The UK Government has confirmed a substantial £1 billion contract with Italian aerospace manufacturer Leonardo, ensuring the future of 3,300 British jobs, many based in Somerset. This commitment removes uncertainty for Leonardo’s Yeovil plant, which had faced closure risks without the contract award.
Under this new deal, Leonardo will deliver 23 advanced medium-lift helicopters to the UK Armed Forces, according to the Ministry of Defence (MoD). Additionally, the contract includes continued investment in Proteus, the UK’s pioneering autonomous uncrewed air system recently completed its maiden flight and is developed by Leonardo.
Defence Secretary John Healey hailed the contract as a “major vote of confidence in British industry,” emphasizing its broad benefits: strengthening the Armed Forces, securing skilled jobs, and opening export opportunities. Healey noted, “This Government’s broad deal makes Yeovil the proud home of Leonardo’s global military helicopter production, building world-class helicopters for our forces and allies around the world for many years to come.”
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Chancellor Rachel Reeves described the partnership as “historic,” highlighting its dual role in enhancing national security and driving economic growth. “It positions the UK and its allies at the forefront of the next generation of defence and autonomous systems,” she said.
The MoD anticipates that international orders through Leonardo’s Yeovil facility could generate exports exceeding £15 billion over the next decade. Nigel Colman, managing director of Helicopters UK at Leonardo, reaffirmed the company’s dedication to the UK military, stating that the AW149 helicopter will provide reliable service for years and underpin a UK supply chain employing 12,000 people.
This contract aligns with the Government’s commitment to raising defence spending to 2.6 percent of GDP from 2027, reinforcing the UK’s position in cutting-edge defence technologies and manufacturing.