Burnham urged to award £2.4bn military satellite contract to Airbus over US rival
8 reported
The Unite union has called on Andy Burnham to award a £2.4bn military satellite contract to European manufacturer Airbus instead of US rival Lockheed Martin, citing concerns that up to 600 jobs may be at risk. Unite general secretary Sharon Graham said choosing a US company over Airbus would be a “massive mistake.” The contract, for the Skynet 6 wideband satellite system, involves two geostationary satellites for the UK Ministry of Defence’s most sensitive data. Lockheed Martin has promised about 500 direct jobs in north-east England and 1,500 supply chain jobs, while Airbus designs and builds satellites in Stevenage and Portsmouth. The bid battle is seen as an early test of Burnham’s pledge to use public procurement to back British industry, and one of the first major spending decisions for new defence secretary Wes Streeting. Defence Eye reported the MoD is pushing for a decision as soon as 1 August. Airbus declined to comment, while Lockheed Martin declined to comment on the competition.
What’s reported
Unite union called for Andy Burnham to award a £2.4bn military satellite contract to Airbus over Lockheed Martin.
Up to 600 jobs may be at risk, according to the union.
Sharon Graham said choosing a US company would be a “massive mistake.”
The Skynet 6 wideband satellite system will be two geostationary satellites for MoD sensitive data.
Lockheed Martin promised about 500 direct jobs in north-east England and 1,500 supply chain jobs.
Airbus designs and builds satellites in Stevenage and Portsmouth.
Defence Eye reported the MoD is pushing for a decision as soon as 1 August.
Airbus declined to comment; Lockheed Martin declined to comment on the competition.
Key figures
Sharon Graham, general secretary of Unite union
Andy Burnham (role not specified in article)
Wes Streeting, new defence secretary
Kevin Bonavia, Labour MP for Stevenage
Rod Drury, Lockheed Martin vice-president for global business
Sources: The Guardian
