Theguardian iconTheguardianSep 23, 2026 ~4 min source read

Defence firms pledge 40,000 opportunities a year as Labour links spending to jobs

Major UK defence contractors have committed to offering tens of thousands of apprenticeships, placements and jobs to young people, part of a Labour push to tie rising defence budgets to domestic employment.

UK defence contractors to offer 40,000 apprenticeships, placements and jobs

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Signatory firms include BAE Systems, MBDA, Rolls-Royce, Babcock, Thales and Airbus, which also agreed a ‘no wrong door’ pledge to redirect unsuccessful applicants to other roles in the supply chain.

Labour frames increased defence spending as a way to boost jobs across the UK and tackle youth disengagement: almost 1 million 16- to 24-year-olds are classified as NEET.

The plan sits alongside Labour policies such as a Jobs Guarantee for long-term unemployed 18- to 24-year-olds and a commitment to raise defence spending to 2.7% of GDP next year, with debate over a 3% target by 2030.

Major defence contractors have signed commitments to provide 40,000 opportunities a year for 18- to 24-year-olds by 2030, increasing to 50,000 by 2035. Opportunities cover work experience placements, apprenticeships and permanent roles. Companies named include BAE Systems, MBDA and Rolls-Royce, with other signatories such as Babcock, Thales and Airbus.

Wes Streeting, who described his brief as building a "ministry for growth", positioned the industry pledge as a way to make rising defence spending deliver domestic jobs. Labour argues that defence procurement already largely operates outside London and the south-east, so increased investment can support regional employment and skills development.

A stated motivation is addressing youth disengagement. The article cites almost 1 million 16- to 24-year-olds who are not in education, employment or training (NEET). Streeting linked the defence commitments to plans to give young people routes into work and skills that can lead to long-term careers.

The firms agreed two main practical measures:

  • Offer 40,000 entry opportunities per year to 18- to 24-year-olds by 2030, rising to 50,000 by 2035.
  • Adopt a "no wrong door" approach that signposts applicants who are unsuccessful for one role to other vacancies across the defence supply chain.

The industry pledge arrives ahead of the publication of Alan Milburn's final report on NEETs. Milburn highlighted work experience as a practical route into employment and said the defence sector's offer demonstrates what employers can deliver. Labour is also rolling out a Jobs Guarantee scheme for 18- to 24-year-olds who have been out of work for at least 18 months, offering taxpayer-funded placements.

  • Implementation details: how opportunities will be allocated geographically and by skill area, and how the "no wrong door" process will operate in practice.
  • Measurement and accountability: the metrics firms and government will use to track the number and quality of placements, apprenticeships and jobs delivered each year.
  • Funding and trade-offs: whether further rises toward 3% of GDP proceed and how they are funded, given tight public spending plans across Whitehall.

The defence industry pledge is a concrete offer of large-scale youth opportunities linked to a political case for using procurement to support jobs and skills. The value of the commitment will depend on how opportunities are distributed, tracked and sustained as defence spending rises.

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