Local companies within the West Country are warning they face damage with 3,000 jobs on the UK’s solely remaining helicopter producer hanging within the steadiness.
Italian aerospace and defence firm, Leonardo, may very well be compelled to wind down its operations at its historic Somerset plant, after delays within the awarding of an important £1billion contract.
Shaun Whitehouse, proprietor of Lanes Hotel in West Coker, which employs greater than 35 individuals, stated: “To be brutally honest with you, I could not see a future without Leonardo. We are so reliant on them, as are many other businesses. If they go, we go.”
His warning displays the size of the producer’s presence within the space, with the corporate using greater than 3,000 individuals domestically and supporting an additional 9,000 jobs throughout its wider provide chain.
Adam Dance, the Liberal Democrat MP for Yeovil, stated that failure to award the contract would put the city’s heritage in danger.
“If they pull out of the UK altogether, that’s a huge amount of jobs. The Government needs to wake up,” he stated. “This is our heritage, it is what Yeovil is known for. Everyone you speak to here, knows someone who worked there.”
Leonardo offers important funding domestically, with the corporate and its wider provide chain representing round £1.2million in earnings to Yeovil College annually by means of an engineering apprenticeship scheme.
Hundreds of younger individuals prepare as engineers because of Leonardo’s presence within the city.
But earlier this week, Leonardo’s chief govt Roberto Cingolani wrote to the Defence Secretary warning that any delay to the New Medium Helicopter (NMH) Programme contract would power the corporate to reevaluate its total UK presence.
In his letter, reported by The Telegraph on December 21, Mr Cingolani described the helicopter contract as “a cornerstone” of his firm’s UK technique.
He warned: “Any delay or cancellation in the programme award would force a reevaluation of Leonardo’s UK presence, including investment in electronics and cyber security divisions.”
Mr Cingolani stated that if the contract couldn’t be secured and work due to this fact not assured on the Yeovil web site, then the placement can be “at risk”, as would the agency’s growth of drones there.
He steered that such a failure would set off a wider overview of the agency’s funding in different operations, equivalent to cybersecurity, throughout the nation.
Councillor Mike Rigby, Somerset Council’s Lead Member for Economic Development, Planning and Assets, stated: “It’s very disappointing that the Government has delayed announcing its Defence Spending Plan and the award of what would be a vital contract for the Leonardo operation in Yeovil until the spring.”
However, the Ministry of Defence has not confirmed a spring timeline for the bulletins.
Mr Rigby added that they’d “expected an announcement before Christmas” and stated the delay “unhelpfully fuels uncertainty and a great deal of concern around the future of what is the UK’s only remaining helicopter manufacturer”.
The Government introduced in July that the Defence Investment Plan can be offered “before the end of the year” as a part of the 2025 Strategic Defence Review.
Mr Dance has been pushing the Government for a call since July. In November, he challenged the Prime Minister within the Commons over the “long overdue contract”.
The MP informed Sir Keir Starmer that Leonardo’s future, hundreds of jobs and the £320million the corporate contributes to native GDP had been all depending on the New Medium Helicopter Programme contract.
The Prime Minister responded: “I pay tribute to those in Somerset and the hon. Gentleman’s constituency in the defence sector, which is hugely important to our country and our security. I can confirm that we are continuing with the established procurement process for the new medium helicopter programme to deliver modern equipment for our armed forces.”
At the Liaison Committee final Monday, the Prime Minister stated: “We’re working hard on the Defence Investment Plan and we will publish it as soon as it’s ready, but you will appreciate that involves very significant and important decisions that we need to make sure we get absolutely right.”
A Ministry of Defence spokesperson stated: “We are working flat out to finalise the Defence Investment Plan, which will deliver the best kit and technology into the hands of our frontline forces at speed and, importantly, invest in and grow the UK economy.
“The UK’s New Medium Helicopter programme is ongoing and no closing procurement choices have but been made. That end result shall be confirmed sooner or later.”
https://www.express.co.uk/news/politics/2149907/leonardo-helicopter-jobs-at-risk-yeovil