The UK defence manufacturing base has demonstrated significant production capacity with the accelerated delivery of hundreds of Lightweight Multirole Missiles (LMM), manufactured by Belfast-based Thales, to Ukraine, achieved five months ahead of the initial delivery schedule under the UK gifting programme.
This production momentum is directly supporting the domestic supply chain by generating 200 new jobs and sustaining a further 700 existing roles within the United Kingdom. This expansion is concurrent with Thales moving to the next operational phase of a £1.6 billion contractual commitment, which focuses on the critical technical work of integrating the LMM system into Ukraine’s established air defence network, a process essential for bolstering Ukraine’s sovereign capabilities.
The timely delivery was announced as the Minister for Defence Readiness and Industry, Luke Pollard MP, led a substantial UK trade delegation to Kyiv to participate in Ukraine’s International Defence Industry Conference. The mission underscored the strategic objective of driving deeper industrial partnerships and coordinating efforts across NATO allies, with the UK committing £4.5 billion in military support this year. The conference served as a platform for strengthening multinational industrial resilience, with trade missions already leading to the establishment of over 30 joint ventures and partnerships between UK and Ukrainian entities, presenting tangible market entry points for sub-contractors.
Further cementing this industrial cooperation is the significant inward investment by UKRSpec Systems, Ukraine’s largest drone producer, which has announced a £200 million investment to establish two new facilities in the UK, projected to create 500 high-skilled domestic jobs. This collaboration is formalised under Programme LYRA, a new technology-sharing framework designed to facilitate the joint development and manufacture of cutting-edge military equipment. A specific project emanating from this initiative is Project OCTOPUS, an industrial partnership dedicated to developing an advanced air defence interceptor drone. This programme is designed to leverage UK mass-production capabilities to supply thousands of units monthly, offering a substantially more cost-effective and scalable solution for countering high volumes of one-way attack drones.
For businesses seeking to capitalise on these burgeoning opportunities, UK Defence Exports (UKDE) has published a dedicated resource for Small and Medium-sized Enterprises (SMEs) titled ‘Working with Ukraine’s Defence Sector’. This document provides comprehensive guidance on navigating procurement pathways, understanding coalition and donor funding mechanisms, identifying optimal partnership models, and establishing essential contact points. The resource is designed to lower barriers to entry for UK businesses aiming to engage with the rapidly developing Ukrainian defence market, ensuring the domestic supply chain can effectively contribute to, and benefit from, this strategic long-term partnership.
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Post written by: Vicky Maggiani
Vicky has worked in media for over 25 years and has a wealth of experience in editing and creating copy for a variety of sectors.
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