QinetiQ secures deal for MoD test and training sites

Company wins contract amendment to a long term partnering agreement with the Ministry of Defence

Defence engineering company QinetiQ has agreed a £1 billion deal with the UK government to modernise and run some of its UK test and training sites that will deliver £300 million of efficiencies over the next 11 years.

The amendment to the Long Term Partnering Agreement (LTPA) will see QinetiQ and the MoD invest about £180 million to modernise air ranges at MoD Aberporth, Wales and MoD Hebrides, Scotland and test aircrew training at MoD Boscombe Down, Wiltshire.

QinetiQ, which employs some 5,500 staff across the UK, will reduce infrastructure costs, modernising equipment and aircraft, and adopt a more strategic approach to the delivery of test and evaluation (T&E) and training support capability.

The investment at MoD Boscombe Down will provide a fleet of modern training aircraft and an up-to-date syllabus for test aircrew training at the Empire Test Pilots’ School.

It has also pledged to work with small and medium enterprises to foster innovation and develop future skills to help deliver the LTPA.

Minister for defence procurement, Harriett Baldwin, said: “This new deal will ensure our armed forces get world-class training and testing facilities and services while making substantial efficiencies, ensuring excellent value for money for the taxpayer.

“Backed by a rising defence budget and our £178 billion equipment plan, all three sites will continue to have a major role in supporting our defence capability. This investment will help secure their futures for the longer term.”

Steve Wadey, QinetiQ chief executive, added: “This contract amendment represents a huge step forward in the modernisation of UK defence T&E to enable the safety and operational advantage of our armed forces in the 21st century.

"Our investment demonstrates that we are committed to transforming our ways of working with both UK MoD and wider industry, to deliver air ranges and test aircrew training that are relevant and competitive for the UK armed forces as well as government and industry customers around the world."

The LTPA is a 25-year enabling arrangement contract with QinetiQ with a total cost estimated at £5.6 billion, which came into effect on 1 April 2003. The arrangement covers the costs of running UK test and evaluation ranges, the operational staff that support the ranges and the equipment that they use to support the MoD.