North East SMEs make key contribution to UK’s defence

Homeland February 10, 2017

The MOD is building links with SMEs in North East who play vital role in equipping the UK’s Armed Forces.

This week, Minister Harriet Baldwin visited Newcastle to build links with regional SMEs who play a key role in equipping the UK’s Armed Forces.

The event took place at Pearson Engineering’s cutting-edge Armstrong Works.

A&P Tyneside delivered blocks used in the innovative modular construction of the Royal Navy’s new Queen Elizabeth Class Carriers, which are being constructed in Rosyth; as well as manufacturing key parts for the Astute nuclear submarine programme in their shipyard at Hebburn, sustaining jobs and bringing £7M of work to the region.

Pearson Engineering, along with eight other defence systems based in the north and north east, is part of the extensive UK supply chain for the Ajax Armoured Fighting Vehicle programme, the biggest order of armour for the British Army in a generation.

Over the last year, partnerships between Defence and the North East industry include BAE Systems Global Combat Systems and the support of Royal Engineers’ Terrier armoured combat engineer vehicle; Cook Defence Systems Ltd with construction of armoured vehicle tracks and support and UK Dock Marine Services North Ltd’s support for the UK’s maritime capability across the world.

The MOD is aiming to increase the share of its contracts with SMEs from 19% to 25%. The Minister led discussions with 12 companies in the Northern Defence Industries trade group (NDI) on how Defence and businesses of all sizes can work together, focusing on how to grow exports, drive innovation and support the UK supply chain.

Minister for Defence Procurement Harriett Baldwin said: “The North East makes an important contribution to our national security and economy. From the Ajax armoured vehicle to our new carriers, the companies I’ve met are delivering the equipment and services our Armed Forces need to keep Britain safe.

“Here in Newcastle today, we looked at how the businesses based here can help make Britain one of the most innovative, most prosperous countries globally, for an economy that works for everyone.”

Managing Director of Pearson Engineering and Chairman of NDI, Craig Priday said: “It has been a pleasure to welcome the Minister for Defence Procurement to Pearson Engineering today, particularly at a time when the MOD is in the process of renewing its industrial policy.

“NDI’s member companies make an enormous contribution to the capabilities of our armed forces and it is reassuring that the Department is taking the time to consider the views of the UK defence community right across the supply chain as it formulates its future intentions in this regard.”

Andy Collier, NDI Director, said that: “This has been a great opportunity for MOD to engage further with the UK supply chain.

“This sort of engagement is crucial to ensure that MOD can establish the means through which we, as an industry, can work ever more closely with the Department in the best interests of the UK economy.”

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Astute nuclear submarine programme Ministry of Defence Pearson Engineering Queen Elizabeth Class Carriers SMEs