French Firm Thales Wins Royal Navy Contract

French defence contractor Thales (Paris: FR0000121329 - news) has won a 10-year deal to service the Royal Navy's hi-tech submarines and ships.

The Ministry of Defence (MoD) confirmed the deal, which it said was worth at least £600m.

Thales will provide maintenance and repairs for 17 offensive and defensive systems across the fleet including the Astute, Trafalgar and Vanguard class of submarines.

It would also cover Type 45 warships, the MoD said, helping it save an estimated £140m over the decade.

The French contract will also sustain an estimated 530 defence jobs across the UK.

Operated from a team based in Abbey Wood, Bristol, it will be augmented by staff at naval bases in Portsmouth, Plymouth and Faslane.

Additional support facilities are located in Templecombe, Cheadle Heath, Glasgow and Crawley,

Minister for Defence Equipment, Support and Technology Philip Dunne said: "This contract is good news for the Ministry of Defence and UK industry.

"Not only will it secure a number of jobs across the UK whilst delivering savings but will also provide essential support for the combat equipment that helps give the Royal Navy's fleet of ships and submarines a vital technological edge wherever they are based in the world."

The new sensors support optimisation project (SSOP) builds on earlier success for Thales with the Navy.

It signed a contractor logistics support deal in 2003 with the Navy, which has provided support for sonar and electronic warfare systems.

Thales UK chief executive Victor Chavez said: "This contract recognises the value that can be achieved and the savings that can be delivered through a long-term services agreement.

"This project refines that approach to optimise performance over the next ten years, and reinforces our positive well-established relationship with the Royal Navy."