Jobs boost as UK is set to build US military aircraft for the first time in over 50 years

Boeing 737

For the first time in over fifty years, Britain will help build military aircraft under contract for the US Air Force.

A new contract between the UK and Boeing will create more than 150 new jobs in Birmingham and secure a further 190 jobs across the UK.

It will see two existing Boeing 737 passenger aircraft significantly overhauled and upgraded to create two highly advanced prototype early-warning surveillance aircraft. The contract delivers an additional over £36 million to the UK economy.

The UK has already ordered three state-of-the-art Boeing E-7 Wedgetail early-warning aircraft, which will form a vital cornerstone of the UK’s national defence by using radar and sensors to detect incoming hostile aircraft, missiles, or drones, from more than 300 miles away. Wedgetail is scheduled to enter service with the Royal Air Force in 2026.

Currently, the E-7 Wedgetail programme supports 190 highly skilled jobs in Britain, with 130 of those based in Birmingham. As Boeing expands its production line, the new 150 jobs in the UK will modify two prototype E-7A Wedgetail aircraft using the airframe from new commercial aircraft which will be the first E-7A models received by the US.

The announcement comes after the launch of the Defence Industrial Strategy last week, which set out £250 million of new funding for new defence growth deals across the UK, and £182m to fund a new skills package to be delivered by five new defence technical excellence colleges to train and upskill thousands of workers.

More than 40 UK-based suppliers are involved in the UK E-7 programme, including the construction of two new engineering facilities at RAF Lossiemouth, built with local Scottish suppliers.

US companies also stand to benefit from the deal, with several major defence firms building individual parts to contribute to the global E-7 supply chain. Hundreds of American workers and engineers across the US will then continue to support the aircraft when it is delivered for final assembly and checkout.

The Royal Air Force’s own fleet of E-7 Wedgetail aircraft is currently being fitted out at the modification facility in Birmingham ahead of delivery of the first aircraft in 2026.

“The relationship between the UK and US has never been stronger, and this new deal with Boeing creates and supports hundreds of jobs across the UK – making defence an engine for growth and strengthening our collective security,” said Defence Secretary John Healey.

“This deal is a vote of confidence in Britain’s world-leading defence industry and delivers on the commitments set out in our Strategic Defence Review and Defence Industrial Strategy, making us secure at home and strong abroad.”

Now read: UK strikes £1.5 billion national security agreement with controversial firm Palantir 

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