Minister announces new £250m missile contract

Defence Secretary Philip Hammond has announced a £250m contract for a new naval defence missile system that can travel at 2,000 miles (3,218km) an hour.

The production of Sea Ceptor, which will be fitted to the Royal Navy’s Type 23 frigates to intercept and destroy enemy missiles, will sustain 500 jobs in the UK.

Mr Hammond, speaking at the Defence Security Equipment International (DSEI) arms fair at London’s ExCel Centre, said the Sea Ceptor “will play a vital role in protecting frigates”.

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In the future the missile, which can intercept multiple targets and protect a 15-mile (25km) area, will also be fitted to the Type 26 Global Combat Ship.

About 250 jobs will be sustained with manufacturer MBDA’s sites in Stevenage, Filton and Lostock, with a further 250 jobs secured in companies in the supply chain.

Mr Hammond said: “The production of Sea Ceptor will be a huge boost to the UK’s world-leading missile industry, providing hundreds of jobs and once again proves our commitment to providing battle-winning technology to our Armed Forces. Having balanced the defence budget, we continue to order new equipment for our forces with confidence.”

The MoD has extended an agreement made with MBDA in 2010 to manage the UK’s complex weapons portfolio.

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First Sea Lord Admiral Sir George Zambellas said: “This state-of-the-art missile system is part of an exciting renaissance in our naval equipment programme – and when fitted to Royal Navy frigates it will further enhance our global authority as a leading maritime power.”

The biennial DSEI event attracts delegates around the world. There are 1,500 exhibitors at the four-day show, with organisers expecting 30,000 visitors to attend.

Mr Hammond, attending his first DSEI, said the show was “a great reminder of the vital part the defence industry plays” in supporting the armed forces and the UK economy.

Members of Stop The Arms Fair coalition have been protesting since Sunday, with a spokeswoman saying DSEI hosts “some of the most authoritarian regimes in the world and those who profit from their brutality”.

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