UK to Invest £1.5b in Six New Munitions Factories

The UK Government will invest £1.5 billion in the construction of at least six new munitions and energetics factories and procure up to 7,000 UK-built long-range weapons, supporting nearly 2,000 jobs across the country.

This major investment forms a central part of the upcoming Strategic Defence Review (SDR) and reflects a broader effort to rearm the UK for an era of high-tempo conflict and global instability.

The SDR, to be published in the coming days, outlines a comprehensive vision to strengthen Britain’s defence industrial base and military readiness. Drawing lessons from the ongoing war in Ukraine, the review concludes that an effective fighting force depends not only on frontline capability but also on resilient and responsive domestic manufacturing.

The UK Government will invest £1.5 billion in the construction of at least six new munitions and energetics factories and procure up to 7,000 UK-built long-range weapons, supporting nearly 2,000 jobs across the country.

This major investment forms a central part of the upcoming Strategic Defence Review (SDR) and reflects a broader effort to rearm the UK for an era of high-tempo conflict and global instability.

The SDR, to be published in the coming days, outlines a comprehensive vision to strengthen Britain’s defence industrial base and military readiness. Drawing lessons from the ongoing war in Ukraine, the review concludes that an effective fighting force depends not only on frontline capability but also on resilient and responsive domestic manufacturing.

The plan sets out to ensure the UK Armed Forces can sustain operations and scale up rapidly when needed. Key commitments include:

• £1.5 billion to establish at least six new UK factories producing munitions and energetics—core components such as propellants, explosives, and pyrotechnics. These factories will generate over 1,000 new skilled manufacturing jobs across the country.
• Procurement of up to 7,000 UK-built long-range weapons, supporting an additional 800 jobs and expanding the UK’s strategic firepower.

This investment will bring total munitions spending to £6 billion during this Parliament. It supports the government’s broader Plan for Change, aimed at spreading economic growth and job creation across the UK’s nations and regions.

Defence Secretary John Healey MP said:

“From Faslane to Lossiemouth, the importance of Scotland to our defence capabilities cannot be overstated; it provides vigilance and protection for everyone across the UK. With threats increasing, the SDR is clear on the need to move to warfighting readiness to boost deterrence and to grow our defence industry across the country. Scotland will be a linchpin in making Britain safer, with more generations of skilled Scottish workers benefiting from apprenticeships, jobs and rewarding careers in defence.”

The SDR recommends the creation of an ‘always-on’ production capacity to sustain priority munitions. This permanent capability will allow the UK to replenish stockpiles quickly, respond to future threats, and maintain credible deterrence. The aim is to build long-term industrial resilience by providing a consistent demand signal to manufacturers.

Scottish Secretary Ian Murray MP emphasised Scotland’s vital role:

“As set out in the Plan for Change, national security is the first duty of the government so it is right that we’re supporting and strengthening the defence sector. We are entering a new era for our national defence and Scotland’s world-class industry is playing a big role in meeting that global challenge. Scottish defence businesses – with their skills, expertise and innovation – have a huge opportunity to benefit from this new investment with the sector here already receiving £2.14 billion in government spending last year, supporting approximately 25,600 jobs.”

The exact locations for the new munitions factories have not yet been decided. However, the government notes that Scotland already benefits from significant defence production—including 155mm artillery shells manufactured by BAE Systems in Glasgow and Tomahawk missile systems built by Raytheon in Glenrothes.

Chancellor of the Exchequer Rachel Reeves MP said:

“A strong economy needs a strong national defence, and investing in weaponry and munitions and backing nearly 2,000 jobs across Britain in doing so is proof the two go hand-in-hand. We are delivering both security for working people in an uncertain world and good jobs, putting more money in people’s pockets as part of our Plan for Change.”

The government says the SDR will end the “hollowing out” of the UK’s Armed Forces and place the UK at the forefront of NATO defence readiness. It sets a 10-year trajectory to transform the country’s defence posture—enhancing national security, boosting technological innovation, and reinforcing the UK’s global leadership in collective security.

Source: UK Defence Journal