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Leonardo warns Yeovil helicopter factory at risk without Puma replacement deal

22 December 2025
in Business
Reading Time: 3 mins read
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Leonardo warns Yeovil helicopter factory at risk without Puma replacement deal
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Leonardo has warned the UK government that it may be forced to shut down its helicopter manufacturing operations in Britain if it fails to secure a flagship £1 billion Ministry of Defence contract, a move that would threaten the future of the country’s last remaining helicopter factory.

In a letter to defence secretary John Healey, Roberto Cingolani, chief executive of the Italian defence group, said the contract to replace the long-serving Puma helicopter was central to Leonardo’s long-term commitment to the UK. Without it, the company would be compelled to reassess its entire British footprint, including its historic manufacturing base in Yeovil, Somerset, which employs around 3,300 people.

Leonardo’s AW149 helicopter is currently the sole remaining contender for the programme, after Airbus and Lockheed Martin withdrew from the competition last year. The company submitted its final bid in April, with a decision now resting with ministers.

Cingolani warned that any delay or cancellation of the programme would have serious consequences. In his letter, first reported by the Telegraph, he said the absence of new UK defence contracts would force Leonardo to reconsider further investment in areas such as electronics and cybersecurity, in addition to core helicopter manufacturing.

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