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Capita wins £400m defence estate deal

Capita has defeated rival Serco to be selected by the Ministry of Defence (MoD) as strategic business partner for the Defence Infrastructure Organisation (DIO).

Capita will manage the DIO estate together with URS and PA Consulting, described as ‘integrated subcontractors’.

The 10-year contract is expected to be worth around £400m to Capita.

Capita chief executive Andy Parker said: "The partnership will help to unlock the knowledge, skills and resources that already exist within the DIO, while adding capability to tackle the significant cost-saving targets currently facing the MoD."

Defence secretary Philip Hammond said: “Working with a strategic business partner will bring in private sector expertise to enhance the Defence Infrastructure Organisation and deliver value-for-money and potentially hundreds of millions of pounds of savings for the taxpayer.”



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