![\"\"\/](\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/11\/MoD-main-building-430x241.jpg\")
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The UK Ministry of Defence has contended with multiple pressures to its budget. Credit: UK MoD\/Crown copyright<\/p>\n
The UK\u2019s \u2018Autumn\u2019 Budget, coming technically within the correct season if not the spirit of the timeframe, delivered little insight into the defence sector, as all eyes wait for the publication of the long-overdue Defence Investment Plan.<\/p>\n
What little information that was of use came just prior, at the end of Prime Minister\u2019s (PM) Questions, where UK PM Keir Starmer confirmed that the long-delayed New Medium Helicopter (NMH) programme<\/a> would still be going ahead, in response to a query from a parliamentary colleague.<\/p>\n \n\t\t\t\t\t\tCombine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.\n\t\t\t\t\t<\/p>\n \u201cI can confirm we are continuing with [NMH] to deliver modern equipment for our armed forces,\u201d Starmer said, adding, apparently not ironically, that the UK was \u201ca leading member of Nato\u201d.<\/p>\n The only other mention in the Autumn Budget from the UK Government related to assurances by Chancellor Rachel Reeves that the UK would spend 2.6% of its GDP on defence by April 2027, a previously known timeframe.<\/p>\n Quite how the UK will reach this 2.6% target has been previously analysed<\/a> by Army Technology, with some flexible and interpretive understandings of what constitutes \u2018defence\u2019 now required.<\/p>\n However, some voices in the aerospace and defence industries expressed frustration at the lack of attention paid to the sectors.<\/p>\n Alan Fisher, CEO of Farnborough Aerospace Consortium (FAC), which represents hundreds of businesses in the aerospace, aviation, defence and space sectors, said the budget could be judged better by what it left out than what it contained.<\/p>\n \u201cThe budget was frustratingly lacking in announcements that impact on the aerospace and aviation sectors in which we are world leaders,\u201d Fisher said.<\/p>\n Continuing, Fisher said that investment in defence does provide benefit for FAC members which operate in the sector\u2019s supply chains.<\/p>\n \u201cOther announcements that might be considered positive are corporation tax remaining at 25 per cent, increased enterprise tax incentives, UK listings relief and a permanent 40 per cent First Year Allowance for main rate assets,\u201d he added.<\/p>\n However, Fisher said energy costs remained \u201cextremely high\u201d and that there was a lack of policy announcements aimed at lowering business costs, while industry would have to \u201cwait and see\u201d what impact an increase in minimum and living wages would have on recruitment.<\/p>\n \n Sign up for our daily news round-up! Naval Technology Excellence Awards – Nominations Closed<\/p>\n Nominations are now closed for the Naval Technology Excellence Awards<\/strong><\/a>. A big thanks to all the organisations that entered \u2013 your response has been outstanding, showcasing exceptional innovation, leadership, and impact.
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