The Ministry of Defence (MoD) has announced details of a £760 million helicopter deal.

Somerset-based manufacturer AgustaWestland has been awarded two contracts, which will see it convert 25 AW101 Merlins for use by the Navy and also supply maintenance and support services for the fleet of Apache AH Mark 1 Attack helicopters over the next five years. The announcement is also set to safeguard around 1,000 jobs, both at the company and along its supply chain.

The Merlins are being converted so that they can replace the out-going SeaKing Mk4 models, which will be withdrawn from service in 2016. Initially, the company will deliver seven of the enhanced helicopters over the next two years, with the remainder coming between 2017 and 2020.

Yeovil MP David Laws said: "I welcome the decision of the MoD to award AgustaWestland these two contracts, we can be really proud of the manufacturing quality in our area."

The company also provides support and training for the fleet of AW159 Wildcats, Sea Kings and AW101 Merlins, while also holding a contract to maintain Apache helicopters from April 1st 2014 to March 31st 2019. It is a welcome boost for the firm, which recently announced jobs could be at risk as a result of the Indian government terminating a £465 million contract.