Exclusive:
Ministers will use national security exemptions to ensure that billions of pounds of additional funding for defence is spent in Britain rather than given to American or European companies
John Healey, the defence secretary, will use a speech at the GMB union’s congress to announce plans to favour British-based companies
He will add that if a defence contract is “sent overseas”, the industry will be required to create jobs in the UK, describing the approach as “unashamedly pro-Britain”.
He will say: “The government will develop a new approach that looks to give credit in future defence contract decisions to British-based companies based on a genuine, substantive presence in Britain and long-term commitments to British communities and British supply chains.
“As part of this drive, I can announce I will make greater use of national security exemptions for defence contracts — which allow the government to require certain capabilities to be built in Britain — supporting our UK industrial base and your members’ jobs.
“We will ensure that, in large defence contracts, there are provisions to require any significant sub-contracts to be placed with UK-based companies, or guarantee competitions so UK competitors aren’t shut out.”
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