted an appeal for conciliation from Armed Forces Minister Adam Ingram.

He said that a number of issues raised by the unions had been taken on board and would be discussed.

Union officials have consistently claimed that their public sector alternative to the MoD plans were not given proper consideration.

Plans for "partnering agreements" with the private sector were announced by Mr Ingram last month.

'Industrial partnering'

They will affect the Clyde bases and the naval installations at Portsmouth and Devonport.

A total of about 3,000 workers will have their work switched to private naval dockyard firms in a scheme aimed at saving the taxpayer more than �300m over five years.

However, the minister warned that the majority of the anticipated 750 jobs losses would come on the Clyde.

The MoD has stressed that the plans mean "industrial partnering" rather than privatisation.