QinetiQ is planning to overhaul its Europe, Middle East and Africa division.

International security and defence company QinetiQ is set to axe 400 jobs in the UK, Sky News has reported.

According to the news channel, the cuts are part of plans to overhaul the group’s Europe, Middle East and Africa division, with duplicated administration and backroom jobs going in the process.

The move follows criticism from the National Audit Office last week regarding the £107m in shares paid to its top ten managers through privatisation of the company.

Sir John Bourn, Head of the National Audit Office, said of the deal: “The move to privatise QinetiQ was effective in safeguarding the viability of a business of national importance and secured half a billion pounds for the taxpayer. However, I believe more money should have been secured for the public purse.

“The Ministry of Defence must now be proactive in managing the remaining risks to deliver the long term value for money from the deal.”

In addition, the group this week posted strong financial results for the six months ending 30 September 2007. During the period, the group recorded an 18.5% increase in revenues to £638.8 million, with organic growth of 8.4%. Underlying operating profit went up 34.5% to £46m, with a 21.6% increase in organic growth.

QinetiQ currently employs over 13,500 staff across the UK and US. Its headquarters are in Buckingham Gate, London.

By Natasha Piscitelli