The Ministry of Defence (MOD) has issued a Voluntary Transparency Notice (VTN) announcing its intention to award a £4 million contract to Lockheed Martin United Kingdom (LMUK) for the supply of 2,700 drill rounds to support the Ajax programme.

Corrected on 20 November 2024: We had initially reported that the contract had already been awarded to LMUK. In fact, the MOD has only announced its intention to award the contract and is currently within the 10-day consultation period. No final decision has been made at this stage.

This proposed contract, spanning three years, is aimed at ensuring compatibility with Ajax vehicles and training systems currently in service.

The MOD has cited technical reasons for intending to award the contract directly to LMUK. According to the MOD, LMUK’s drill rounds have already been tested and qualified for the Ajax platform, meeting the required specifications. Previous attempts to source alternatives from other suppliers have been unsuccessful, with those options failing to meet the necessary standards.

The MOD further noted that LMUK’s drill rounds are integral to maintaining the programme’s current timeline, reducing risks associated with compatibility and operational readiness. Any attempt to develop or qualify new alternatives at this stage would introduce further delays and costs, which the MOD deemed unacceptable.

Supporting Ajax Training and Operations

The drill rounds are critical for the Ajax programme’s training systems and operational readiness. With additional Ajax vehicles and training platforms now in service, the need for these rounds has become increasingly urgent. The MOD emphasised that their procurement is essential to adhering to the timelines set out under the Future Soldier Integrated Review.

The contract, if awarded, will help mitigate delays that have previously impacted the Ajax programme.

Regulatory Justification

The VTN, published via the Defence Sourcing Portal, allows industry 10 days to challenge the MOD’s single-source approach. If no successful challenges are raised, the MOD plans to proceed with awarding the contract to LMUK.

This follows the Defence and Security Public Contracts Regulations 2011, which allow for single-source awards when justified by unique technical or operational requirements.

Lisa West
Lisa has a degree in Media & Communication from Glasgow Caledonian University and works with industry news, sifting through press releases in addition to moderating website comments.

14 COMMENTS

  1. Why is LM the supplier and not BAE? afterall the gun is made by CTA (BAE/Nexter) who developped the cased telescoped ammo tech

    • It seems that only LM have demonstrated their rounds work satisfactorally. We need to move quickly so therefore there is only one reasonable supplier hence the decision to single source. Doesn’t stop alternative suppliers coming forward in the future but it is signalling a determination to move quickly with procurement – something many people on here are likely to support.

  2. Nearly £1500 each for drill rounds. What an appalling waste of money the CTA 40 has been. It effectively killed Warrior upgrade and caused long delays to Ajax. Its ammunition is incredibly expensive and only UK and France have adopted it.

    • To be fair Lockheed Martin killed WCSP by persisting with a turret design the design authority said wouldn’t work. They were right So an American Company with a German turret and a French gun actually killed WCSP. What interests me more, is how LM were appointed to adjudicate design choice when they were one of the bidders? Corrupt or what? BAE never had a chance at WCSP the decision had been made at HMG to teach BAE a lesson by destroying their land systems division – Just how childish? Of course Ajax has been a roaring success hasn’t it? 27 critical defects and FOC now reckoned to be 2030 with in all probability a stack of concessions as tall as me (2M) It will need an MLU by the time it enters service and is of no benefit to the UK economy. This is because the tooling we paid for and the jobs secured are in Spain which is where all export vehicles will be made. So in effect the UK has paid for an American companies product development for its Spanish division while closing down British manufacturing industry

      • LMUK had zero experience of building AFV turrets and integrating new cannon into them. I wonder why they were chosen? To share the jobs out amongst marginal constituencies?

      • Warrior 2000 prototype was designed in 9 months for Swiss comp’ with fire on move turret and auto cannon. This would have been better solution for upgrade by BAE.

  3. 1500 pounds per round? That’s not sustainable at all.

    Imagine if there was an actual war. There’s no way you’d be able to sustain the ammunition pipeline with that cost.

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