How a failed British drone project won millions for Israeli arms firm
[A Watchkeeper drone on display in 2010 (Photo: Jack Sullivan / Alamy)]
On a summer’s day in 2018, a British army drone crashed near a school in Wales where students were taking part in a sports day.
It marked the third time that this type of drone – the Watchkeeper WK450 – had crashed, with two more having plunged into the Irish sea.
Following the incident in Wales, another three Watchkeepers [crashed][1], twice in the US and once in Cyprus, rendering around 10 percent of the fleet unusable.
Many of the drones that didn’t crash were left to gather dust in storage depots amid concerns about their reliability in poor weather conditions.
The Watchkeeper contract, valued at over £770m, had been awarded by the Ministry of Defence in 2005 to French arms firm Thales and Israel’s Elbit Systems.
Those companies created a joint venture in Leicester named UAV Tactical Systems (U-TacS) to develop and manufacture the drones.
By 2024, the Watchkeeper programme had [cost][2] the British public over £1.5bn without delivering on its core objectives. The fleet is due to be retired in 2027 – 15 years earlier than planned.
“The general feeling of most people involved [in the programme] was that we were all nursing the Watchkeeper to a slow death”, one British official [confessed][3] in 2023.
Despite this, the Watchkeeper programme has proven to be a boon for Israel’s arms industry.
## **Boon for Elbit**
While being paid to deliver defective drones for the UK, U-TacS developed an export variant of the Watchkeeper and won a major contract to supply them to Romania.
Shipping records obtained by *Declassified* reveal U-TacS has sent dozens of drone components including Watchkeeper engines to Elbit in Israel over the past 18 months.
Advanced radar systems used by the Watchkeeper have also been exported to Israel by Thales in Crawley.
This information might help to explain why the value of UK arms exports to Israel skyrocketed between October and December 2024, totalling more than the 2020-23 period combined.
Under UK arms export regulations, any Watchkeeper components sent to Israel should have been re-exported to Romania.
Yet they appear to have remained in Israel, with Elbit filing a “force majeure” declaration in its contract with Romania while testing the drones at a “secret airfield” in “northern Israel”.
Open-source information analysed by *Declassified* now indicates this airfield is located in the Golan Heights, a region of southwest Syria that has been illegally occupied by Israel since 1967.
The UK government acknowledges that Israel’s occupation of the Golan Heights is a violation of international law, suggesting the export of Watchkeepers from Britain could be unlawful.
Dania Abul Haj, a senior legal officer at the International Centre of Justice for Palestinians (ICJP), told *Declassified*: “Private companies have a responsibility to ensure that their products are not being used to further Israeli crimes or illegal activities, or to maintain unlawful occupations.
“Failing to adequately implement procedures to this effect may result in liability for the company’s directors both in the UK and abroad”.
A spokesperson for the Department for Business and Trade said: “We don’t comment on individual export licences.
“All licences have been assessed against our strict criteria. We keep these under review and can suspend or revoke any licences which are no longer consistent with UK standards”.
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## **Watchkeeper WK450**
The Watchkeeper WK450, modelled on the Hermes 450 drone which the Israelis have “battle-tested” on Palestinians, made its maiden UK flight in 2010.
It took off from Parc Aberporth, a privately-owned military testing range in Wales which [receives][6] funding from the Ministry of Defence.
Thales boasted at the time that the “success of this first flight” could be “attributed to the combined efforts of the integrated Thales UK and Ministry of Defence team”.
It wasn’t long, however, before major problems emerged.
Between 2005 and 2015, the Watchkeeper programme “resulted in merely 146 flight hours, of which only six days on active duty, in Afghanistan”, according to [*The Lead*][7].
At one point, training on the Watchkeeper was moved from Wales to RAF Akrotiri in Cyprus due to the drone’s inability to operate in poor weather conditions.
This meant that “equipment that needed maintenance was shipped back to the UK for repair just to be sent back out to Cyprus”, resulting in “hundreds of thousands in additional logistic and maintenance costs”, one British official managing the programme said in 2023.
During this time, the official said, U-TacS [charged][8] £18,000 per month “to self-organise accommodation in Cyprus for their two deployed technicians”.
They further estimated that the cost per flying hour of the Watchkeeper was around £88,400, meaning there was “no way that the Watchkeeper programme can be considered a return on investment, let alone value for money”.
Last year, the Ministry of Defence nonetheless opted to keep the Watchkeeper operational for another two years, through to 2027.
This extension is [expected][9] to cost an additional £95m, “nearly 75% of the budget allotted for [the Watchkeeper’s] planned replacement”, named Project Corvus.
## **Watchkeeper X**
Amidst all the problems with the Watchkeeper WK450, U-TacS developed an export variant of the drone named Watchkeeper X.
This drone was unveiled at the DSEI arms exhibition in London in 2015, with one Thales executive [saying][10] it was “based on a ground-breaking, world-leading unmanned aircraft system that was designed specifically for the requirements of the British army”.
That executive added: “We have now taken the knowledge and experience that we have gained over the history of the programme and looked at how we can make it more flexible, effective and readily available for our customers”.
Thales and Elbit thus benefitted from a major injection of British funding amid the development of Watchkeeper X, but they also received support from the UK government for exporting the drones.
In 2023, Elbit [announced][11] that it had been awarded an initial $180m purchase order to supply Watchkeeper X drones to the Romanian ministry of national defence, with the total value of the agreement potentially increasing to $410m.
Yoram Shmuely, the general manager of Elbit Systems Aerospace, declared: “We appreciate the continued support and collaboration with the Israeli and UK governments and our business partners on the Watchkeeper program”.
The next year, Britain’s Ministry of Defence [announced][12] the government would “continue to support the export of Watchkeeper X. This will support UK industry, growth and jobs whilst also strengthening strategic defence relationship[s] with partners and allies”.
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## **Exports to Israel**
Shipping documents show how dozens of drone components have been sent from U-TacS to Elbit sites in Israel since the contract with Romania was signed.
The goods descriptions for those shipments include:
* Aircraft parts UAV
* 7 x unmanned air vehicle harnesses
* UAV Flight Trials Kit
* UAV Assembly
* UAV System Parts – Pre Production
* Military Aircraft Parts
* UAV Starter Ext Harness
Some of the shipments from U-TacS to Israel specifically mention the Watchkeeper programme.
In 2025, U-TacS exported a “WK engine” and an “Engine WK 62.5 Hours Kit” to Elbit’s Advanced Technology Centre in Haifa.
Additional military items associated with the Watchkeeper programme have been exported to Israel from Thales in Crawley, the shipping documents show.
Last year, that factory sent two shipments described as “Military Aircraft Parts – I-Master” and a third “I-Master Radars (2-off)” to Elbit in Haifa.
The I-Master radar system, which has been [linked][15] to the Watchkeeper programme since 2005, “delivers all-weather surveillance, pattern of life monitoring, change detection and wide area-coverage”.
## **The deal**
The proliferation of these drone-related shipments might explain why the value of UK arms exports to Israel skyrocketed in late 2024 even after the Labour government’s partial arms restrictions on Tel Aviv.
Between October and December 2024, the UK approved £127.5m worth of military equipment to Israel, totalling more than 2020-2023 combined, Campaign Against Arms Trade (CAAT) [found][16].
The figures caused an uproar when they emerged publicly. “I have to ask the foreign secretary: how do you sleep at night?” independent MP Zahra Sultana [said][17] in parliament last May while asking for an explanation.
Then-foreign secretary David Lammy said he didn’t “recognise” the figures Sultana had quoted and suggested she was “keen on clickbait”.
The government subsequently clarified that “the vast majority of that overall value was supporting the production of items for use outside of Israel”.
That included “£120m… for components to support exports of military items from Israel to a single programme for a NATO ally… for their ultimate use”.
Elbit’s contract to supply Watchkeepers to Romania, which is a member of NATO, would appear to match that description.
But in 2024, Elbit [filed][18] a declaration of “force majeure” with Romania, saying the situation in Gaza had affected its “ability to fulfill its contractual obligations”.
This suggests that drone parts sent from Britain to Israel have not been re-exported to Romania, despite this being mandated under UK export law.
It also raises questions about whether – and how – Israel might use the parts, according to Sam Perlo-Freeman, a research coordinator at CAAT.
“There is absolutely no guarantee that equipment exported to Israel will actually be used for the Romania contract, and not for Israel’s own killer drones. The government makes no attempt to follow up how exported arms are actually used,” Perlo-Freeman told *Declassified*.
“The UK’s collaboration with Israel in the export of Watchkeeper X drones, including the export of crucial radar equipment for them, only strengthens the Israeli arms industry, and Elbit in particular, a company that has been instrumental in the genocide in Gaza”, he said.
He added that the “excuse” of allowing arms sales to Israel for onward export “is wearing very thin. A full two-way arms embargo is needed to end UK complicity in genocide and illegal war”.
## **Golan Heights**
Last year, Romanian news organisation Digi24 was invited to film the Watchkeeper X drones taking off and landing at “a secret military base in northern Israel”.
The outlet [reported][19]: “This is where the drones that the Romanian Army purchased are being tested. The aircraft are worth hundreds of millions of dollars”.
*Declassified* has examined the videos published by Digi24 using open-source techniques including satellite imagery and geospatial analysis.
The footage strongly suggests that Elbit has been using Fiq, an airbase located in the illegally occupied Golan Heights, to test the Watchkeeper X drones.
A media report shows the drone landing at a runway (top), which appears to match with satellite images of Fiq airfield in occupied Golan.
Additional footage was taken by Digi24 inside Elbit’s control room, where screens showed the surveillance data hoovered up by the drone over a body of water.
That footage maps onto an anchorage at Ein Gev on the Sea of Galilee, which is only 10km west of the Fiq airstrip.
Promotional footage shows the drone flying over a harbour (top), which appears to match with satellite images of Ein Gev in the Sea of Galilee in occupied Golan.
This would not be the first time that Elbit has used Fiq airbase to test its drones.
In 2017, the Swiss government [admitted][20] that defence officials had visited that airfield in 2012, 2013 and 2015 “to see flight tests of the Hermes 900 unmanned aerial vehicle”.
It claimed the officials did not know the airfield was located in “occupied territory” and their visits were “contrary” to the policies of the country’s foreign ministry.
In 2008, the UK government even requested that Elbit relocate test flights for the Watchkeeper WK450 from Fiq.
Britain’s Ministry of Defence [said][21] it “would consider it inappropriate to use the facilities at the Golan Heights as part of the Watchkeeper program” because “it is the long held position of the UK government that the Golan Heights is occupied territory”.
## **Unlawful exports?**
That the Watchkeeper X drones may have been tested at Fiq airbase raises serious questions about the legality of UK drone exports to Israel.
Criterion four of the Strategic Export Licensing Criteria [states][22] that the UK government must take into account “whether the recipient has in the past tried or threatened to pursue, by means of force, a claim against the territory of another country”.
It further notes that the government must judge “the likelihood that items would be used in the territory of another country other than for legitimate purposes, including national or collective self-defence”.
The information raises further concerns that U-TacS, when applying for an arms export licence, may have misinformed the UK government about the goods being diverted to an unauthorised end-use location.
Dania Abul Haj from ICJP said: “States have the obligation not to render aid or support to Israel’s illegal policies that aim to alter the physical character, demographic composition, or institutional structure of the occupied Syrian Golan Heights.
“This position was affirmed by the International Court of Justice in its advisory opinion delivered in July 2024, despite the fact that the decision concerned Palestinian occupied territory, the same legal norms apply in this case”.
Haj added that under Article 7 of the Arms Trade Treaty states must take into account whether military exports “would contribute to or undermine peace and security” or be used to “commit or facilitate a serious violation of international humanitarian law”.
U-Tacs, Elbit and Thales did not reply to requests for comment.
The post [How a failed British drone project won millions for Israeli arms firm][23] appeared first on [Declassified UK][24].
[1]:
https://dronewars.net/tag/crashes/
[2]:
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[3]:
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[4]:
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[5]:
https://www.declassifieduk.org/?post_type=post&p=61456
[6]:
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[7]:
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[10]:
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[11]:
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[12]:
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[13]:
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[14]:
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[15]:
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[16]:
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[17]:
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[18]:
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[19]:
https://www.digi24.ro/stiri/actualitate/cum-arata-dronele…
[20]:
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[21]:
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[22]:
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[23]:
https://www.declassifieduk.org/how-a-failed-british-drone…
[24]:
https://www.declassifieduk.org
https://www.declassifieduk.org/how-a-failed-british-drone…