The UK Government’s Strategic Defence Review is set to trigger a multibillion-pound wave of investment across the country’s defence sector, with a strong emphasis on industrial capacity, digital modernisation and workforce development.

At the core of the plan is the expansion of the UK’s submarine fleet, with a commitment to build 12 new attack submarines. This is expected to significantly bolster the country’s submarine-building capabilities and sustain 30,000 specialist jobs into the next decade. The move aligns with the government’s broader commitment to its warhead programme, which has already received £15 billion in funding and will see further modernisation at the Atomic Weapons Establishment in Aldermaston.

The review outlines a national shift toward “warfighting readiness,” including expanded stockpiles of arms and critical equipment. Over the next ten years, 30,000 apprenticeships and 14,000 graduate roles will be created to meet long-term workforce demands in engineering, manufacturing and defence technology.

Cyber operations are set to undergo a significant transformation with the establishment of a new Cyber and Electromagnetic Command, designed to position the UK at the forefront of digital warfare. In parallel, over £1 billion will be invested in a new Digital Targeting Web—an initiative intended to enhance battlefield decision-making, intelligence and targeting through AI and integrated systems, informed by recent lessons from Ukraine.

The government also plans to procure up to 7,000 UK-built long-range weapons and construct at least six new munitions and energetics factories to reinforce domestic production capacity. However, locations have not yet been disclosed.

Defence spending continues to play a key role in regional economies. In 2023/24, the Ministry of Defence spent £28.8 billion with UK industry. The South West and South East saw the highest allocations, with £6.9 billion and £7.1 billion respectively. The South West led in per-capita terms, with £1,190 per person and 1,550 defence jobs per 100,000 residents. The region is home to major employers such as Babcock International, which operates from over 60 sites including Devonport and Filton, and Rolls-Royce’s Bristol site, where engines are built for the Eurofighter Typhoon and F-35 aircraft.

The review marks the first time the government has published a complete outline of its long-term defence investment strategy, signalling sustained demand for skilled talent, manufacturing capacity, and digital innovation across the sector.

MYGroup has partnered with the University of Leeds on a new initiative to address the increasing volume of high-visibility personal protective equipment (PPE) waste in the UK. The partnership, backed by Innovate UK through a Knowledge Transfer Partnership (KTP), aims to establish a scalable fibre-to-fibre recycling process that can convert decommissioned PPE into new raw materials for textile production.

Currently, less than 1% of garments globally are recycled back into new textiles, and an estimated 90% of used PPE, uniforms, and workwear end up in landfills. This project aims to demonstrate the commercial and technical feasibility of producing new yarns and threads from end-of-life PPE, thereby supporting a closed-loop system for the sector.

MYGroup, a specialist in waste management and recycling based in Yorkshire, already processes five tonnes of end-of-life PPE annually and collaborates with several manufacturers and retailers. Through this collaboration, it hopes to help its clients meet growing extended producer responsibility (EPR) obligations and move towards more sustainable supply chains.

The University of Leeds, home to the Leeds Institute of Textiles and Colour (LITaC), will contribute research expertise to accelerate development and industrial application of the recycling method. The project is also expected to stimulate innovation and green manufacturing in the Yorkshire and Humber region.

Business confidence in Yorkshire rose sharply in May, with more firms planning to expand their workforce and invest in growth, according to Lloyds Bank’s latest Business Barometer.

Confidence among Yorkshire businesses climbed by 18 points to 52%, significantly higher than the national average. Notably, 54% of regional firms now plan to increase staff over the coming year, up 35 points from April, signaling renewed optimism across the local economy.

The report also highlighted where businesses are prioritising growth. Nearly half of the surveyed firms in Yorkshire intend to invest in staff training, while 33% are eyeing entry into new markets or adopting new technology, both key indicators of strategic scaling and operational improvement.

At a national level, UK business confidence rose to 50%, the highest recorded since August 2024. Economic optimism jumped by 16 points to 44%, while firms’ confidence in their trading prospects also increased to 56%.

Sector performance was uneven. Construction and services reported the strongest sentiment, 56% and 54% respectively, while retail confidence declined to 40%, its lowest level since January. Manufacturing also edged up, though modestly, to 40%.

The positive regional results come amid mixed signals globally. While the IMF flagged potential drag from US tariffs, it upgraded the UK’s 2025 economic forecast, noting signs of a broader recovery.