UK missile deal brings 500 jobs

The weapon will be light enough to be carried by soldiers

More than 500 UK jobs will be created or protected following the award of an order to develop a new anti-tank missile system for the British armed forces, the Ministry of Defence has said.

It awarded the contract, worth £400m ($583m), to the Swedish firm SAAB Bofors Dynamics.

The region which will fare best from the project is the south west of England, with 170 jobs being created or protected there.

The contract has also been greeted as "excellent news" for Scotland, which will get about 100 jobs, by Scotland Minister George Foulkes.

'Export potential'

The missile system is intended to be capable of destroying tanks, heavy armour and other military targets.

Development work will be carried out in Britain and Sweden but production will take place mainly in the UK, Defence Procurement Minister Lord Bach said.

In all, 15 British firms will carry out work on producing the new anti-tank missile system, which the MOD has said will "create or sustain" about 520 jobs.

The weapon system also has "considerable export potential", with projected sales of between 80,000 and 100,000, according to Lord Bach.

Northern Ireland jobs

The missile system, known as the Next Generation Light Anti-Armour Weapon (NGLAA) is due to enter service by 2006.

Light enough to be carried by troops in battle, it will be able to destroy "the most advanced tanks now envisaged" as well as buildings, he said.

Among the firms to benefit from the order, will be electronics firm Raytheon Systems in Glenrothes, Fife, which will get 36 new jobs and MSB in Coatbridge, which will make lithium batteries.

In Northern Ireland, Thales Air Defence will get work worth £70m, according to Belfast MP Peter Robinson.