Find MOD Contracts

The UK Ministry of Defence accounts for over 40% of all central government spend with industry. The Department has a diverse range of requirements, including everything from military fighting vehicles to facilities management. MOD customers include our Armed Forces and national security agencies.

The MOD buys a wide variety of goods, services and solutions, ranging from clothing and food to satellite communication systems; from construction of buildings to provision of staff; and from musical instruments to medical products and services.

Win MOD contracts

MOD contracts are not just awarded to large global defence suppliers like BAE Systems or Lockheed Martin. For a considerable number of MOD contracts, there is a wider network of businesses involved in the provision or delivery of the contract – this is called the defence supply chain. MOD contracts are typically awarded to Prime Contractors who will sub-contract to other suppliers, particularly SMEs. In fact, MOD Prime Contractor obligations state that sub-contractors must be paid within 30 days, so winning contracts with MOD Prime Contractors is equally lucrative and secure.

SME Action Plan

In recent years, the MOD has implemented changes in its procurement strategy to access new technologies and broaden the supplier base with both SMEs and non-traditional defence suppliers.

With the introduction of its SME Action Plan, the Department is currently spending £835 million per annum directly with small and medium-sized businesses, a figure which does not include the many opportunities which lie indirectly within the supply chain.

Jim Carter, Commercial Director Supply Chain at the Ministry of Defence, has engaged with the MOD’s major suppliers and “asked them to report SME spend through their supply chain.” This is something the MOD will continue to do on an annual basis.

With new opportunities continuing to open up to SMEs in the defence marketplace, learn more about how your business can win more MOD contracts with defence intelligence.

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How much does the MOD spend?

The latest figures from NATO show that the UK is one of only seven nations currently hitting the organisation’s 2% GDP spend guideline for defence.

The Ministry of Defence is the single largest industry buyer in the UK. With an annual current procurement spend in excess of £20 billion, there are projections that this spend is set to increase. Over the next ten years, the MOD is committed to spending at least 20% of its budget on defence equipment and support.

This strong commitment to building defence and security makes the UK a lucrative marketplace for suppliers from all over the world.

What areas is the MOD investing in?

Technology: cloud and digital, network services, software and technology products and services.
Equipment and support: ships, submarines, aircraft, vehicles, weapons, missiles, commodities and support (maintenance and repair).
Infrastructure: construction, hard and soft facilities management, property consultancy.

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Benefits of working with the MOD

The MOD is the largest procurement organisation in central government, managing some of the most complex and technologically advanced requirements in the world.

For suppliers, the MOD offers a route to market and guaranteed payment with secure trading conditions.

The UK MOD operates on a global footing, and with DCI we can help potential suppliers realise opportunities in the defence sector through our suite of intelligent services tailored to the market.

Find MOD contracts with defence intelligence

Is your business already working with defence buyers and seeking to win more MOD contracts?

Our defence intelligence service streamlines the search for MOD contracts, saving suppliers within this marketplace time, resource and money and thereby facilitating maximum return on investment.

Early engagement is crucial to winning MOD contracts – knowledge is power. DCI supplies users with a wide range of data and insight from market news through to spend data and advanced notice of framework renewals.

Learn more about how your business can access key decision makers, bidders and influencers with our suite of defence intelligence tools.

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Market engagement

Get your business noticed in the defence market through dedicated defence-focused industry events that help build your network and offer a platform to help your business engage with key decision makers and suppliers operating in the defence sector.

DCI offers customers access to events such as DPRTE at exclusive rates which are designed to help build on the intelligence of DCI and provide a face-to-face environment to support winning new MOD contracts.

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Expand your reach with DCI

Commercial Projects is the only defence intelligence tool of its kind available in the procurement market.

Find more opportunities within the public and private sectors by adding Commercial Projects to your DCI subscription.

Commercial Projects delivers private sector leads to your inbox every day, giving you access to over 400,000 published planning applications as well as 10,000 non-planning projects each year.

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Key Industry Sectors

Aerospace

Security & Counter Terrorism

Emergency Services

Humanitarian Aid

Defence Infrastructure

Key Industry Sectors

Aerospace

Security & Counter Terrorism

Emergency Services

Humanitarian Aid

Defence Infrastructure

Aerospace

The global aerospace sector has recently been described as a ‘phenomenal success story’. A vast market, aerospace can be split into two key categories – aviation and space.

The growth intentions within both categories make aerospace one of the most lucrative global markets, with analysts predicting a 25% increase in the production of commercial aircraft and for the global space sector to be worth $400 billion by 2030.

Global military expenditure exceeded $1.57 trillion in 2016, equivalent to 2.3% of global gross domestic product (GDP).

Security & Counter Terrorism

While global military spending has slightly decreased over the past few years, spending in Central Europe and Russia has bucked recent trends, beginning to rise again back towards pre-2008 levels as these territories begin to reassess their security and counter terrorism requirements.

There are many in-country initiatives worldwide that make it critical for organisations looking to expand in defence to look further afield than the UK MOD, such as the $100 billion ‘Make India’ investment programme to modernise the Indian armed forces and the €179 billion commitment from France to maintain its ‘technological superiority’ through 2014 to 2019.

Emergency Services

With a lot of focus expected over the coming years from government, the emergency services market could prove to be highly lucrative for suppliers of all types.

One possibility could be a higher rate of collaborative buying across partnering Police and Fire authorities to streamline procurement processes and spending.

Humanitarian Aid

In 2014 alone global humanitarian aid relief grew by 24% with the UK being the world’s second largest aid donor, providing humanitarian assistance totalling £11.7 billion.

Upcoming changes to EU legislation will also see humanitarian efforts further increase over the next two years, providing many more opportunities for business to get involved in the supply of goods and services to support this increase in demand.

With regard to infrastructure, The MOD (Ministry of Defence) is one of the largest land owners in the UK, reflecting 1% of the UK estate, 80% of which is in England – opening up a raft of opportunities for suppliers.

In total, the Defence Infrastructure Organisation (DIO) manages assets worth more than £21 billion and maintains over 45,000 buildings, 50,000 houses and 135,000 bed spaces for the UK Armed Forces. The estate, totalling some 230,000 hectares, represents one per cent of the UK landmass, making MoD one of the largest landowners in the country. MoD also has the use of some 220,000 hectares of private land, through a range of access agreements. The 4,900 personnel in DIO also manage UK military bases in Germany, Cyprus, Falkland Islands, Gibraltar and Belize.