In its bid, BAE Systems identified about £400-million of savings and efficiency opportunities to be pursued up to 2038 to meet this challenge. The new contract will offer better value for money as it includes incentives for BAE Systems to make savings over the life of the contract. By investing in new technology and skills to further develop our expertise, we can continue to deliver essential sovereign capability to the Armed Forces at competitive prices. This contract secures the future of a highly technical and critical industry which supports thousands of manufacturing jobs in several areas throughout the UK. Charles Woodburn, Chief Executive, BAE Systems, said: Replacing the current MASS (Munitions Acquisition, the Supply Solution) single-source contract from January 2023, the NGMS will deliver about 50 per cent, by value, of the MOD’s total general munitions (GM) portfolio and will maximise military capability and reduce cost. This vital multi-billion-pound contract will provide our service men and women with fire power on the front line for years to come whilst investing in British industry, British jobs and British infrastructure.ĭefence underpins hundreds of thousands of jobs across all four corners of the nation, and ongoing investment is crucial as we work together to build back better and stronger from the Covid-19 pandemic. Today’s announcement follows the substantial £16.5 billion settlement for defence over four years that will modernise the armed forces and bring jobs and prosperity to every part of the UK.
The Next Generation Munitions Solution ( NGMS) will see BAE Systems manufacture 39 different munitions for the Royal Navy, Army, Royal Air Force and Strategic Command to use on the front line, including small arms ammunition, mortars, medium-calibre gun rounds and large-calibre artillery and tank shells.Īn estimated 1,260 people will work on NGMS in engineering, operations and supporting roles across five BAE Systems UK sites, including:Ī further 1,500 roles will be supported along the supply chain alongside 1,300 jobs as a result of consumer spending in local economies.
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