Wales Named UK Autonomous Tech Launch Hub

The UK Government and Welsh Government have signed a landmark £50m Wales Defence Growth Deal, positioning Wales at the forefront of next-generation autonomous defence technology and promising thousands of high-skilled jobs across the country.

The agreement, formally signed at Cardiff Castle by Defence Secretary John Healey, First Minister Eluned Morgan and Secretary of State for Wales Jo Stevens, aims to transform Wales into a UK launchpad for autonomous and uncrewed systems. These technologies include platforms used in intelligence, surveillance and reconnaissance operations, as well as one-way drones and other advanced capabilities designed to meet the evolving needs of the Armed Forces.

Under the deal, Welsh communities are set to benefit directly from the creation of high-skilled roles in the design, testing and manufacture of innovative defence technologies. Thousands of skilled workers are expected to be involved as new investment flows into facilities, research programmes and manufacturing sites across the nation.

Speaking at the signing ceremony, Defence Secretary John Healey MP said: “We pledged a Defence Growth Deal for Wales and this is the UK Government delivering on that commitment. “Wales is central to the defence of the UK and I am proud to launch this new partnership that will transform the nation into a centre for innovation. It will create good jobs and drive growth in Wales. We’re investing £50m in this deal to make Wales the UK’s launchpad for uncrewed systems. Expanding test ranges and opening up Welsh skies will help put Britain at the forefront of the autonomous defence technology that our Armed Forces need to fight and win.”

A key element of the agreement will widen access to Ministry of Defence test ranges across Wales, including facilities at MOD Aberporth. In partnership with the Civil Aviation Authority and its military counterpart, air corridors across central Wales will be expanded. This will enable both industry and the military to test uncrewed aerial systems more effectively, accelerating development cycles and bringing cutting-edge capabilities into service more rapidly.

The deal also seeks to remove long-standing barriers faced by Welsh small and medium-sized enterprises (SMEs) seeking to access secure defence contracts. By ensuring that Welsh firms can obtain the necessary clearances and direct access to Ministry of Defence opportunities, the agreement is designed to create a level playing field between SMEs and major prime contractors. This marks a significant shift away from the traditional model in which smaller companies were required to work through large defence primes to participate in certain classified projects.

First Minister Eluned Morgan подчеркlined the broader strategic importance of the agreement, saying: “Wales will play its part to secure our national defence in an increasingly unstable world. The aerospace and defence sector in Wales is vitally important to the economy and directly employs over 16,000 highly skilled workers. The backbone of the sector is the huge number of small and medium size companies across the whole of Wales who are the life blood of development and innovation. The duel use nature of the deal means that its benefits will be felt across the wider Welsh economy. It is vital now that we see this commitment from the MOD filter down to the SMEs quickly and improves the defence capability of the UK.”

The dual-use aspect of the technologies supported under the deal — meaning they have both military and civilian applications — is expected to amplify economic benefits beyond the defence sector. Advances in autonomous systems, materials resilience and advanced manufacturing techniques often find applications in civil aerospace, transport, energy and digital industries.

Secretary of State for Wales Jo Stevens emphasised the long-term economic impact of the initiative. She said: “Today’s deal will shape the future of the defence industry for years to come and will deliver economic growth and thousands of skilled well-paid jobs. “We are building on Welsh expertise and our strong base by investing £50 million so Wales can lead the way in 21st century autonomous defence technology.”

In addition to investment in infrastructure and business access, the governments have set out their intention to work collaboratively to establish a new Defence Technical Excellence College by September 2027. The proposed college will train the next generation of defence engineers, equipping them with the advanced technical skills required to support Britain’s expanding autonomous capabilities. The institution is expected to play a central role in building a sustainable talent pipeline, ensuring that Welsh workers are at the cutting edge of emerging defence technologies.

Industry leaders have welcomed the announcement. Kevin Craven, CEO of ADS — the trade association representing more than 1,800 businesses across the UK in aerospace, defence, security and space — said: “The Defence Growth Deals were a standout feature of the Defence Industrial Strategy – aiming to leverage both well-established and developing strengths of the defence industrial base across the UK. Here in Wales, where the industrial footprint includes particular strengths in unmanned capabilities, world-renowned componentry and cutting-edge dual use technologies, this support is particularly pertinent.

“Today’s Wales Defence Growth Deal dovetails the two core motivations of industry and government alike: building UK and effective deterrence capabilities, while providing high-quality, high-value employment that strengthens local communities. ADS are delighted to have worked in concert with our regional partners, the Ministry of Defence team and of course our brilliant members on how this support can truly unlock Wales’ potential. We look forward to building on this further.”

Currently, almost 4,000 people in Wales are employed as a result of Ministry of Defence industry spending, part of more than £1 billion invested in the Welsh defence sector. Today’s additional £50m commitment is intended to build on that foundation, ensuring that innovative defence platforms are designed, built and tested in Wales — powering autonomous systems across land, sea and air domains.

As part of the broader Defence Industrial Strategy, Defence Growth Deals are being created to unlock regional strengths and drive sustained expansion in the defence sector. The initiative is underpinned by what ministers describe as the largest sustained increase in UK defence spending since the end of the Cold War, with spending set to reach 2.6% of GDP from 2027.

Earlier in the same week, the UK and Welsh Governments also announced plans for seven new railway stations across Wales, a move expected to create thousands of additional jobs, boost the construction industry and deliver visible change to communities nationwide. Together, ministers argue, these measures demonstrate a coordinated effort to place Wales “on the front foot” — strengthening national security while driving economic growth and skilled employment.

With expanded test ranges, opened air corridors, improved SME access to contracts and a new technical college in development, the Wales Defence Growth Deal marks a significant step in embedding autonomous defence innovation within Welsh industry — and in shaping the future of Britain’s defence capabilities.