Case Study: UK Ministry of Defence saves £113 million with PA Consulting

Negotiating £113 million in savings on the UK’s submarine-building programme

The UK Ministry of Defence worked with PA Consulting to support negotiations on the final boat in its Astute-class submarine programme. Faced with the complexity of building seven advanced nuclear submarines and the need to ensure value for money for taxpayers, the MoD needed expert help to assess contractor proposals and prepare for high-stakes contract talks.

PA Consulting carried out a forensic analysis of contractor proposals, benchmarked costs using historical and industry data, and coached the MoD’s teams for face-to-face negotiations. As a result, the MoD secured more robust contracts that transferred more risk to contractors and improved performance focus, delivering £113 million in savings across £1.4 billion of contracts.

UK Ministry of Defence

Steve Rose

Head Of Astute Programme - Submarine Delivery Agency