Airbus will receive a £37 million investment to create an advanced testing centre in Bristol.
The state-of-the-art building will open its doors in 2017 and will house around 300 highly skilled engineers who will develop and test aerospace technology.
It's hoped the Wing Intergration Centre, at the Airbus site in Filton, will protect hundreds of jobs.
It will be used as an advanced testing centre for large structural components and will enable the development of new and cutting edge ideas.
The project is being funded from the joint industry and government aerospace R&D funding programme, delivered as a partnership between the Department for Business, Innovation & Skills, the Aerospace Technology Institute and Innovate UK.
Filton has seen significant investment in new facilities, most recently the £70 million Aerospace Park as well as other ATI-funded research projects into future technologies.
A further £100 million has been invested in facilities to test aircraft systems on the Filton site.