Rolls-Royce says defence spending hike to create more UK jobs ‘without doubt’
The chief executive of Rolls-Royce has said a hike in UK defence spending will bring more jobs, grow the economy and help technology development in the country.
By Greg Wright
Published 27th Feb 2025, 09:56 GMT
Tufan Erginbilgic said defence programmes “contribute to economic growth significantly” and more military investment “allows supply chains to be developed, allows labour skills to be developed”.
Pointing to submarine and fighter jet-related military programmes that Rolls-Royce is working on, he said scaling them up will “create more jobs in the UK without any doubt”.
His comments came as Rolls-Royce lifted its profit forecasts and said it would buy back about £1 billion of stock from investors, causing shares to soar on Thursday morning.
The airplane engine making giant said operating profit for 2025 will be up to £2.9 billion, up from a previous estimate of up to £2.8 billion. Shares rose as much as 15% on Thursday morning.