SEARCH and rescue helicopters will continue to fly from Hampshire, the Government has pledged.

The vital operation based at Lee-on-the-Solent is set to continue under a multi-billion pound privatisation of the service announced by ministers yesterday.

But the end is in sight for rescue missions flown from Portland in Dorset under the plans.

It follows the cancellation last year of a £6 billion private contract because of “irregularities” in the bidding process.

The new arrangement will end the involvement of the Ministry of Defence in search and rescue operations, and its fleet of eight Sea King helicopters will be retired by March 2016.

Under existing arrangements, search and rescue is provided jointly by the MoD – operating a fleet of Sea King helicopters from eight military bases – with a further four civilian bases operated under contract to the Maritime and Coastguard Agency (MCA).

Instead, rescue missions will be carried out by civilian crews under a ten-year contract.

Shipping Minister Mike Penning said: “Every day around the UK, people undertake a range of activities where knowing there’s a reliable search and rescue service if something goes wrong is absolutely vital.

“The current arrangements have served us well for decades, and we are grateful to the Royal Navy and Royal Air Force for their great dedication in helping deliver an exemplary search and rescue service over the years. But we cannot ignore the fact that, after their sterling service to our country, the Sea Kings are nearing the end of their life and it is time to look to the future.”

Mr Penning insisted commercial operations were “nothing new” in coastal rescue services.

The new contract will be awarded early in 2013.

The Department for Transport said the winning bidder would not have to maintain the exact location of search and rescue operation centres, but they would need to remain in the same local area.