QinetiQ signs £951m MoD deal
QinetiQ will supply the MoD with Test and Evaluation (T&E) and Training Support services until 2013.
International defence and security company QinetiQ has won a contract to supply the UK Ministry of Defence (MoD) with Test and Evaluation (T&E) and Training Support services until 2013.
The Long Term Partnering Agreement (LTPA), which is worth £951 million, follows a previous five-year contract worth £964m.
Under the deal, QinetiQ will manage 18 core MoD-owned sites and will be responsible for the provision of Non Tasking Services. As well as providing T&E and Training Support, it will maintain equipment, land and buildings, and deliver an investment programme to ensure the MoD’s needs are being met.
During the first five years of the contract, QinetiQ was responsible for transforming the performance of the services provided by the MoD.
This included increasing throughput in areas of high demand to deliver capability to the requirements of the front line while continuously improving the efficiency and effectiveness of the capabilities.
MoD Weapons Commercial Director, Rob Bellis, explained: “We needed to maintain sovereign capabilities but also reduce overall costs and this ongoing partnering arrangement with QinetiQ allows us to achieve this.
“Over the first five years we’ve not only retained access to the necessary facilities to ensure front line capability is maintained but we’ve done so at a much reduced cost. The LTPA has also enabled QinetiQ to invest in the facilities thereby providing MOD with an improved service for the agreed firm price.”
Mary Carver, MD of QinetiQ’s iX Managed Services sector, added: “The agreement of the firm price for the next period is recognition of QinetiQ’s ability to both deliver value for money to the MOD and maintain many of the critical facilities it needs.”
The MoD LPTA is valued at £5.6bn over 25 years to 2028 and includes five yearly reviews, as well as a 25 year extension option.
By Natasha Piscitelli
