Parliament's party history for this member: Labour ( – present).
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The north-east plays a vital role in supporting the UK’s defence sector. I am delighted that our increased defence spending means that in the north-east spending rose from £187 million in 2024-25 to £198 million in 2025-26, supporting around 2,000 jobs, and 49% of our spending goes to the region’s small and medium-sized enterprises.
I may be a south-west MP, but I am a north-east MP when it comes to increasing defence spending, just as my hon. Friend is. I want to see more spending in the north-east. I would be happy to meet my hon. Friend to discuss how Steel Benders UK can access more of that increased defence spending. I would like to promote the work of the Defence Office of Small Business Growth in providing a single door for small businesses to access more defence contracts, helping to create more jobs, growth and opportunities in every part of the UK, including the north-east.
Thanks to our growing defence budget, last year we spent £1.8 billion in the west midlands, benefiting not just west midlands businesses but those in my hon. Friend’s constituency. That is an increase of 3% on last year. I am keen to visit Dudley to see some of the businesses that I know she has been championing so consistently in Defence questions, but also in between in our many frequent conversations. I know that we are looking to spend more with UK businesses, and that includes ones in her constituency.
I thank my hon. Friend for that work. She will know that we have stood up the Defence Office for Small Business Growth, which is a dedicated front door for small businesses to access and navigate the defence procurement process and speed up security clearances and cyber essentials. She will also know that many companies that could benefit from it may not classify themselves as defence businesses; they may be a provider of a service or component that could make a big difference to defence as well. I look forward to making the case to her businesses that there is an easier way now to contract with defence which I hope will create more opportunities for those in the west midlands.
I welcome the hon. Gentleman to the Dispatch Box. I am sure there will be no shortage of parliamentary questions from him—indeed, this relates to a question he asked about Boxer to which I have already replied. We look at the criteria for what we need to buy for our armed forces, and that includes looking at the Boxer programme. The Boxer programme is incredibly successful for KNDS and RBSL. We are looking at the variants required to ensure it is appropriate for the modern fight and armed forces, and we are prioritising spend against those capabilities as recommended by the Army. I am more than happy to have a further conversation with the hon. Gentleman and Members with Boxer-producing constituencies. Boxer is a real success story, and I want to continue delivering more Boxer capabilities.
This Government have ended the underfunding and hollowing out of our armed forces that we inherited from the last Government. We are getting ready for warfighting readiness by 2030. That is why we are directing more of a growing defence budget at British companies, retiring old equipment, and giving our brilliant men and women in the armed forces the latest kit. Defence spending is up, morale is up and recruitment is up.
We inherited defence spending of roughly 2.3% of GDP. That figure will be 2.7%-ish next year, and—as the hon. Gentleman will know, having read page 11 of the defence investment plan—at the spending review next year, the Chancellor will set out the spending profile that takes us to 3% and 3.5%. We are not only spending more on defence, but ensuring that we have the right equipment and capabilities. That is one of the reasons why we are retiring so much old equipment that no longer delivers for our armed forces and investing in new equipment, be that the hybrid Navy, autonomous drones or the latest capabilities for our people.
Project Safari is a superb example of how, when we have asked industry to step up, it has responded. Steve Wadey, the chief executive of QinetiQ, is pioneering a new set of requirements for test and evaluation, with more access to our ranges for small businesses, a greater focus on more collaboration, and more utility for us to test new capabilities. Project Safari was delivered from start to finish in three months—it is a model for how I expect other companies to react to our move to warfighting readiness.
I was hugely impressed by what I saw when I visited Dorset Innovation Park. Awarding Yeovil college status as one of the five defence technical excellence colleges was good news not only for Yeovil and Leonardo and its helicopter business, but for the wider region. I would be happy to meet my hon. Friend to discuss how we can operate more of the hub-and-spoke models that the DTECs deliver up and down the country.
I thank my hon. Friend for the work he does in raising defence business opportunities in his patch. This is an ongoing procurement, and no final decisions have been made. Both the UK-based bidders are subject to full evaluation of their proposals and must offer satellites that are assembled, integrated and tested in the UK. We hope to make an announcement shortly.