John Healey, Britain's Secretary of Defense, arrives for a cabinet meeting at 10 Downing Street in London, Tuesday, Feb. 24, 2026. (AP Photo/Kin Cheung)
The British government announced Monday it had agreed a 1 billion pound ($1.3 billion) contract with the U.K. arm of Italian defense company Leonardo to build a new fleet of military helicopters.
The deal for 23 so-called medium-lift helicopters will help secure 3,300 jobs at Britain's last military helicopter manufacturing site in Yeovil, southwest England, the Ministry of Defense said.
Leonardo had signalled the facility could face closure if the contract did not proceed, also endangering a U.K. supply chain comprising dozens of companies.
Defence Secretary John Healey said it will make the Yeovil site, which dates back to 1915 and World War I aerial manufacturing, "the proud home of Leonardo's global military helicopter production."
The ministry claimed the deal had the potential to be worth 15 billion pounds over the next decade, noting around 20 countries had "requirements for new medium-lift helicopters" in the coming years.
It also said the commitment helps U.K. efforts to become a leader for autonomous helicopter systems, noting Leonardo was also building Britain's first autonomous uncrewed air system, known as Proteus.
"This defence investment works for Britain on every level," Healey said in a statement accompanying the agreement announcement.
"It strengthens our armed Forces, secures thousands of skilled British jobs, and sets up big export opportunities," he added, calling it "a major vote of confidence" in Britain.
