The British Army’s equipment, such as tanks and armoured vehicles, will undergo top-tier maintenance and receive spare parts through a contract signed between the UK Ministry of Defence (MOD) and British defence firm Babcock.
The five-year extension of the GBP 1.6 billion contract with Babcock will encompass essential military assets, including Challenger 2 main battle tanks, 105mm artillery guns, and Trojan armoured vehicles, to ensure their operational readiness to address new challenges.
Maintenance services will encompass preventive maintenance, urgent repairs, and the management of spare parts. Additionally, it will involve digital transformation initiatives aimed at enhancing the efficiency of fleet management, ensuring that a greater number of vehicles and equipment are ready for use by soldiers. This approach aims to strengthen national security and revitalize Britain’s economy as the UK Government implements its Plan for Change.
The Service Provision and Transformation Contract is set to support 1,600 highly skilled positions throughout the UK, with more than 400 jobs in Telford and over 250 in Dorset. This investment comes after the UK Prime Minister Sir Keir Starmer pledged to raise defence expenditure to 2.5% of GDP, acknowledging the vital significance of military preparedness amid increasing global uncertainty.
Defence Secretary John Healey MP said: “Tanks, armoured vehicles and kit are the backbone of the British Army. We are taking action to ensure the outstanding service men and women of our Armed Forces are properly equipped and ready to respond to ever-changing global threats.”
“Supported by largest sustained increase in defence spending since the Cold War, this substantial investment with Babcock demonstrates how defence is an engine for growth: supporting businesses of all sizes and sustaining more than 1,600 good, well-paid jobs across Britain.”
“National security is the bedrock of a successful economy and our Government’s Plan for Change.”
This work precedes the Defence Industrial Strategy, aimed at strengthening the UK industry and creating additional opportunities for the defence sector to drive economic growth. It follows a recent pledge to establish a new hub that will enhance small and medium enterprises’ (SMEs) access to the defence supply chain, along with a commitment to establish direct spending targets for SMEs by the MOD by June of this year.
Babcock’s Chief Executive Officer, David Lockwood said: “In a period of increased global instability, more is being expected of our armed forces. This contract extension ensures that Babcock continues to provide the British Army with the tools to do its job, when and wherever they are needed. Our know-how, application of technology and extensive experience in the land domain help ensure that the British Army is ready to fight and win wars.”
“While the Land Integrated Operating Services programme places future contracts, this deal will also support approximately 6,000 UK businesses throughout the wider supply chain, as well as 200 apprentices. These apprenticeships will offer valuable training and development opportunities in fields such as HGV maintenance and automotive refinishing, providing career paths in the defence sector for the next generation of skilled workers. ”
MOD Director Land Environment, Major General Lizzie Faithfull-Davies CBE said: “It has taken a lot of hard work to collaboratively deliver this SPTC Reframe contract amendment. I am delighted to renew our relationship with Babcock. With this amended contract, DE&S, the Army, and Babcock will now provide even better support to the in-Service platforms of our Armed forces; ensuring that the vehicles the Army will fight from are repaired, maintained, and ready whenever the Army need them.”
