QinetiQ Group plc has announced a five-year, £1.54 billion extension to its Long Term Partnering Agreement (LTPA) with the UK Ministry of Defence (MOD), aimed at modernizing test and evaluation (T&E) capabilities to support the operational readiness of the UK and allied armed forces. The extension pushes the agreement’s term to 2033.
In addition to the contract extension, QinetiQ has recognized an incremental order of £166 million related to ongoing investments in test and evaluation.
Under the LTPA, QinetiQ delivers mission-critical Test, Trials, Training and Evaluation (T3E) services across the UK’s defense infrastructure. Over the next eight years, QinetiQ and the MOD plan to invest in T3E capabilities to support emerging technologies including uncrewed systems, hypersonic weapons, and directed energy systems. The contract includes a strong emphasis on digitalization to accelerate testing cycles and deployment of defense solutions.
Both QinetiQ and the MOD have also committed to expanding access for small and medium-sized enterprises (SMEs), aiming to improve agility and innovation across the defense sector.
“Rigorously tested equipment and the trialling of emerging technologies are key to ensuring our armed forces are using combat-ready capabilities on the frontline,” said Defence Secretary John Healey MP. “The contract will help keep Britain secure at home and strong abroad, as we drive forward innovation to bolster our national security and support skilled jobs across the UK. With hundreds of British businesses supported by this investment through QinetiQ’s supply chain, we are demonstrating how defense is an engine for growth across the UK, and delivering on our Plan for Change.”
Steve Wadey, Group Chief Executive Officer at QinetiQ, added: “Rigorously tested equipment and the trialling of emerging technologies are key to ensuring our armed forces are using combat-ready capabilities on the frontline. Through the LTPA, we play a vital role helping to protect and enhance the UK’s defense and security. The extension of our partnership with MOD enables us to continue investing to deliver the transformational change in test and evaluation that’s required to ensure our armed forces have operational advantage over disruptive technologies. We’re seeing increased demand for our services from NATO countries and this LTPA extension positions the UK as a leading center for T3E and facilitates the delivery of major equipment platforms as well as future upgrade programs.”
The contract extension is expected to sustain over 1,200 highly skilled jobs across 16 MOD sites throughout England, Scotland, and Wales. It will also support a nationwide supply chain of more than 825 companies, 590 of which are SMEs.
Earlier this month, QinetiQ hosted the NATO joint strike exercise Formidable Shield at the MOD Hebrides range—one of the 16 sovereign sites managed under the LTPA.
Since the original 25-year agreement was signed in 2003, QinetiQ and the MOD have delivered a wide range of T3E services supporting major defense milestones. These include the first UK launch of a ballistic rocket into space, the country’s first successful firing of a high-power laser directed energy weapon at airborne targets, and Europe’s first manned-unmanned teaming demonstration between a piloted aircraft and an autonomous air vehicle.
The LTPA extension will contribute to future defense initiatives including the Global Combat Air Programme (GCAP), the Dreadnought-class nuclear submarines, and upcoming drone technologies.