Question to the Ministry of Defence:

To ask the Secretary of State for Defence, what recent estimate he has made of the value to the UK economy of (a) current and (b) potential production contracts under the (i) Warrior Capability Sustainment, (ii) AJAX, (iii) Mechanised Infantry Vehicle and (iv) Challenger II Life Extension programmes; and if he will make a statement.

The Full Business Cases for the Warrior Capability Sustainment Programme and Challenger 2 Life Extension Programme are currently being considered through our internal approvals process, and are subject to commercial negotiations. It would not therefore be appropriate to comment further at this time.

The manufacturing contract for AJAX was awarded in September 2014 for 589 vehicles. The AJAX programme represents a £6 billion investment that supports approximately 4,100 jobs across more than 230 UK suppliers. Some 65-70% of the AJAX Programme is UK-based. We continue to work with General Dynamics to generate and support export opportunities.

The Mechanised Infantry Vehicle (MIV) programme awarded a £2.8 billion contract in November 2019 for 508 Boxer vehicles and 15 training vehicles. Around 60% by value of the contract is planned to come from the UK and will sustain up to 1,000 jobs. Investment in the UK indigenous armoured vehicle manufacturing capability generated through the MIV programme, combined with the UK procuring an already-proven vehicle in use with other nations, opens up future export opportunities and also puts the UK in a good position to support the other user nations through the NATO Support Procurement Agency.