Yeovil based Leonardo Helicopters sign major deal with UK Armed Forces
It marks a continuation of a 34-year contract first signed in 2012
Last updated 8th Apr 2022
A South West helicopter manufacturer has signed a major deal to maintain the British military's fleet of Wildcat helicopters for the next five years.
Leonardo Helicopters, based in Yeovil, have a long standing relationship with the British military, with this deal confirming the next five year period of a much longer 34 year contract, first signed in 2012.
Worth £360 million, it will sustain more than 340 industry jobs in the region and marks the continued delivery of support services for the helicopter fleet, a three-year maintenance service, "technical support services" including aircraft safety management and training for both aircrew and maintainers.
Defence Minister Jeremy Quin said: "Wildcat helicopters play a vital role in supporting our Armed Forces through reconnaissance, protection and transport.
"I am delighted they will continue to receive high-quality technical support and training from Leonardo UK."
During a press event to announce the news at Leonardo's Yeovil site, we spoke to Leonardo UK managing director Nick Whitney.
"Obviously we're very, very happy that we've secured the next five year contract to support the Wildcat helicopter, which is in service with the UK Armed Forces, both the Royal Navy and the Army," he said.
"That provides continuity of employment for over 350 people, so that's hugely important."
Mr Whitney described the importance of Leonardo to the UK economy as "significant".
"If you look at the Leonardo group, we are 7,500 employees in the UK.
"If I look at Leonardo Helicopters, we are nearly 3,000 employees and we push a lot of money into the economy and we generate, for every £1 that is invested in Leonardo, £2.40 flows back into the UK economy, and that's a figure that's not been made up by ourselves, it's been independently verified by Oxford Economics."
With the ongoing situation in Ukraine and the increasingly intense state of relations between the West and Russia there is a growing demand for military equipment.
Asked about how that might impact Leonardo, Mr Whitney said he could not comment specifically on how the war in Ukraine could impact their business, but suggested in general terms that there could be room for growth in the future.
"We have a facility in Poland and our thoughts are very much with those that are affected, particularly those in the Ukraine," he said.
"I think, as we look at our medium term strategy...we're also moving into quite technically advanced areas such as uncrewed technology and that is where the growth will be."
"Then you bring in the export opportunity, which is very significant."
There was no suggestion however, that such technology could be sent to Ukraine.