Bidders on manoeuvres over MoD's plans for outsourcing

Bid teams have started forming to manage the Ministry of Defence's £23bn property estate ahead of a selection process that could start as early as next week.

For months, big-name outsourcing and property firms such as the FTSE 100's Serco and Land Securities have been circling the Defence Infrastructure Organisation's (DIO) plans to bring in a private sector partner. The formal invitation to bid will emphasise the need for "strategic change in the defence estate", according to an industry source.

It is understood that $10bn-turnover US giant Jacobs has teamed up with the property agent Jones Lang LaSalle while San Francisco-based URS Corporation is working with the UK construction and engineering consultant Capita Symonds.

Other parties have also started discussions with potential partners. In most cases, it is expected that a programme management-style group, which means companies that can oversee the development and rationalisation of a vast estate, would team up with firms that can micro-manage the needs of smaller bundles of property.

The MoD is on a huge cost-cutting programme and has identified its 93,000 acres of barracks, airfields and training areas as an area where it can make significant savings.

The DIO, which is the department's infrastructure division, believes it would be more efficient to outsource management of those properties and land.

The project is significant, as it will bring more private sector involvement in shaping the strategy of a department's property strategy. The selected partner is likely to have a significant role in deciding what land and facilities the MoD needs, and other departments may follow suit.

The risk is that this could lead to accusations of privatisation by stealth. However, that is not likely to stop a whole swath of other parties expressing their interest in the contract.

Life and Style
life
Arts and Entertainment
Diana from the Great British Bake Off 2014
tvProducers confirm contestant left because of illness
News
Brad Pitt and Angelina Jolie reportedly married in secret on Saturday
peopleSpokesperson for couple confirms they tied the knot on Saturday after almost a decade together
Sport
footballLive: Latest news from Champions League draw
PROMOTED VIDEO
News
ebooksAn evocation of the conflict through the eyes of those who lived through it
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Junior Asset Manager

£25000 - £35000 Per Annum: The Green Recruitment Company: Job Title: Junior As...

Investment Analyst

£33000 - £40000 Per Annum Discretionary profit share: The Green Recruitment Co...

Graduate / Trainee Recruitment Consultant

£20000 - £30000 per annum + OTE £45000: SThree: SThree are a global FTSE 250 b...

PMO Analyst - Risk - Banking - London - £350-£400

£350 - £400 per day: Orgtel: PMO Analyst - Risk - Banking - London - £350 - £4...

Day In a Page

Israel-Gaza conflict: No victory for Israel despite weeks of death and devastation

Robert Fisk: No victory for Israel despite weeks of devastation

Palestinians have won: they are still in Gaza, and Hamas is still there
Mary Beard writes character reference for Twitter troll who called her a 'slut'

Unlikely friends: Mary Beard and the troll who called her a ‘filthy old slut’

The Cambridge University classicist even wrote the student a character reference
America’s new apartheid: Prosperous white districts are choosing to break away from black cities and go it alone

America’s new apartheid

Prosperous white districts are choosing to break away from black cities and go it alone
Amazon is buying Twitch for £600m - but why do people want to watch others playing Xbox?

What is the appeal of Twitch?

Amazon is buying the video-game-themed online streaming site for £600m - but why do people want to watch others playing Xbox?
Tip-tapping typewriters, ripe pongs and slides in the office: Bosses are inventing surprising ways of making us work harder

How bosses are making us work harder

As it is revealed that one newspaper office pumps out the sound of typewriters to increase productivity, Gillian Orr explores the other devices designed to motivate staff
Manufacturers are struggling to keep up with the resurgence in vinyl records

Hard pressed: Resurgence in vinyl records

As the resurgence in vinyl records continues, manufacturers and their outdated machinery are struggling to keep up with the demand
Tony Jordan: 'I turned down the chance to research Charles Dickens for a TV series nine times ... then I found a kindred spirit'

A tale of two writers

Offered the chance to research Charles Dickens for a TV series, Tony Jordan turned it down. Nine times. The man behind EastEnders and Life on Mars didn’t feel right for the job. Finally, he gave in - and found an unexpected kindred spirit
Could a later start to the school day be the most useful educational reform of all?

Should pupils get a lie in?

Doctors want a later start to the school day so that pupils can sleep later. Not because teenagers are lazy, explains Simon Usborne - it's all down to their circadian rhythms
Prepare for Jewish jokes – as Jewish comedians get their own festival

Prepare for Jewish jokes...

... as Jewish comedians get their own festival
SJ Watson: 'I still can't quite believe that Before I Go to Sleep started in my head'

A dream come true for SJ Watson

Watson was working part time in the NHS when his debut novel, Before I Go to Sleep, became a bestseller. Now it's a Hollywood movie, too. Here he recalls the whirlwind journey from children’s ward to A-list film set
10 best cycling bags for commuters

10 best cycling bags for commuters

Gear up for next week’s National Cycle to Work day with one of these practical backpacks and messenger bags
Paul Scholes: Three at the back isn’t working yet but given time I’m hopeful Louis van Gaal can rebuild Manchester United

Paul Scholes column

Three at the back isn’t working yet but given time I’m hopeful Louis van Gaal can rebuild Manchester United
Kate Bush, Hammersmith Apollo music review: A preamble, then a coup de théâtre - and suddenly the long wait felt worth it

Kate Bush shows a voice untroubled by time

A preamble, then a coup de théâtre - and suddenly the long wait felt worth it
Robot sheepdog technology could be used to save people from burning buildings

The science of herding is cracked

Mathematical model would allow robots to be programmed to control crowds and save people from burning buildings
Tyrant: Is the world ready for a Middle Eastern 'Dallas'?

This tyrant doesn’t rule

It’s billed as a Middle Eastern ‘Dallas’, so why does Fox’s new drama have a white British star?