Britain struck a pragmatic note in Munich on Saturday 14 February 2026. Prime Minister Sir Keir Starmer is set to argue that Europe must replace overdependence on Washington with interdependence inside a “more European NATO”, anchored by deeper UK–EU security ties. Downing Street stresses the US remains indispensable, but says Europe has to carry more of its own weight. (gov.uk)

The framing is economic as well as strategic. Starmer will tell delegates Europe’s economies dwarf Russia’s and that decades of fragmented planning have created gaps and duplication. The remedy, he argues, is to integrate the defence industrial base and speed up procurement so Europe’s combined output finally matches its potential. (gov.uk)

For the UK specifically, the cash commitments are sizeable. The government says defence spending will total £270bn over this Parliament - billed as the biggest uplift since the Cold War - and it is open to “innovative joint solutions” with European partners to pull forward investment and convert higher budgets into kit on the ramp. (gov.uk)

Two prior decisions sit behind today’s pitch. NATO leaders agreed in June 2025 to lift the alliance’s goal to 5% of GDP by 2035 - 3.5% for core defence and 1.5% for infrastructure and resilience - a shift that forces Europe to prioritise production and stockpiles. Separately, Starmer told MPs in February 2025 that the UK would reach 2.5% by 2027, or 2.6% including intelligence spending. (nato.int)

Jobs are central to the case. Downing Street says British defence companies employ about 239,000 people across the UK, a base ministers aim to grow via exports and co‑production. Using a different definition, MOD data shows 272,000 UK jobs were supported by MOD expenditure with industry in 2023/24 - a reminder of the sector’s regional reach into supply chains. (gov.uk)

The Norway deal shows what interdependence looks like in practice. Oslo selected the UK’s Type 26 in a £10bn programme for at least five frigates, creating a joint British‑Norwegian force of 13 anti‑submarine warships and supporting roughly 4,000 UK jobs across more than 400 companies, according to the Ministry of Defence and industry briefings. (gov.uk)

Ankara provides the other bookend. In October 2025 Turkey signed an £8bn order for 20 Eurofighter Typhoons, the first new Typhoon order since 2017, with first deliveries slated for 2030. The agreement was presented as securing thousands of UK roles while deepening defence ties with a key NATO ally. (apnews.com)

Missiles tell a similar story. MBDA’s tri‑national Future Cruise/Anti‑Ship Weapon - now a UK‑France‑Italy programme - is progressing from assessment towards demonstration, while France, Italy and the UK have ordered more than 200 additional Aster missiles to accelerate deliveries. Both moves are about closing stockpile and range gaps at pace. (janes.com)

For investors, the read‑across is longer, larger order books - and tighter delivery timetables. European industry data compiled by ASD and reported by Euronews show defence turnover rising to about €183bn in 2024 with direct employment up to 1.1m, signalling capacity is being rebuilt after years of under‑investment. (euronews.com)

Execution is the swing factor. UK programmes will compete for skilled labour and components with peers across Europe; working capital needs typically spike when lines ramp. Balance sheets at prime contractors look resilient, but many SMEs will need clearer schedules and export finance to scale without over‑stretching.

Ministers say the answer is tighter UK‑EU industrial planning: shared standards, pooled orders and faster approvals so output rises and duplication falls. If interdependence lands as intended, expect more joint bids, more second‑source manufacturing and a steadier pipeline for sub‑tier suppliers. (gov.uk)

The takeaway from Munich is straightforward: Europe is being asked to carry more of the load, and Britain wants to be central to that shift. For communities, this is about high‑value jobs; for investors, it’s about durable cash flows tied to multi‑year production. The test now moves from podiums to production lines.