Serco Wins Royal Navy Maritime Services Contracts Valued at Over £1 Billion

(Image credit: Serco)
Serco, an international provider of critical government services, has been awarded three contracts with a combined value of over £1bn by the UK Ministry of Defence to provide maritime services for the Royal Navy. The contracts, which replace existing services and expand into new capabilities will commence later this year.

Serco has been a key partner to the Royal Navy for nearly 30 years, providing critical services supporting military training exercises, trialing new maritime technology and assisting the movements of Royal Navy ships in and out of harbor.

The three awarded contracts are:

  • A contract valued at c.£850m over ten years for the delivery of in-port services for HMNB Devonport in Plymouth, HMNB Portsmouth and for the Clyde, including HMNB Faslane.  ​This includes the procurement of 24 new vessels on behalf of the Royal Navy which will be brought into service over the next decade to modernize the fleet and replace the older vessels currently operated. Services will include ​vessel towage, passenger transfer, and barge and tank cleaning services at Portsmouth and Devonport.
  • A contract valued at c.£70m over five years for the provision of inshore support to military training and exercises at the British Underwater Test and Evaluation (BUTEC), an underwater military test and evaluation range off the northwest coast of Scotland and for Diver Training Support.  In addition, the contract includes new work for Range Safety and Aircrew Training, which we will deliver in partnership with Briggs Marine.
  • A ten-year contract valued at c.£110m for the provision of offshore support to military training and exercises.  This service includes two specialist ocean-going vessels for regional and worldwide support.

 

Anthony Kirby, Serco Group Chief Executive, said: “We are proud to have been awarded these three contracts and to have the privilege of continuing to provide critical operational services to the Royal Navy. These awards further strengthen our position in the defense market, where we provide deep expertise around the world.

“We have been performing these duties to an extremely high standard for the last 28 years and we now have the opportunity to modernize the fleet of support vessels to ensure that the Navy has the support it requires, day in, day out, to enable it to keep our waters safe.”

This is the latest in a series of defense contract wins globally by Serco, including:

  • Armed Forces Recruitment Service – a £1bn, ten-year contract (rising to £1.5bn if all extensions are exercised) to run a joint recruitment service for all UK military personnel
  • A new contract with the US Army Corps of Engineers to manage the modernization of the back-up electrical plant at the US Space Force’s Pituffik Space Base in Greenland.  The contract’s estimated value is around $320m
  • A $247m contract to support soldier readiness and performance within the US Army’s Holistic Health and Fitness System

 

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