The Ministry of Defence has awarded £3.2 billion worth of contracts to support the management of the UK’s naval bases.

The contracts will also cover the maintenance and repair of the Royal Navy’s warships and submarines, directly sustaining more than 7500 jobs across the UK.

Babcock, which manages Her Majesty’s Naval Bases at Devonport and Clyde, has been awarded a £2.6 billion contract; while BAE Systems, which manages Portsmouth Naval Base, has been awarded a £600 million contract.

The deal, which brings five existing contracts under one framework, represents excellent value for money for MOD and the UK taxpayer, with over £350 million of savings secured.

Defence Secretary Michael Fallon said: “This huge investment in our naval bases will directly sustain more than 7500 jobs and skills across the UK and ensure that the Royal Navy’s fleet of 56 warships and submarines are in the best possible condition and available for operations.

“Following the £3.5 billion Scout armoured vehicle contract, this is the second biggest defence contract placed by this Government and reflects our commitment to giving our Armed Forces what they need to keep Britain safe.”