Defence Industries: West Midlands

Alex Ballinger Excerpts

Wednesday 19th March 2025 Westminster Hall

[Sarah Edwards (Tamworth) (Lab)]

I beg to move,

That this House has considered defence industries in the West Midlands.

It is an honour to serve under your chairship, Dr Murrison. Global threats are evolving, making defence investment more critical than ever. A strong defence underpins our security and sovereignty, but we must scale up to meet the modern challenges. The warning flags were raised in 2014, yet the UK lacked a long-term strategy. The defence industry drives innovation and economic growth, but skill shortages and supply chain volatility risk holding it back. Our armed forces are only as strong as our defence sector.

Across the west midlands and the UK, the defence industry provides security, supports thousands of jobs, and fuels innovation in areas such as AI, cyber and advanced manufacturing. The region is home to major players, including Rolls-Royce, BAE Systems and Babcock, with BAE Systems alone working with 11 small and medium-sized enterprises, including one in my constituency of Tamworth.

The Government’s renewed focus on defence as part of their industrial strategy is welcome. I also support the recent commitment to the largest defence spending increase since the cold war, meaning that we will spend 2.5% of GDP on defence. With post-war alliances shifting, we must continue investing in our defence capabilities.

[Alex Ballinger (Halesowen) (Lab)]

I recently visited Somers Forge in my constituency—it is the 10th oldest SME in the United Kingdom, and has been supplying defence equipment since the Battle of Blenheim in 1704. It was great to meet with its team, and see the important work that it does. Does my hon. Friend agree that our defence industrial strategy will help SMEs access defence investment and boost businesses such as Somers Forge in the west midlands?

[Sarah Edwards]

I absolutely agree. This industrial strategy is essential in making sure we have the focus to support our businesses right across the region, and in making sure that they are successful.

The upcoming defence industrial strategy must prioritise British businesses, including SMEs, ensuring that investment creates jobs and strengthens our national security. Currently, nearly 18,000 people work in defence SMEs in the west midlands, and the Ministry of Defence spends £1.6 billion annually in the region, making it the UK’s third largest defence hub. By backing UK industry, and fostering co-operation between Government, business and workers, we can build a defence sector fit for the future.

--- Later in debate ---

[Luke Pollard]

That is an excellent question. It comes down to how we implement the defence industrial strategy that my colleague, the Minister for Defence Procurement and Industry, is leading within the Department. That needs to tie in with the whole-of-Government and whole-of-society effort for our national defence, which is something Parliament will need to speak more of in future. To defend our nation and support our allies, we will need this mission to be held passionately not just by people in uniform and the Ministry of Defence. We will need every Department to understand its contribution to that mission. When we invest in skills, we will have the opportunity to do that.

I am grateful that my hon. Friend mentioned the Type 26 builds in Scotland. As the MP for Devonport in Plymouth, where the Type 26s will be based, I know how incredible these frigates will be, how they will deter Russian submarine activity in the north Atlantic, and how they will contribute directly to the security of our nation and our allies.

To build those frigates, we will need to invest in skills on a long-term basis. We are looking at how we can have multi-year budgets, to invest more in skills and supply chains, rather than having the annual cycle. Frankly, and as the Defence Secretary has made very clear, defence needs to spend money better than it has in the past. That is why he started a programme of defence reform to make sure we reform not only how we fight and how we are configured, but also how we procure. The recruitment for a new national armaments director is a significant part of driving the defence reform needed to support SMEs as well as primes.

[Alex Ballinger]

We are talking about procurement. Just this week I met Members of the European Parliament in Brussels to talk about our collective response to Ukraine. One of the challenges that Somers Forge in my Halesowen constituency faces is the struggle with European supply chains and the trade barriers between the UK and Europe. As we go through a new reset with Europe, will the Minister commit to push for greater access for defence industries to the European market?