New IT contracts to bring £1 billion of savings to MoD

The Ministry of Defence (MoD) have signed two new IT and communications contracts that are expected to bring savings £1 billion.

A contract worth £933 million has been signed with the ATLAS Consortium, a collaborative team led by HP and including Fujitsu, Airbus Defence and Space and CGI, to provide a ‘new style of IT’ (NSoIT). An additional £550 million contract has been been awarded to Fujitsu to provide global connectivity services for the next five years.

The NSoIT project has been established to renegotiate the MoD’s secure IT systems, delivering improved capability and increased savings. Along with the global connectivity project from Fujitsu, these new contracts aim to update the MoD’s IT system to utilise cloud computing and increased mobility for service personnel.

Defence Secretary Michael Fallon said: “We must keep pace with those who pose a threat to UK security, whether overt or cyber-based. The new contracts will enhance our fighting capability and make us more efficient in our work.

“Alongside this enhanced capability we have managed to secure huge savings of £1bn over ten years. All of this money will be reinvested back into Defence, ultimately helping keep Britain safe.”