Unite, the UK leading union which represents tens of thousands of defence workers, has welcomed suggestions that the government is considering loosening its fiscal rules, in order to invest in defence.
 
The union backed the proposals following a report in the Financial Times that Number 10 is considering the option of changing the fiscal rules to allow the government to fully adopt the Defence Investment Plan (DIP). It is understood the Treasury is opposed to this approach.
 

Defence investment essential

Unite general secretary Sharon Graham said: “Keir Starmer promised when he announced defence spending that it would be good for British growth, British jobs, British skills and innovation. Unite has been calling for the Defence Investment Plan to live up to this rhetoric. 

“So far we have had promise after promise and now at the final hurdle we are  being advised that the money may not be there. The first priority of a government is to defend its people. That means investing in the British defence industry here at home.
 
“Unite has called for a change in the fiscal rules to  allow the government to borrow to invest. What are they waiting for?"
 

DIP delay

The DIP was due to be published last year and its continued delay is threatening the future of thousands of highly skilled UK jobs.
  
Sharon Graham added: “If the Defence Investment Plan does not deliver for British defence workers it will be an act of self-harm. Significant jobs, growth and skills depend on it."
 
Despite this commitment the government has failed to advance a series of key projects, putting at risk the livelihoods of thousands of UK defence workers.
 

Jobs at risk

Approximately three thousand workers directly employed by Leonardo in Somerset need the government to urgently confirm that it will give the green light to the new medium lift helicopter programme for the army. Leonardo became the only bidder for the contract in August 2024 but the order has not progressed since then. If the government does not confirm the order in the coming weeks there are growing fears for the future of the Yeovil site.
 
In recent weeks it has become apparent the UK’s military space programme is under threat due to the government’s decision to open up competitive tenders for the Skynet 6 miliary satellite programme. American defence conglomerate Lockhead Martin is bidding for the contract. For over two decades UK military satellites have been provided by Airbus and produced at factories in Stevenage and Plymouth, involving hundreds of highly skilled workers.
 
Unite is campaigning to ensure that the RAF purchases new Typhoon aircraft to replace the existing fleet of the aircraft which is ageing. The purchase of the new Typhoons will also ensure that British jobs and skills are retained for sixth generation Tempest production, which will begin midway through the next decade.
 
Meanwhile, Airbus workers at Filton, in South West England are heavily reliant on the government confirming the order of six A400m military transporter planes. A decision on their purchase has been delayed.
 
ENDS
 
Notes to editors
 
For media enquiries ONLY please contact Unite senior communications advisor Barckley Sumner on 07802 329235.
 
Email: barckley.sumner@unitetheunion.org
 
Twitter: @unitetheunion Facebook: unitetheunion1 Instagram: unitetheunion Web: unitetheunion.org
 
Unite is the UK and Ireland’s leading union fighting to protect and advance jobs, pay and conditions for members working across all sectors of the economy. The general secretary is Sharon Graham.