British Army equipment, including tanks and armoured vehicles, will receive world-class maintenance and spare parts under a contract which supports 1,600 UK jobs.

The five-year £1.6 billion contract extension with British defence firm Babcock will cover vital military assets including Challenger 2 tanks, 105mm artillery guns and Trojan armoured vehicles, ensuring they remain combat-ready to meet emerging threats.

The Service Provision and Transformation Contract will sustain 1,600 highly skilled jobs in locations across the UK, including over 400 in Telford and over 250 in Dorset. The investment follows the Prime Minister’s historic commitment to increase defence spending to 2.5% of GDP, recognising the critical importance of military readiness in an era of heightened global uncertainty.

Maintenance services will cover preventative maintenance, emergency repairs and spare parts management. It will also include digital transformation to improve fleet management efficiency, keeping more vehicles and equipment primed for soldiers to use – boosting national security and renewing Britain’s economy as we deliver on our Plan for Change.

The move to boost the readiness of British Army combat vehicles comes as the UK continues to lead planning efforts for a Coalition of Willing nations to help secure a just and lasting peace in Ukraine. Following the planning meeting attended by approximately 30 nations last week, further operational planning meetings will be led by UK Commander Joint Operations, General Nick Perry.

Defence Secretary John Healey MP said:

“Tanks, armoured vehicles and kit are the backbone of the British Army. We are taking action to ensure the outstanding service men and women of our Armed Forces are properly equipped and ready to respond to ever-changing global threats.    

“Supported by the largest sustained increase in defence spending since the Cold War, this substantial investment with Babcock demonstrates how defence is an engine for growth: supporting businesses of all sizes and sustaining more than 1,600 good, well-paid jobs across Britain.

“National security is the bedrock of a successful economy and our Government’s Plan for Change.”

To read more, please click here.