The UK Ministry of Defence has reached a pivotal juncture in its logistics transformation strategy with the award of a £113 million contract to the Digital Allies consortium, comprising PA Consulting and Accenture.
This contract, focused on Defence Logistics Information Services (DLIS), represents the third and final major procurement within the Business Modernisation for Support (BMfS) programme. With this award, the total investment in the BMfS programme now reaches £466 million, signalling a comprehensive overhaul of the UK’s ageing logistics infrastructure. The move transitions the programme into its delivery phase, aimed at modernising support systems to improve warfighter readiness and strengthen interoperability with NATO partners.
DLIS is designed to consolidate ten disparate systems into a single, digitally enabled solution for warehousing, freight distribution, and storage information services. For sub-contractors and service providers within the defence supply chain, this transition signifies a shift toward more streamlined inventory and munitions management, facilitating deeper digital integration with the Ministry’s logistics framework. The broader BMfS architecture already includes a £320 million contract for the Defence Equipment Engineering and Asset Management System and a £33 million investment in Foundational Services, which acts as the unified digital infrastructure into which all new solutions will integrate.
The shift to a software-based, unified system is intended to provide defence logistics users with a flexible capability that can adapt to rapid operational changes. This digital modernisation offers businesses a more transparent and efficient interface with the Ministry of Defence, particularly regarding the management of movement and warehousing. Furthermore, the combined BMfS contracts are expected to create up to 235 highly skilled jobs in the UK, with the potential for additional growth as the programme matures. This level of investment underscores the government’s commitment to strengthening the domestic defence industrial base and fostering local innovation.
Luke Pollard, Minister for Defence Readiness and Industry, has stated that the programme will ensure personnel receive required equipment with greater efficiency, while positioning the defence sector as a significant engine for econo
mic growth. National Armaments Director Rupert Pearce confirmed that with all three contracts now established, the NA
D Group will focus on the practical implementation of these systems. As the BMfS programme progresses, the UK defence supply chain must adapt to a more integrated and digitally responsive environment, ensuring that sovereign capabilities remain resilient against evolving global threats.
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