Carillion JV secures £200m defence contract

A joint venture operated by construction and support services group Carillion has been awarded a £200m contract from the Ministry of Defence.

The HESTIA South East and London Region Multi Activity Contract is one of the seven HESTIA contracts being awarded by the MoD.

The value of the five-year contract is based on retail revenue projections.

Under the contract, the JV will deliver a range of soft facilities management services, including catering, retail and leisure, and hotel and mess services, for 87 key Defence sites across Kent, Sussex, Surrey, Berkshire and Central and Greater London. The contract will go live at the beginning of September 2017 and will employ more than 1,800 people.

Wolverhampton-based Carillion said the contract would build on the strong relationship it has with the MoD through its existing Next Generation Estates contracts with the Defence Infrastructure Organisation (DIO). These cover the provision of housing maintenance, design, construction and facilities management services across the UK.

Carillion said it would use the HESTIA South East and London contract to create further opportunities to demonstrate its commitment to the Armed Forces Corporate Covenant, which helps ex-service personnel find employment and supports the recruitment of Reservists.

Carillion Chief Executive, Richard Howson, said: “We are extremely proud that our Carillion Joint Venture has been selected for this major contract. We look forward to building on our existing strong relationship with the Defence Infrastructure Organisation, and to working with the DIO and senior military personnel to deliver a range of services that will help to improve the lives of service personnel.”

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