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The orginal harbour was formed by the protection, from south westerly and northerly weather, offered by the south coast of England, Chesil Beach and the Isle of Portland. Construction of the modern habour began in the 1850s when the Royal Navy created a breakwater to the south of the anchorage, made of blocks from local quarries on the Isle of Portland. In 1906, with the threat of torpedo attack from the eastern side of the anchorage, two further breakwaters were added. A barrier against submarine, from the south, attack came in 1914 when HMS Hood was scuttled across the entrance to the original breakwater.
The harbour is a popular location for wind surfing, sailing and SCUBA.
In addition to the Hood, there are other wrecks in the harbour: