New deal between Boeing and UK Government will increase supply chain opportunities

Two new multi-million pound deals signed at the Farnborough Air Show this week will create 2,000 UK jobs and strengthen the competitiveness of the UK’s aviation supply chain.

The deals are part of a wider growth and prosperity initiative that sees the UK Government set to buy nine new submarine-hunting P-8A Poseidon patrol planes from Boeing, as well as upgrading 50 Apache helicopters for the Army.

The decade-long deal, which also includes training, maintenance and support, is thought to be worth £3bn.

“I want the UK to continue to be at the forefront of the global aerospace industry, both civil and defence,” said Prime Minister David Cameron, announcing the news at Farnborough.

“That’s why I’m delighted that we can announce…a long term strategic initiative with Boeing that will create thousands of jobs, secure investment in R&D and create opportunities for the supply chain, as well as delivering on our defence commitments.”

As part of the overall initiative programme Boeing will increase overall bid opportunities offered to UK suppliers and work with the UK Government to enhance UK suppliers’ competitiveness. The aim of the initiative is to create the opportunity for UK companies to double their supply work with Boeing and to win higher proportions of content on future Boeing aircraft.

The Prime Minister said that despite the UK's decision to leave the European Union, this new, long-term commitment showed the country is "open for business and attractive for investment."