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22 UK firms receive funding for new munitions factory studies

Twenty-two British companies have been awarded contracts worth up to £300,000 each to conduct feasibility studies for new energetic materials manufacturing plants across the UK.

  • 22 companies, including SMEs, will receive up to £300,000 each for feasibility studies.
  • The studies aim to identify sites for at least six new munitions factories.
  • The initiative is part of government efforts to rebuild UK ammunition and energetics manufacturing.

The Ministry of Defence (MOD) has today placed contracts with 22 companies to fund studies into potential sites for new factories producing energetic materials. These materials, including explosives, propellants, and pyrotechnics, are essential components for weapons such as small arms, artillery, and missiles.

Each company, including small and medium-sized businesses across England, Scotland, and Wales, will receive up to £300,000. The studies will focus on identifying sites suitable for building at least six new munitions factories.

Minister for Defence Readiness and Industry Luke Pollard MP stated that this investment aims to restore Britain's manufacturing capabilities and could create at least 1,000 high-skilled jobs in the future. The government previously identified at least 13 potential sites in November 2025.

Companies are expected to submit their findings by the end of September 2026, with construction of new factories planned to begin by the end of 2026. Following the feasibility studies, top proposals may be offered Front End Engineering Design (FEED) contracts worth up to £5 million each.

Why this matters: This initiative aims to boost the UK's defence readiness and re-establish a sovereign supply chain for munitions, which the government states is crucial for national defence and deterring threats.

What this means for you: This investment could lead to the creation of at least 1,000 high-skilled manufacturing jobs across the UK in the future.

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