**US defence firm General Dynamics has won a contract to build a new light tank for the British Army.**The firm, which plans to manufacture most of the new tank in the UK, beat rival bidder BAE Systems to secure the contract.
The news is a blow for BAE’s factory in Newcastle, which was earmarked to build the company’s tank.
General Dynamics UK claims that the contract will safeguard or create 10,500 jobs in the UK.
The new light tank is designed to replace the Scimitar scout vehicle, providing troops with more protection and firepower.
The contract is reported to be worth £4bn ($6bn).