A new BAE Systems artillery manufacturing facility has opened in Sheffield, creating 200 skilled jobs and supporting over 60 businesses across the UK supply chain. The 94,000 sq ft site will serve as the UK hub for production of the M777, a 155mm lightweight howitzer with proven combat performance.

The factory was made possible through export contracts exceeding £25 million, underlining the UK defence sector’s export competitiveness and manufacturing capabilities. It will also offer apprenticeship opportunities, reinforcing the region’s advanced engineering talent pipeline.

The launch follows the Government’s Strategic Defence Review, which includes a £6 billion commitment to munitions production this parliament. This funding encompasses an ‘always on’ munitions pipeline and at least six new energetics and munitions sites.

The Sheffield facility is expected to be fully operational later this year, initially focused on M777 production with plans to diversify into other advanced combat systems. The plant plays a key role in fulfilling the UK’s defence commitments abroad, including recent contracts to supply artillery barrels to Ukraine in collaboration with Sheffield Forgemasters.

The site represents a strategic investment in sovereign defence capability and industrial growth, aligned with the Government’s Plan for Change.

Bus manufacturer Alexander Dennis is set to close its Falkirk factory and suspend operations at its Larbert site, placing up to 400 jobs in Scotland at risk. The decision is part of a proposed strategy to consolidate manufacturing activities at its upgraded facility in Scarborough, North Yorkshire.

The affected roles account for approximately 22% of the company’s UK workforce and 4% of its parent company, NFI Group’s, global headcount. A statutory consultation has been initiated regarding the proposed redundancies.

The Scarborough facility at Plaxton Park, which currently employs over 700 people, has been modernised to produce the full Alexander Dennis vehicle range. The company states that this strategic shift aims to enhance cost efficiency and long-term financial sustainability amid challenging market conditions.

The closure is expected to have ripple effects across the UK’s bus manufacturing supply chain. Alexander Dennis has spent over £1 billion with domestic suppliers in the past five years, supporting approximately 1,000 UK-based businesses. Industry multipliers suggest every direct job lost could affect three to four additional roles in supply and support services.

The company continues to advocate for policy reforms that would better support domestic manufacturing through targeted investment, job creation incentives, and prioritisation of local content in government contracts.

AMT Group, a Leeds-based vehicle solutions provider, has acquired Redline Specialist Cars, one of the UK’s largest independent prestige car dealerships. The deal combines AMT’s full-service capabilities, including leasing, rental, insurance, and finance, with Redline’s high-volume used vehicle sales and sourcing operations.

This strategic merger broadens AMT’s footprint in the UK automotive market while expanding service options for both retail and corporate clients. Redline sells over 2,000 vehicles annually and ranks among the UK’s top 50 dealers by revenue, while AMT has grown into a £60 million operation employing more than 220 people across the UK.

Both companies will retain their own branding and continue to operate from their existing sites. The move positions the merged entity to better serve the full spectrum of customer mobility needs, from short-term rentals to high-end vehicle purchases and long-term leasing arrangements.

Plans for a major nuclear manufacturing facility in South Yorkshire have been scaled back after American company Holtec failed to secure preferred bidder status in the UK government’s small modular reactor (SMR) competition.

Holtec had proposed establishing a new factory at the GatewayEast site near Doncaster-Sheffield Airport, a move expected to generate 3,000 direct jobs and support an estimated 16,000 roles across the supply chain over two decades. However, the firm was not selected, with British engineering giant Rolls-Royce named the government’s preferred partner to lead SMR development in the UK.

In response to the decision, Holtec confirmed its plans for the South Yorkshire site will be reduced in scope, with job creation targets and timelines affected.

The UK government’s decision is part of a broader strategy to advance domestic small modular reactor (SMR) technology and expand nuclear energy capacity. The Rolls-Royce-led programme is expected to deliver a £2.5bn boost to the UK nuclear industry and reinforce local supply chain development, particularly through its ongoing collaboration with the Advanced Manufacturing Research Centre (AMRC) in Sheffield.

The outcome represents both a strategic win for UK manufacturing and a setback for inward investment ambitions in South Yorkshire.