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Unsure Future for Leonardo’s UK Division Amid Contract Delays

December 21, 2025
in Military Aviation
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Unsure Future for Leonardo’s UK Division Amid Contract Delays
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The Telegraph stories that Roberto Cingolani, CEO of Leonardo, has warned the UK Defence Secretary that additional delays to contracts might threaten the corporate’s continued operations within the UK.

Leonardo, the defence business big primarily based in Italy, maintains a big UK presence with its helicopter manufacturing facility at Yeovil, traditionally operated by Westland, and numerous different websites throughout the nation. For the previous few years it has been clear that the way forward for the Yeovil plant has rested closely on the result of the New Medium Helicopter (NMH) contract. Regardless of Leonardo’s supply of the AW149 platform being the only remaining bid – others having dropped out over a yr in the past – the UK Ministry of Defence (MoD) has but to formally place an order.

The Telegraph stories that Roberto Cingolani, CEO of Leonardo, has warned the UK Defence Secretary that additional delays to contracts might threaten the corporate’s continued operations within the UK.From Westland to Leonardo

The corporate has repeatedly warned that delays in awarding the NMH contract, in addition to many different small packages, is inserting the roles of its UK personnel in danger. Now, in what seems to be a final ditch effort, The Telegraph stories that Leonardo chief government officer Roberto Cingolani personally despatched a letter to John Healey, the UK Secretary of State for Defence, to reiterate and reinforce the corporate’s considerations.

🔴 The boss of defence big Leonardo has threatened to scrap all funding in Britain following a row over a long-delayed navy helicopter contract

Discover out extra ⬇️ pic.twitter.com/X482f2ASSO

— The Telegraph (@Telegraph) December 21, 2025

Business dissatisfaction over an absence of contracts being issued for brand spanking new UK defence tasks has been significantly sturdy because the launch of the Strategic Defence Assessment (SDR) in June 2025, which inspired funding in UK business. Its scheduled launch had been pointed to by officers for a while within the months prior as a purpose why new contracts weren’t then forthcoming, however now producers have been once more instructed to await the discharge of the Defence Funding Plan (DIP). Initially due this yr, the DIP is now anticipated in 2026, with the excessive profile issues with the Ajax armored automobile thought to have had an impression in addition to Treasury pushback on spending plans.

Leonardo AW149, which is the only remaining bid for the UK’s NMH contract. (Picture credit score: Leonardo)

Past the Yeovil website, Leonardo operates eight additional places stretching as far south as Southampton and as far north as Edinburgh in Scotland. These websites assist work for numerous navy capabilities and applied sciences, together with communications, radar, infrared detection and countermeasures, digital warfare, and extra. The corporate says it helps over 31,000 British jobs, producing £2.5 billion for the UK’s economic system.

Price remembering that the Leonardo UK BriteCloud digital warfare decoy that BriteStorm relies on, is deemed so succesful, the US is shopping for it to guard F-35s. A significant British export to US success story. #StormShroud pic.twitter.com/V3YtRY1cLL

— Tim Robinson (@RAeSTimR) Might 2, 2025

At Yeovil itself, past NMH, the corporate is eager for future orders for its Merlin and Wildcat merchandise, each of that are manufactured on website. Norway, who’ve chosen the Kind 26 frigate in one of many greatest ever abroad defence offers for the UK, are considered contemplating a purchase of the maritime variant of the Merlin to fly from its ships. Increasing with NMH to incorporate an AW149 manufacturing line would current extra alternatives for ongoing work.

Merlin HM2 on HMS Prince of Wales in the course of the Provider Strike Group 25 deployment. (Picture credit score: AS1 Amber Mayall RAF/Crown Copyright)

The Telegraph, having seen Cingolani’s letter, says the CEO described NMH, value round £1 billion, as a “cornerstone” of his firm’s future UK plans. Additional delays to, or potential cancellation of, this system would “power a reevaluation of Leonardo’s UK presence,” he added.  The Yeovil manufacturing unit is claimed to instantly assist 3,000 jobs, with an extra 9,000 supported by way of prolonged provide chains.

Whereas, given the general scale of Leonardo’s presence within the UK and the price of re-establishing this elsewhere, an entire withdrawal is unlikely, even some website closures, cutbacks, and job losses can be a serious blow for the UK at a time when ministers incessantly try to stress their dedication to the UK’s defence business.

From Westland to Leonardo

Helicopter manufacturing at Yeovil dates again to 1948, when Westland Plane – who had produced mounted wing plane in the course of the Second World Struggle – used the positioning to fabricate a licence-built Sikorsky S-51. An extra 148 can be constructed on the website beneath the identify Westland Dragonfly.

Yeovil would go on to be house to extra of Westland’s collaborations with Sikorsky, specifically the Westland Whirlwind, Westland Wessex, Westland Sea King, and even a one-off demonstrator of a Westland WS-70 Black Hawk. Remaining meeting of Pumas and Gazelles was additionally supported at Yeovil beneath agreements struck with Aérospatiale, with Westland then later taking the lead on the Lynx helicopter. Dwelling-grown designs just like the Westland Wasp and Westland Scout have been additionally constructed.

A Westland Lynx HMA8 with an AgustaWestland Wildcat HMA2 within the background, each of which have been manufactured at Yeovil many years aside. (Picture credit score: creator)

Westland merged with Italian producer Agusta in 2000, then turning into AgustaWestland. After GKN, who owned the Westland model, bought their share in 2004 the corporate grew to become solely owned by Finmeccanica. When Finmeccanica restructured and rebranded as Leonardo in 2016, its AgustaWestland subsidiary grew to become Leonardo Helicopters. Regionally, the Yeovil plant continues to be colloquially referred to as ‘Westlands’.

In additional fashionable instances, the Yeovil plant has been house to manufacturing traces for the AW101 Merlin and AW159 Wildcat, and meeting of all UK navy operated examples of those plane was carried out on the Somerset manufacturing unit. The UK’s distinctive licence-built AgustaWestland WAH-64D Apache assault helicopters have been constructed on website, although the newly delivered AH-64E fashions have been as an alternative procured instantly from Boeing. Upgrades for the Merlin fleet, specifically the Merlin HC4, Merlin HM2, and Merlin Crowsnest packages, have been additionally carried out at Yeovil. It’s the final website within the UK to supply full end-to-end helicopter manufacturing, however has not acquired a UK contract for new-build airframes because the Wildcat within the late 2000s.

Most lately, Leonardo has produced a prototype of the Proteus rotary wing uncrewed aerial system (RWUAS) at Yeovil. Floor assessments have been accomplished in early December, with flight testing because of observe within the close to future.





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Tags: AgustaWestlandAW149ContractDelaysDivisionFutureLeonardoLeonardo AW149Leonardo HelicoptersLeonardosNew Medium HelicopterUncertainUnited Kingdom
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