QinetiQ secures £1bn UK test and training LTPA amendment
QinetiQ has been awarded a £1 billion contract amendment to the Long Term Partnering Agreement (LTPA) from the UK Ministry of Defence (MoD), under which Test & Evaluation (T&E) services have been delivered since 2003, committing approximately half the core LTPA revenues until 31 March 2028. Under the amendment QinetiQ will modernise and operate the air ranges at MoD Aberporth and MoD Hebrides and test aircrew training through the Empire Test Pilots’ School at MoD Boscombe Down. Importantly, efficiencies delivered through this programme enable future MoD and QinetiQ investment in developing further world-class T&E.
In today’s world of rapidly evolving and sophisticated threats it is crucial that the UK Armed Forces develop and deploy advanced military capability quickly and flexibly to protect national interests. Modernising the delivery of T&E is a critical enabler to the success of this outcome. Working alongside the MoD, QinetiQ has established this programme to ensure that the UK is at the forefront of world-class competitive air ranges and test aircrew training, relevant to the current and future needs of the UK Armed Forces as well as government and industry customers around the world.
The MoD and QinetiQ have agreed to invest approximately £180m in modernising facilities, equipment and developing new ways of working as part of QinetiQ’s wider strategy to lead and modernise T&E across the lifecycle, from experimentation and research of new capabilities through to training and rehearsal of current capabilities.
This new approach will be delivered by working in collaboration across the defence enterprise, including Small Medium Enterprises (SMEs), to foster innovation and develop future skills, with the QinetiQ investment being recovered from the MoD over the life of the contract.
Above:
Reto Obrist, Test Pilot, Pilatus Aircraft and Minister Harriett Baldwin.
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 CEO, said: “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. I am particularly excited that this programme also enables us to plan and begin implementation of further enhancements to the UK’s T&E capabilities to address current and emerging threats through the next decade and beyond.”
Chief Executive Officer of the MoD’s Defence Equipment and Support organisation, Tony Douglas, said: "The LTPA contract amendment represents a great deal for both the MoD and the UK Defence industry for the next 11 years. It is another example of how DE&S works with UK companies to ensure value for money and the best equipment and support for our Armed Forces."
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.