The Ministry of Defence is considering a single-source contract worth about £30 million with BAE Systems for development work on the Royal Navy’s Spearfish torpedo, according to a pipeline notice.
Defence Equipment and Support published the UK1 pipeline notice on 28 October, which sets out a planned procurement and does not award a contract. It said the contract “would be awarded via Direct Award to BAE Systems, based on their being the Design Authority for the Spearfish system.”
The notice describes it as a Qualifying Defence Contract under the Defence Reform Act 2014 and the Single Source Contract Regulations 2014, and estimates that a tender notice will be published on 30 November.
The description says the contract would begin in April 2027 and run for five years to the end of March 2032, with three one-year options taking the maximum duration to eight years. The notice’s estimated dates run from 1 June 2027 to 31 May 2032, with a possible extension to 31 May 2035.
BAE Systems leads the Spearfish Upgrade Programme under a £270 million contract awarded in December 2014, and the upgraded Mod 1 adds a fibre-optic guidance link, modernised electronics, a new warhead and a redesigned fuel system. Maria Eagle, then a defence minister, said in April 2025 that the Mod 1 had been integrated with Royal Navy submarine combat systems and had completed live in-water firings.
The company also won a £135 million Torpedo Repair and Maintenance contract in August, running from July 2026 to June 2029, which leads into a longer-term programme named WHITEHEAD2 intended to provide torpedo support from 2029.
