Boeing is set to win a 2-billion-pound ($2.92 billion) contract from the UK Ministry of Defence (MoD) for new Apache helicopters, The Telegraph reported.

The MoD has decided to give Boeing a 50-aircraft contract, including servicing, and the announcement could come as early as July, the newspaper said.

Italian aerospace manufacturer Leonardo Finmeccanica SpA had been a contender for the contract, the Telegraph said.

US planemaker Boeing is offering the helicopters at a lower price by tacking them on to the end of a larger Apache order from the US military, the paper added.

The British government has committed to NATO's defense spending pledge of 2 percent of GDP for the next five years, but the MoD will be under pressure to opt for the most cost effective option as it juggles spending on a number of big projects.

Boeing and the MoD could not be immediately reached for comment. – Reuters