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A Dutch firm has joined the UK and Germany in the multi-role armoured vehicle programme, cutting Britain’s share of trial and development costs by £5 million. Stork will partner Britain’s Alvis Vehicles and Germany’s Krauss-Maffei Wegman and MAK in a £110 million contract to produce 2,000 vehicles by 2006.

Consignia outsources IT

Consignia is to outsource most of its £300 million IT function. The company is hoping for a joint venture in which it will retain a 51 per cent stake and expects to award the contract within 15 months. The group is also in talks with BT, which has expressed an interest in operating Consignia’s fleet of 40,000 vehicles.

Electricity clause plan

Energy minister Brian Wilson has proposed two new clauses for power generator licences to promote good behaviour and guard against anti-competitive practices in the new electricity wholesale market.

Best practice framework

Defence cuts prediction

Defence Estates is expected to halve the number of prime regional contracts, including facilities management and repair and operations, to be signed over the next three years. Seven “one-stop-shops” contracts will see a single contractor overseeing work in a region. Contracts should not exceed £1 billion.

Hain in wind farm clash

Members of the National Assembly for Wales have clashed with energy minister Peter Hain over planning permission for controversial offshore wind farms. The dispute is over proposals for a wind power station near Aberystwyth. Nationalist assembly members have petitioned to be given some of the Department of Trade and Industry’s powers to give consent.

Hitachi makes train bid

Hitachi has submitted a bid to supply trains to Britain’s railways. The group hopes to build trains for, among others, the Strategic Rail Authority and Merseyrail. As part of the deal the company, which has been instrumental in the development of Japanese railway technology, also hopes to supply a new train, which is currently awaiting safety approval.

IT supply bids possible

A review of senior MPs’ salaries, including office supplies, could open up bids for up to £2 million of computer software. MPs currently purchase their own IT equipment with funds from the House of Commons’ office costs department, but the review recommends that the supply of equipment should be centralised.

Heavy cuts in IT outlay

Spending on consulting and systems integration is facing heavier cutbacks than any area of IT spending, according to a survey by financial services company Morgan Stanley Dean Witter.

Power surplus predicted

The National Grid has predicted a potential electricity surplus of more than 45 per cent in England and Wales by 2008. Generation capacity is expected to increase by 18.8 per cent to 86.5 gigawatts in this time, with the largest increase in northern England.