Defence order brings jobs hope

The anti-tank weapon will be in service by 2006

Up to 100 jobs are to be created or secured in Scotland through a Ministry of Defence order for anti-tank weapons, defence chiefs have confirmed.

Saab Bofors Dynamics is expected to clinch a £400m contract to provide the new missile system.

The company said the order for the Next Generation Light Anti-Armour Weapon (NLAW) would help create or secure 500 jobs across the UK, with 100 of these in companies north of the border.

Defence procurement minister Lord Bach said the new weapon would be vital to the UK armed forces.

Lord Bach: "Highly effective"

And Minister of State for Scotland, George Foulkes, said the jobs boost was "excellent news" for the Scottish economy.

The missile system will be operational by 2006 and will be used by the Royal Marines, Army infantry battalions and the Royal Air Force.

Scottish firms to benefit from the contract include Raytheon Systems in Glenrothes, Fife, Coatbridge-based MSB, Nobel Enterprises in Ayrshire and the Saab office in Glasgow.

Announcing the MoD contract Lord Bach said: "It can destroy the most advanced tanks now envisaged, and is highly effective against other military targets such as armoured vehicles and buildings.

'Export potential'

"Development work will be carried out in Britain and Sweden, with production mainly in the UK, involving 15 companies.

"NLAW has considerable export potential, with predicted sales of up to 100,000 weapons.

"The programme is being undertaken in collaboration with Sweden and a memorandum of understanding between the UK and the Swedish Governments will be signed shortly."

Mr Foulkes said: "These new jobs are excellent news for Scotland and provides further evidence of the benefit that UK procurement decisions deliver to Scotland."