Thousands of jobs "at risk" at Airbus Portsmouth and Stevenage amid MoD contract breakdown fear, report says
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One of Portsmouth’s largest employers could be under threat as a Ministry of Defence contract breakdown could lead to job losses.
As reported in The Daily Telegraph, Airbus has warned that “thousands of jobs in Britain would be put at risk” if the government awards a major financial package to a rival. Airbus is competing with Lockheed Martin, an American firm which has a presence in Havant, to secure the next contract to build the next generation of Skynet satellites.
Sources told the national publication that not securing a new deal could impact facilities in Anchorage Park, which combined with Stevenage employs around 3,000 people. The Ministry of Defence (MoD) is expected to put the newest Skynet contract out for tender soon. Engineers at Airbus have built every orbital machine of that class to date.
These devices provide information to troops and connect to British bases in the heat of military operations, from 22,000 miles away in space. Government policies have previously intimated that British firms would be prioritised for MoD contracts in an effort to boost defence jobs.
In response to the Skynet uncertainty, an MoD spokesperson told the Telegraph: “We are implementing the Strategic Defence Review’s recommendations to invest further in the resilience and capability of our space capabilities. This will improve the lethality and strength of our Armed Forces, defend the security of the UK, and bolster our industrial base while making defence an engine for growth across the country. The competition for Skynet satellites is ongoing and bids must demonstrate how they will secure sovereign capabilities in the UK.”
It has been a tumultuous period for the company in recent months. They secured a £127m MoD contract to produce the Oberon satellite system, which is expected to be launched in 2027. They also opened an early careers centre so professionals could train and thrive in the aerospace sector, with 40 new recruits due to join this year.
Even with these advancements, Airbus conducted a European-wide company restructure in December and cut 154 jobs in the city - with the impact being largely felt in the space sector. The company promised that none of the redundancies would be compulsory, with 30 per cent of losses being made this year and 70 per cent in 2026.