British soldiers are to be equipped with new Tekever AR5 surveillance drones under a deal worth up to £400 million over the next 10 years, the government has announced.

The AR5 has been selected to replace the Army’s Watchkeeper drones, which have been in service since 2014 and are reaching the end of their operational life. The government said the new aircraft will improve surveillance and reconnaissance capability.

The first order will cover six AR5 drones, with up to 24 due to be delivered by 2029. Subject to contract signature and final approvals, the new capability is expected to begin entering service later this year.

The drones can carry up to 50kg of surveillance equipment, including cameras and sensors. Ministers said they can fly for longer than previous systems used by the Army, giving commanders real-time intelligence to support battlefield decisions and protect troops.

The AR5 will be built at Tekever’s manufacturing facility in Swindon, which is due to open. The government said the full contract would sustain and create hundreds of jobs at Tekever’s UK sites and support the country’s defence manufacturing base.

Defence Secretary Wes Streeting said the UK-based Tekever AR5 had been chosen to supply personnel with equipment intended to keep them ahead of emerging threats. The government also noted that the drone had been used by Ukraine’s armed forces.

Tekever UK managing director Karl Brew said the Corvus programme was intended to build and sustain sovereign capability through a continuing cycle of development between government and industry. Support under the agreement is expected to last for at least five years, with options to extend.