The UK Ministry of Defence has awarded Leonardo a £1 billion contract for 23 AW149 medium-lift helicopters under the New Medium Helicopter (NMH) programme, replacing the retired Puma fleet.
The agreement secures 3,300 jobs at Leonardo’s Yeovil facility in southwest England, the nation’s sole remaining military helicopter manufacturing site operational since 1915. Defence Secretary John Healey stated the deal establishes Yeovil as “the proud home of Leonardo’s global military helicopter production.” The facility faced potential closure without this contract, threatening a supply chain of nearly 70 UK companies.
Leonardo emerged as the sole bidder after Airbus and Lockheed Martin withdrew from the competition. The AW149 helicopters will integrate with uncrewed aircraft systems, aligning with UK autonomous aviation advancements, including Leonardo’s Proteus uncrewed air system.
The Ministry forecasts potential £15 billion in exports over the next decade, as around 20 nations seek new medium-lift helicopters. Around 40% of the work supports the UK supply chain, sustaining 650 direct NMH roles plus positions on Merlin and Wildcat fleets.
Unite union described the deal as a “tremendous victory” for workers and the aerospace sector. Yeovil MP Adam Dance emphasized its role in preserving sovereign defence skills amid rising global threats. Healey noted: “This defence investment works for Britain on every level. It strengthens our armed Forces, secures thousands of skilled British jobs, and sets up big export opportunities.”