3,000 jobs at risk unless MoD signs helicopter order, sources say

A picture


The UK’s last military helicopter factory must land a long-awaited order from the Ministry of Defence within the coming weeks to secure about 3,000 manufacturing jobs, industry sources suggest.Skilled workers at Leonardo Helicopters – the Italian owner of the former Westland factory in Yeovil, Somerset – fear the company will follow through on threats to close the facility at the end of March, if the UK military fails to place an order for new helicopters by that time.Leonardo was the only bidder for the UK’s £1bn “new medium helicopter” contract that was launched in February 2024, but delays in awarding the deal seem to have put the future of the factory at risk.The bid’s “best and final offer” expires in March.One source close to the process suggested the company needed to be told it had been awarded the deal by January if it was to meet the contract’s various deadlines.

A delay until after March risks having to restart the whole process, as the price is dependent on Leonardo’s supply chain.“It’s critical at the moment,” the source said.In November, Leonardo’s chief executive, Roberto Cingolani, told investors he was negotiating with the MoD to try “to boost the collaboration with the UK government”, while in December he wrote to the defence secretary, John Healey, and threatened to scrap all investment in Britain, in a letter first reported by the Daily Telegraph.Cingolani described the new medium helicopter contract as “a cornerstone” of Leonardo’s UK strategy and added: “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.”The process has stalled despite ministers pledging to boost defence spending in light of the increased threat from Russia.The defence industry has become frustrated by the wait for the government’s promised defence investment plan, which was expected before Christmas.Sharon Graham, the general secretary of the Unite union, said: “Leonardo workers in Yeovil are looking over their shoulders wondering where the next order will come from while the government dithers and delays.

This uncertainty must end by confirming the order for medium-lift helicopters.”An MoD spokesperson said: “The UK defence budget is rising to record levels as this government delivers the biggest boost to defence spending since the cold war, totalling £270bn this parliament alone.“Demands on defence are rising, with growing Russian aggression, increasing operational requirements and preparations for a Ukraine deployment.“We are working flat out on the defence investment plan, which will fix the outdated, overcommitted, and underfunded defence programme we inherited.”
politicsSee all
A picture

Senior Labour MPs urge government to ban cryptocurrency political donations

Downing Street has been urged to ban political donations in cryptocurrency by seven senior Labour MPs who chair parliamentary committees.The committee chairs – Liam Byrne, Emily Thornberry, Tan Dhesi, Florence Eshalomi, Andy Slaughter, Chi Onwurah and Matt Western – called on the government to introduce a full ban in the forthcoming elections bill amid concern that cryptocurrency could be used by foreign states to influence politics.Government sources told the Guardian last year that ministers are looking at ways to ban political donations made with cryptocurrency but the crackdown is not likely to be ready for the elections bill due early this year.Byrne said the committee chairs are concerned political finance “must be transparent, traceable and enforceable” but crypto donations undermine all three.“Crypto can obscure the true source of funds, enable thousands of micro donations below disclosure thresholds, and expose UK politics to foreign interference,” he said

A picture

Mandelson praises Trump’s ‘graciousness’ and declines to apologise for friendship with Jeffrey Epstein – as it happened

Laura Kuenssberg asks Peter Mandelson if he liked Donald Trump when he was the UK ambassador to Washington.Mandelson says he did like Trump, listing off numerous reasons why, but said he did not like all of his “language”.I like him, yes, I liked his humour, his graciousness…I liked his directness. You knew exactly what he was thinking and where you stood and what he wanted. And how he was proposing to engage, with you

A picture

UK wants any transition of power in Iran to be peaceful, says minister

The UK wants any transition of power in Iran to be peaceful, a cabinet minister has said, after Donald Trump said he could support protesters with military force.As the US weighs the option of military strikes, Heidi Alexander, the transport secretary, said she would not be drawn on America’s foreign policy towards Iran, where protests have been met with a violent police response.She told Sky News Iran was a hostile state that posed a security threat in the Middle East and repressed its own people, adding: “The priority, as of today, is to try and stem the violence that is happening in Iran at the moment.”Kemi Badenoch, the Conservative leader, went further in saying she would “not have an issue” with seeing the Iranian regime removed and that it could be right for the US and its allies to be involved in that process.She told the BBC One’s Sunday With Laura Kuenssberg programme: “Iran would very happily wipe out the UK if it felt it could get away with it

A picture

Sir Patrick Duffy obituary

The former Labour minister Sir Patrick Duffy, who has died aged 105, was one of his party’s foremost experts on defence and disarmament during the cold war and its immediate aftermath. It was his misfortune that 19 years of his quarter of a century as a Labour MP were spent on the opposition benches, although he had the gratification of 13 years as a member of the Nato parliamentary assembly, of which he served as president for two years from 1988.Duffy first stood for parliament in Tiverton, Devon, in 1950, and was successfully elected as an MP on his fourth attempt at a byelection in the Colne Valley, West Yorkshire, in 1963.He was an economist by training and entered the House of Commons in midlife, after an eventful career during the second world war in the Royal Navy and subsequently as an academic in Britain and the US. His experience made him an Atlanticist and a fervent European for most of his life, although in 2016 he supported Brexit on the grounds that the eurozone had made the EU no longer practical

A picture

Zarah Sultana’s Your Party membership launch may be ‘criminal’ matter for police, ICO says

Zarah Sultana’s unauthorised launch of a Your Party membership portal may have been “serious criminal activity” and should be referred to the police, the Information Commissioner’s Office (ICO) has advised.Jeremy Corbyn’s Peace and Justice Project (PJP), which referred Your Party to the information watchdog last September over a potential data breach, has been advised by the ICO that it should consider “taking further action” regarding the matter, after deciding it was not a matter for them.An extraordinary split opened up between Corbyn and Sultana in September after an email was sent to 800,000 people on Your Party’s mailing list, urging them to become paying members for £55. Sultana revealed the new membership portal on X, urging supporters to “be a part of history”, and reassured her followers that the membership site was “safe and secure”, encouraging them to keep trying to sign up despite “issues due to such high traffic”.Later the same day, Corbyn issued an “urgent message” telling his followers on X to ignore the “unauthorised” site and said “legal advice is being taken”

A picture

Reform UK accused of betraying election pledges after council tax rises

Nigel Farage’s Reform UK has been accused of betraying election promises to cut council tax after several councils it controls said they planned to increase rates close to the maximum allowed.They include Kent county council – the party’s flagship local authority and one viewed by it as the “shop window” for what a Reform-led government would look like – which has proposed an increase of 3.99%.Four other county councils controlled by the party – Derbyshire, North Northamptonshire, West Northamptonshire and Leicestershire – have also all proposed 5% council tax rises, the maximum permitted by law.Derbyshire county council earlier this week confirmed the rise after predicting a £38m gap in its budget, with overspends in children’s social care and adult social care