Jobs boost for South as BAE Systems announces new Royal Navy contract
The £270 million deal will protect positions in Portsmouth and on the Isle of Wight
Defence giant BAE Systems has been awarded a 10-year contract worth £270 million to support the Royal Navy's three main radar systems, securing hundreds of jobs - including in Portsmouth and on the Isle of Wight.
Every major Royal Navy ship from the Queen Elizabeth Class aircraft carriers to the Type 45 destroyers features at least one of the systems, which are designed and built by BAE Systems.
The £270 million support contract by the Ministry of Defence, which replaces a number of existing contracts, will see BAE Systems engineers provide maintenance support and upgrade existing radars.
That includes a roll-out of technology upgrades to systems already in use, and those being installed on the Royal Navy's new Type 26 frigates, which the company is currently building in Glasgow.
The MoD and BAE Systems are jointly investing a further £50 million to develop the next generation of radar technology which the Royal Navy requires to tackle emerging threats, including ballistic missiles and drones.
Minister for defence procurement James Cartlidge said:
"Equipping our armed forces with the latest technology to counter emerging threats is critical to ensuring the safety and effectiveness of our fleet and personnel.
"Securing hundreds of jobs across the UK, this contract is a boost for the UK supply chain and lets our adversaries know we are equipped, prepared and ready."
Scott Jamieson, managing director of BAE Systems' Maritime Services business, said:
"This is a pivotal moment for UK radar technology development.
"This contract secures a decade of investment into a critical capability for the UK armed forces.
"It also allows us to evolve future radar technology with the MoD to sustain maritime air dominance and vital radar development skills and experience in the UK."
The company said the support contract and joint investment secures about 400 highly-skilled British jobs and underpins BAE Systems' radar business in Cowes and Portsmouth, along with Great Baddow in Essex and Hillend, near Edinburgh.
It will also create new support roles in engineering and project management as well as additional investment in the UK supply chain of small and medium sized firms and high-tech suppliers.