British aerospace startup Aeralis has entered administration after failing to secure funding for its proposed military trainer aircraft, casting further uncertainty over the Royal Air Force’s future replacement for the Hawk jet used by the Red Arrows.
The company, which employed about 30 people, had positioned itself as the only British firm developing a domestically designed and assembled advanced jet trainer for the RAF. The Hawk T1 fleet operated by the Red Arrows is scheduled to leave service in 2030.
Administrators said Aeralis faced prolonged cashflow pressure linked to delays in the UK’s Defence Investment Plan and difficulties securing additional investment.
According to the BBC, Qatar-backed Barzan Holdings, one of the company’s main investors, withdrew support during the recent conflict involving Iran, Israel and the United States. A separate effort to secure French backing for the aircraft also reportedly failed.
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Aeralis had proposed a modular jet trainer concept designed entirely in digital form but had not yet started aircraft production. The company hoped to assemble the aircraft at Prestwick Airport in Scotland and previously claimed the project could support thousands of jobs if selected by the UK government.
The collapse leaves more established manufacturers in a stronger position ahead of the RAF’s future trainer competition.
BAE Systems has partnered with Boeing and Saab to offer the T-7A Red Hawk for the British requirement. The aircraft was originally developed for the U.S. Air Force and is already in production, giving the consortium a lower-risk alternative compared with unproven concepts.
Leonardo is also promoting its M-346 trainer, which is already in service with several air forces worldwide.
The UK Ministry of Defence said the fast jet trainer program remains under evaluation and that no procurement decision has been made.
The Hawk, originally developed by Hawker Siddeley in the 1970s and later produced by BAE Systems, became one of the most successful jet trainers ever exported by the UK, serving with multiple air forces around the world.
