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MoD decision to not hand £3bn contract to Oakdale firm criticised by MP Wayne David

News | | Published: 14:24, Monday April 16th, 2018.

General Dynamics’ Piranha 5 will not be part of the MoD’s Mechanised Infantry Vehicle programme
General Dynamics’ Piranha 5 will not be part of the MoD’s Mechanised Infantry Vehicle programme

A decision to hand a £3 billion defence contract to a German company instead of Oakdale-based General Dynamics has been criticised by Caerphilly MP Wayne David.

The UK Government’s Ministry of Defence has chosen Munich-based Artec to deliver new armoured carriers for the Army.

Mr David, who is Shadow Minister for Armed Forces and Defence Procurement, said the contract process had not been “fair and open”, with Oakdale-based General Dynamics denied a chance to bid.

He told BBC Wales: “The process should examine value for money and creating as many British jobs as possible.

“General Dynamics are competent and were confident they could have beaten anything in terms of job creation and competitiveness on price.”

The MoD said Arctic had signed deals with British supply firms for its Boxer vehicle and that it would create up to 1,000 jobs in the UK.

Locations such as Glasgow, Newcastle, Sheffield, Stockport, Telford and Wales are being looked at, while other British companies could supply other systems and engines.

The statement said: “The MoD conducted a comprehensive market analysis of mechanised infantry vehicles in-service, entering service and in development.

“The analysis was guided by the British Army’s requirements and how best to deliver them.

“The Boxer delivered on protected mobility, capacity, flexibility, utility and agility.”

It aims to have the first vehicle in service with the Army in 2023.

In January, this year Wales’ Economy Secretary Ken Skates AM urged the UK’s defence procurement minister Guto Bebb to consider the Piranha vehicle made by General Dynamics UK.

4 thoughts on “MoD decision to not hand £3bn contract to Oakdale firm criticised by MP Wayne David”

  1. John Coffi says:
    Tuesday, April 17, 2018 at 09:08

    Yet another clear indication of how the UK Government dismisses Wales.
    Many recent articles on the Observer site prove that we have some of the best companies anywhere – yet they are often overlooked in circumstances such as this.

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    1. Edward J Smith says:
      Tuesday, April 17, 2018 at 12:37

      Is this the beginning of how things will be after britxit? Sadly i think so. Getting out of Europe was a big mistake. I only now fully understand what i was expected to vote on, i feel we have been conned by both sides. Sadly we have voted to leave so people have to put up with the consequences of what is to come.

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      1. John Coffi says:
        Tuesday, April 17, 2018 at 13:19

        Strange situation indeed – the public vote to leave the EU then the UK Government give 2 contracts to EU countries – British Passports to France and Military Hardware to Germany !
        It seems bonkers…………..does any political party have any responsible leadership any more ?
        Clearly the answer is no !

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        1. Richard Williams says:
          Tuesday, April 17, 2018 at 19:51

          The great panjandrums in the EU wish to punish Britain for having the guts to leave the EU. Unfortunately most of our MPs are of the same mindset. There is no reason, economic or otherwise, for passports not to continue to be made in this country. The armoured vehicle decision is somewhat different, though I would go for the General Dynamics contract personally.

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