UK's Last Military Helicopter Factory Hangs by Thread as Deadline Looms
The fate of about 3,000 manufacturing jobs at the UK's last military helicopter factory hangs in the balance as Leonardo Helicopters, the Italian owner, threatens to close the facility unless a long-awaited order from the Ministry of Defence is secured within weeks. The company's bid for the £1 billion "new medium helicopter" contract was delayed and now its future remains uncertain.
Sources close to the process say that the bid's "best and final offer" expires in March, and if the UK military fails to place an order by then, Leonardo will likely be forced to restart the bidding process. This would not only delay production but also risk having to renegotiate the price with its supply chain.
Industry insiders are growing increasingly anxious as the MoD's promised defence investment plan remains elusive. The contract is seen as a cornerstone of Leonardo's UK strategy, and any delay or cancellation could force the company to reevaluate its presence in Britain, including investments in electronics and cyber security divisions.
The Union's general secretary, Sharon Graham, has warned that workers at the Yeovil factory are "looking over their shoulders" waiting for confirmation on the order. She urged the government to put an end to the uncertainty by confirming the medium-lift helicopter contract soon.
Meanwhile, the MoD has dismissed concerns about the lack of progress, saying that defence spending is rising to record levels and that demands on defence are growing due to increased Russian aggression and operational requirements. However, critics argue that this does not address the root cause of the problem: a lack of transparency and communication within government departments.
The clock is ticking for Leonardo Helicopters as it awaits news from the MoD. The fate of 3,000 jobs rests on whether the UK military decides to place an order in time – or risks losing out on this lucrative contract forever.
The fate of about 3,000 manufacturing jobs at the UK's last military helicopter factory hangs in the balance as Leonardo Helicopters, the Italian owner, threatens to close the facility unless a long-awaited order from the Ministry of Defence is secured within weeks. The company's bid for the £1 billion "new medium helicopter" contract was delayed and now its future remains uncertain.
Sources close to the process say that the bid's "best and final offer" expires in March, and if the UK military fails to place an order by then, Leonardo will likely be forced to restart the bidding process. This would not only delay production but also risk having to renegotiate the price with its supply chain.
Industry insiders are growing increasingly anxious as the MoD's promised defence investment plan remains elusive. The contract is seen as a cornerstone of Leonardo's UK strategy, and any delay or cancellation could force the company to reevaluate its presence in Britain, including investments in electronics and cyber security divisions.
The Union's general secretary, Sharon Graham, has warned that workers at the Yeovil factory are "looking over their shoulders" waiting for confirmation on the order. She urged the government to put an end to the uncertainty by confirming the medium-lift helicopter contract soon.
Meanwhile, the MoD has dismissed concerns about the lack of progress, saying that defence spending is rising to record levels and that demands on defence are growing due to increased Russian aggression and operational requirements. However, critics argue that this does not address the root cause of the problem: a lack of transparency and communication within government departments.
The clock is ticking for Leonardo Helicopters as it awaits news from the MoD. The fate of 3,000 jobs rests on whether the UK military decides to place an order in time – or risks losing out on this lucrative contract forever.