Serco Secures GBP147M US Navy Ship Modernisation Contract

September 30, 2026

Serco, the international provider of critical government services, has been awarded a £147 million contract to deliver support for the U.S. Navy's in-service surface ships on behalf of the Deputy Portfolio Acquisition Executive Maritime for Modernization & Sustainment (DPAE M&S).

Under the contract Serco will provide critical life cycle management, programme and project management, technical engineering, and integrated logistics support across ten core mission functions, building on more than 20 years supporting the U S. Navy in this area.

The majority of the work will be carried out at key U.S. naval hubs CONUS and OCONUS, with Serco the primary technical interface, ensuring ships are integrated with the latest technologies throughout their service life.

Anthony Kirby, Serco Group Chief Executive, said: "We are incredibly proud to extend our partnership supporting this critical modernisation programme on behalf of the U.S. Navy. This underscores our deep technical expertise and reflects Serco's commitment as a trusted defence partner, improving fleet readiness, and bringing together specialist expertise across multiple capabilities.” 

This contract follows other recent successes in defence: 

• A five-year contract to operate, maintain and sustain the Solid State Phased Array Radar (SSPAR) at RAF Fylingdales in North Yorkshire. 
• A contract to provide in-service support for the British Army’s fleet of 512 marine vessels. 
• An £80m contract for the Royal Australian Navy to provide HMAS Watson Navy Synthetic Warfare Training. 
• Three contracts with a combined value of over £1bn to provide Maritime Services to the Royal Navy. 
• A ten-year contract worth up to £1.5bn if all options are exercised, to run the Armed Forces Recruitment Service for all UK military personnel. 
• A 25-year, CAN$490m (GBP £266m) contract to support the Future Aircrew Training (FAcT) program for the Royal Canadian Air Force (RCAF).? 
• A new indefinite-delivery/indefinite-quantity (IDIQ) contract to continue supporting the US Navy’s Submarine High Data Rate (SubHDR) antenna systems. ?The single-award contract vehicle has a ceiling value of US$97m?(£72m). 

Source : Serco Inc.