Burnham urged to award £2.4bn military satellite contract to Airbus over US rival
Summary
A major UK union has urged Andy Burnham to give a £2.4 billion military satellite contract to Airbus, a European company that designs and builds satellites in the UK, instead of to the American company Lockheed Martin. The decision will affect jobs and British industry, as the contract supports the UK Ministry of Defence’s new satellite system to transmit sensitive data.Key Facts
- The contract is for the Skynet 6 wideband satellite system, made up of two satellites in geostationary orbit.
- Airbus designs and builds satellites in Stevenage and Portsmouth in the UK and has built UK military satellites for many years.
- Unite union general secretary Sharon Graham warned that choosing Lockheed Martin would risk 600 British jobs.
- Lockheed Martin plans to create about 500 jobs in north-east England and 1,500 additional supply chain jobs.
- Lockheed promises to keep any new technology created in the UK but relies on American intellectual property.
- The UK government may decide by August 1 on which company will get the contract.
- Choosing Lockheed Martin could cause Airbus to move satellite production out of the UK.
- Airbus is part of a planned merger with other European space companies from France and Italy.
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