The UK’s defence sector is facing a major skills shortage, with thousands more welders and engineers needed to support increasing military production.
Industry experts warn that without urgent action, plans to boost defence spending to three per cent of GDP in the next Parliament could be difficult to achieve.
There is growing concern that the UK’s industrial base is not prepared for a rapid expansion in weapons manufacturing. Some experts have suggested the revival of “shadow factories,” similar to those established before the Second World War.
These facilities, which drew workers from the automotive sector, could help expand production capacity at short notice.
The manufacturing lobby group Make UK Defence has highlighted a significant gap in skilled workers, with approximately 10,000 vacancies in the defence sector, including a critical shortage of welders.
Many positions are being filled by workers from Poland, Bulgaria, and the Philippines due to the lack of trained professionals in the UK.
BAE Systems, particularly in the Clyde region, has had to rely on a multilingual workforce to meet demand. The issue extends beyond welding, as small and medium-sized enterprises (SMEs) also struggle to compete for skilled workers. The skills gap has already led to delays in production, making it increasingly difficult to meet government deadlines.
Despite these challenges, the UK is set to increase defence spending by billions in the coming years. This investment is aimed at strengthening national security in response to global tensions, particularly following the conflict in Ukraine.
A Strategic Defence Review is expected to outline the state of the armed forces, assess potential threats, and identify the resources needed to address them.
The European Union has also announced an €800 billion (£660 billion) investment in defence manufacturing to counter potential threats from Russia.
In the UK, however, there are growing concerns that the shortage of skilled workers will hinder efforts to scale up production. Addressing this issue will require a significant investment in skills and education to ensure the workforce can meet future demands.
The shortage of submarine welders has led to wages reaching up to £80 per hour. Industry experts warn that skilled workers need to be trained now to ensure they are available when increased defence spending takes effect in the coming years.
Colleges are also struggling to cover the costs of engineering apprenticeships, as government funding does not fully cover training expenses.
In response, companies like BAE Systems have launched their own training academies, such as the shipbuilding academy on the River Clyde in Glasgow.
To combat the skills shortage, major defence firms are turning to automation. Companies such as BAE Systems and Babcock have implemented robotic welding technology to improve productivity.
Babcock, which produces missile tubes for the UK and US ballistic missile submarine programme, has significantly increased efficiency using robotic systems.
This innovation has also been applied to the construction of the new Royal Navy Type 31 frigates, with productivity rates now two to three times higher than previous shipbuilding projects, such as the Queen Elizabeth-class aircraft carriers.
The UK is currently investing heavily in military equipment, including £5 billion for 623 Boxer armoured vehicles, 148 upgraded Challenger 3 tanks expected by 2030, and 589 Ajax armoured vehicles set to be completed by 2028.
Despite these projects, SMEs receive only four per cent of the total defence budget, prompting calls for increased funding to support smaller manufacturers.
Last December, the Ministry of Defence conducted exercises to test the resilience of military supply chains under high-pressure scenarios.
Industry leaders believe the UK needs to act swiftly to boost production capacity. Some have proposed the reintroduction of “shadow factories,” where industrial facilities would remain on standby, ready to be activated in times of crisis.
The defence industry is also competing with the financial technology sector for electrical and software engineers.
These professionals are essential for designing advanced military systems, including hypersonic missile engines, nuclear warheads, and torpedoes. However, many are drawn to higher-paying roles in London’s financial sector.
The aviation industry is also facing a skills shortage, particularly in licensed aircraft engineers. Defence companies have had to train staff themselves to compensate for the lack of qualified professionals.
Post-Brexit rule changes have further restricted recruitment, as only engineers with UK licences are now eligible for employment.
The UK government has pledged to increase defence spending to 2.5 per cent of GDP by April 2027, aiming to strengthen national security while driving economic growth.
As part of this strategy, a new Defence Industrial Strategy will be launched to support private-sector partnerships and boost job creation across the country.
Collaboration with Skills England is expected to play a key role in addressing the workforce shortage.
The strategy will focus on investing in British businesses, supporting SMEs, and ensuring the defence sector is prepared to meet global security challenges.
The success of these plans, however, will depend on closing the skills gap and investing in the next generation of engineers and manufacturers. Without immediate action, the UK risks struggling to maintain its defence commitments in an increasingly volatile world.
