The deal, worth around £5bn includes the aircraft and a bespoke support and training package.
Qatar is now buying nine Hawk trainers, rather than six, which will also be welcome news for BAE Systems’ factories in Warton and Brough which make the jets.
Welcoming the news, Defence Secretary Gavin Williamson said:
“This monumental, multi-billion-pound deal is now officially in place, and those from across government and industry who have worked so hard on it together can be extremely proud to see it reach this stage. It’s a massive boost to the British defence industry, helping to support thousands of jobs, and it will help us further build the trust between the UK and Qatar to tackle the challenges we both share, support stability in the region and deliver security at home.”
UK Export Finance’s £5bn package of support was vital to securing the deal, including by providing financing and insurance. UKEF’s role is to support UK exports including by providing export finance to enable overseas buyers to purchase goods and services from the UK, and export insurance for companies selling overseas.
International Trade Secretary, Dr Liam Fox said:
“The UK Government is proud to be a part of this hugely significant export contract, supporting BAE Systems, its nearly 35,000 employees and the 9,000 companies in its supply chain.
This support from UK Export Finance will sustain jobs in one of the UK’s key industrial sectors, support economic growth, and strengthen our own defence capabilities as well as those of a key strategic ally.”
BAE Systems Chief Executive, Charles Woodburn said:
“This contract, effective today, represents a significant step in BAE Systems’ long-term relationship with the State of Qatar, as it becomes the ninth country to choose Typhoon. The proven combination of Typhoon and Hawk will provide the Qatari Armed Forces with the most advanced and flexible multi-role combat aircraft on the market today, along with best in class support and training.”
Excellent news!
Let’s hope we see additional Typhoon squadrons here in the UK and continued investment and modernisation across the fleet. We need short-term answers to our numbers as well as long-term ones (Tempest) to combat any potential aggressors after we leave the EU.
Yet another wake-up call for HMG. START INVESTING HEAVILY IN OUR ARMED FORCES NOW
https://edition.cnn.com/2018/09/17/politics/us-air-force-squadron-growth-china-russia/index.html
Agree, great news. Waiting for Jeremy and the unions to congratulate the government in their support for British industry.
Nigel, not sure what leaving the EU has to do with our collective defence arrangements under NATO. Other than make it harder to combine force with soft power.
The answer is very simple Antony D, NATO cannot be relied upon to act and apart from the US.
Looks good, sounds good, but when push comes to shove we could only rely on half the members if that to come to our aid.
So what has that got to do with leaving the EU?
Why is this not under the industry section?
Good point!
Does it matter?
The Saudi Tornado and Typhoon project allow the Govt to keep up to 5p in the pound off income tax.
Hopefully this deal will give Spreadsheet Phil a little bit of wriggle room with regards the defence budget