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Defence firms ‘confident’ of jobs boost as UK military spending rises

21 July 2025
in Business
Reading Time: 3 mins read
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Defence firms ‘confident’ of jobs boost as UK military spending rises
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Defence industry leaders say they are “confident” that hundreds of new jobs are on the way, as the UK government increases its military spending and prepares to finalise major procurement contracts.

More than 44,000 people across the South West of England are already employed in the defence sector, with over 130 firms depending heavily on Ministry of Defence (MoD) contracts. But many are now poised for growth—provided the government follows through on its spending pledges.

Speaking at the Royal International Air Tattoo (RIAT) in Gloucestershire, the world’s largest military air show, executives from across the industry expressed cautious optimism about the pipeline of future work.

Emma Baker, policy lead at trade body ADS, said: “We are anticipating a lot more work. It’s clear from government that a lot needs to be done to increase industrial capacity—not just in the UK, but across Europe, where defence budgets are also rising.”

One of the biggest deals currently on the table is a £1 billion order for more than 20 helicopters from Leonardo Helicopters’ Somerset factory in Yeovil, where over 3,000 people work. Though the company remains the sole bidder, the final decision is tied up in the government’s ongoing defence review.

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