BAE Systems receives £708m combat air boost

BAE Systems has been awarded a £708m contract extension from the Ministry of Defence (MoD) to advance sixth-generation combat air technologies.

The funding, announced today, will support Britain’s role in the Global Combat Air Programme (GCAP) - a project vital to thousands of Lancashire defence workers.

Under the contract, BAE Systems, as the UK’s lead system integrator on GCAP, will deliver and integrate technology and develop capability, including software, digital networks, digital engineering and physical infrastructure, working with industry partners and the wider supply chain.

The company will also develop national capability beyond the core sixth-generation aircraft, which is known as Tempest in the UK.

That work will involve operational analysis and concept development of the broader Future Combat Air System, including integrating uncrewed air systems, advanced networks and the latest weapon technologies.

Richard Berthon, director future combat air at the MoD, said: “This £708m investment demonstrates the UK’s continued commitment to maintaining a world-leading combat air capability and a freedom of action which ensures our Armed Forces remain equipped to meet future threats.”

Declan Holland, Future Combat Air Systems managing director, BAE Systems’ air sector, said: “Our contract builds on the strong progress already achieved across the UK’s defence ecosystem, bringing together industry and academic partners to accelerate next-generation technologies.

“Through this work, we’re delivering tangible outcomes for the Global Combat Air Programme by strengthening UK capability, supporting high-value innovation and contributing to long-term economic growth.”

The funding extension continues the progress made by Team Tempest partners, BAE Systems, Leonardo UK, MBDA UK, Rolls-Royce and the MoD, since 2018.

Today around 4,500 people are involved researching, evaluating and developing a range of future combat air capabilities – many based in Lancashire.

A lot of the early work on the project has been taking place at BAE Systems’ plants at Warton and Samlesbury.

The design of the UK’s flagship Combat Air Flying Demonstrator (CAFD) – a crucial part of the project - was unveiled last summer and it is now in final assembly in Lancashire.

The demonstrator is expected to fly by the end of 2027 with the GCAP programme targeting a 2035 entry into service.