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RBSL awarded £860m contract for Boxer programme
Rheinmetall Landsysteme has awarded Rheinmetall BAE Systems Land (RBSL) a subcontract to produce more than 260 Boxer vehicles for the UK MOD’s Mechanised Infantry Vehicle (MIV) programme. The Command and Special Carrier variants will be produced at RBSL’s facility in Telford, Shropshire.
The subcontract, worth around £860m, marks a significant milestone for the programme, following the £2.3bn MIV contract awarded to ARTEC, the Rheinmetall and KMW consortium in December 2019.
The contract will create and sustain over 200 skilled jobs in and around Telford, with the complete programme creating and sustaining more than 1,000 jobs nationally. The award of this contract will allow RBSL to provide work and training opportunities to more than 60 apprentices over the next five years, which is anticipated to be replicated across the UK supply chain.
The MIV programme aims to source 60%, by value, of the contract from within the UK. In order to achieve this, RBSL is part of the MIV Joint Procurement Team, which has engaged with suppliers in England, Wales, Scotland and Northern Ireland. The team has issued over 250 requests for quotations, and RBSL has completed numerous detailed supplier audits.
By working with a vibrant UK supply chain, the MIV programme will help support economic growth and level-up regional economic opportunity. It will also ensure that the UK has, in country, the skills and expertise to support the vehicles throughout their operational life.
Millions of pounds of investment will be made across British industry in training and capital equipment, increasing productivity throughout the supply chain. RBSL alone is making a £20m investment in its Telford site to improve infrastructure, provide state-of-the-art manufacturing facilities, and deliver some of the highest standards of training for specialist capabilities, such as welding.
Dr Marco Nöding, RBSL managing director, said: “RBSL’s subcontract is a great step forward after months of hard work. Working with Rheinmetall and other partners, RBSL is bringing new skills and technologies into the business and the UK supply chain.”
“I feel proud that RBSL has the opportunity to support British industry by working with UK-based suppliers – especially given the extraordinary circumstances the UK faces as a result of Covid-19. The next step for us is to formalise our community of suppliers and ensure the British Army receives their new vehicles manufactured to the highest standards.”