Britain closes 2025 with its biggest year on record for defence exports: more than £20 billion of contracts for ships, aircraft and support. The Ministry of Defence says the total is set to be the highest since official UK Defence and Security Exports records began in 1983, with over 25,000 UK jobs directly supported over the long term.

Anchoring the year is Norway’s £10 billion order for at least five Type 26 anti‑submarine frigates, the UK’s largest warship export to date. Government figures indicate the programme sustains around 4,000 roles across a supply chain of 432 firms, including 222 SMEs, with shipbuilding centred in Glasgow. A new Lunna House Agreement will see an interchangeable 13‑ship British–Norwegian fleet operate in the North Atlantic.

Türkiye’s purchase of 20 Eurofighter Typhoons, signed in October and valued at up to £8 billion, is the largest UK fighter export in a generation. Downing Street says the contract underpins about 20,000 UK jobs, with final assembly at BAE Systems’ Warton site and major work at Samlesbury, Bristol and Leonardo’s radar plant in Edinburgh; Germany cleared the export in July. BAE later told Reuters it expects to recognise roughly £4.6 billion of revenue from the order, with weapons supplied by MBDA. First deliveries are scheduled from 2030.

Air mobility deals also featured. The UK confirmed the resale and support of 12 ex‑RAF C‑130J aircraft to Türkiye-worth over £550 million to UK industry-alongside a multi‑year sustainment contract for Marshall Aerospace that secures about 1,400 skilled roles in Cambridge. Marshall will complete centre‑wing‑box replacements and training before phased entry to service.

SMEs mattered. Devon‑based Supacat signed for 18 HMT ‘Extenda’ vehicles for Czechia’s special forces, widening a British light‑tactical footprint in central Europe and reinforcing the message that export wins flow through regional manufacturers as well as primes.

AUKUS moved from headline to hardware pipeline. In July, London and Canberra signed a 50‑year bilateral treaty that ministers say could drive up to £20 billion in UK exports over 25 years and support more than 21,000 UK jobs at peak as SSN‑AUKUS scales. For suppliers from Barrow to Derby, that underwrites multi‑year demand.

Context for the ‘record’ claim: the UK’s last complete dataset showed £14.5 billion of defence export orders in 2023-the highest since 2013-driven by European demand. The MoD now says 2025 will surpass that with “over £20bn”, but the final UKDSE series for 2025 will publish in 2026. Treat 2025’s figure as a signed‑contracts total rather than delivered goods.

Supply‑chain winners are already visible. On Type 26, Rolls‑Royce’s MT30 gas turbine-built in Derby and assembled in Bristol-sits alongside MTU generators, reflecting how platform exports ripple through components and services. On Typhoon, Leonardo’s ECRS Mk2 radar lines in Edinburgh and Luton and MBDA’s weapons packages underpin the UK workshare.

The regional spread is broad. Around 2,000 roles are at BAE’s Glasgow yards and a further 2,000 across the maritime supply chain; 103 Scottish businesses, 47 in North West England and 35 in the West Midlands are listed on the Type 26 programme. Lancashire’s Warton and Samlesbury plants and Rolls‑Royce in Bristol benefit from the Typhoon order, while Marshall anchors work in Cambridge.

Financing and policy also moved. UK Export Finance lifted its lending capacity for defence exports by £2 billion to £10 billion, and the UK joined a new Agreement on Defence Export Controls with France, Germany and Spain to smooth licensing for collaborative programmes-while retaining national Strategic Export Licensing Criteria. That mix of risk cover and rules matters for SMEs chasing tier‑two work.

Scrutiny will continue. Rights groups criticised the Typhoon sale to Türkiye; ministers stress all licences are assessed against UK criteria and NATO security interests. Germany’s sign‑off highlights the Eurofighter’s multi‑nation governance, while schedule and yard capacity remain execution risks across the order book.

For investors and SME directors, the 2026 hinge points are clear: long‑lead orders under Norway’s Type 26 programme, workshare detail on the Türkiye Typhoon contract, AUKUS supply‑chain awards and the release of the UKDSE 2025 series. The MoD is signalling further export campaigns spanning advanced aircraft, maritime systems and armoured vehicles.