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The defence industry can’t wait for the government to find its courage

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13.04.2026

Monday 13 April 2026 12:01 pm  |  Updated:  Monday 13 April 2026 12:03 pm

The defence industry can’t wait for the government to find its courage

By: Eliot Wilson

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John Healey confirmed UK forces are actively intercepting Iranian drones

The government slips from one deadline to another and insists all is well. But the damage is already being done, to our industrial base, our capabilities and our reputation, says Eliot Wilson

Sir Keir Starmer’s government cannot be blamed for all the shortcomings in Britain’s defence posture and capabilities, the roots of which can be found in the eager dash for the “peace dividend” in the 1990s. Every administration has to deal with the political, financial and economic circumstances it inherits, but each also has a clear choice: to improve the situation or exacerbate it. Labour is making things worse, and the defence industry is paying the price.

The UK’s defence sector is hugely important. Its gross value added (GVA) was £15bn in 2024 and it directly employs 181,500 people; these figures rise further if you factor in the security and resilience sector (£11.7bn GVA), while aerospace and space companies also make a valuable contribution. The UK is home to BAE Systems, the sixth-largest defence company in the world, as well as Rolls Royce, Babcock International and QinetiQ, while major international players like Lockheed Martin, Leonardo, Rheinmetall and Thales have a significant presence.

The government knows all this. Ministers have said that the defence industry is central to their decision-making, and the Prime Minister has promised an economic “defence........

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