By Wyre Davies BBC Wales correspondent

Project Red Dragon would repair all the RAF's aircraft

The future of Project Red Dragon - and 3,000 Welsh jobs - finally seemed secure in February this year when the Defence Aviation Repair Agency (Dara) confirmed it would go ahead with a �77m aircraft maintenance centre near Cardiff.

Armed Forces Minister Adam Ingram had assured workers there, and in plants in Scotland and England, that the ground-breaking scheme to refurbish and maintain RAF planes had landed government approval.

But now the BBC has been told by senior sources within the MoD that officials in the department intend to renege on the project.

But a Ministry of Defence spokesman said they were committed to the project.

"Ministers stand by their commitment to Red Dragon and we are hardly going to ride roughshod over the investment we are making at St Athan."

Following a high-level review, they have decided to service and repair planes at existing RAF bases with immediate effect - going against original plans to send them to Dara's planned aviation park at St Athan.

The planned "super-hangar" would cater for 47 fast jets

Not only does this contradict earlier assurances by Mr Ingram but it threatens the very existence of Dara - set up in 1999 as one of the government's high-profile public-private partnerships - and its 4,000 employees in the UK.

Dara's future could only be guaranteed by Project Red Dragon which included the building of the aerospace industry park at St Athan to include a "super-hanger" which would have 47 bays to allow work on military fast jets.

It was hoped that, once underpinned by the MoD contracts, civil aviation companies and other aviation businesses would use the services at St Athan, potentially further jobs.

The fortunes of Project Red Dragon carry with them 2,100 jobs at St Athan, and 900 in Sealand, Flintshire, at the Dara plant specialising in aeroplane electronics.

John Smith: Blames "vested interests" in the RAF

John Smith, the MP for the Vale of Glamorgan, blamed "vested interests" in the RAF for the jobs worry.

He said: "If true, I'm absolutely astounded, it flies in the face of government policy over the last five years and the huge efforts that have taken place.

"The workforce at this site have performed miracles, they have sweated blood and they have delivered to become one of the most efficient workforces in the world.

"If somebody is now suggesting that you get rid of them, it's absurd."

But is not the first time doubts have been raised about the future of Project Red Dragon.

In October last year, the Transport and General Workers' Union (TGWU) said the government was considering abandoning the plans to create the aviation repairs centre of excellence.

Union spokesman Jack Dromey said it would be "outrageous" for the MoD to back away from the scheme now it had been given the government's blessing.

Jack Dromey: "Outrageous" for MoD to pull out of scheme

He said: "That would be absolutely wrong - not in the best interests of the Royal Air Force, not in the best interests of a loyal workforce.

"We thought there was a bright future for St Athan in south Wales, with thousands of new jobs being created."

An MoD spokesman said an internal report had been completed but Armed Forces Minister Mr Ingram had not yet read it.