MoD saves £500m on new satellite system_2

The Ministry of Defence has saved 20 per cent on a major multi-satellite system through the department’s largest private finance initiative (PFI) deal yet.

The Defence Procurement Agency (DPA) said the PFI deal cut the overall cost of Skynet 5 by about £500 million.

Skynet 5 will use at least two military satellites to deliver information between the UK’s Defence Fixed Network, which handles telecommunications, and military users in the field.

The contract went to Paradigm, a consortium headed by BAE Systems...

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