Labour pledges 40,000 annual defence apprenticeships to tackle youth unemployment

Labour’s defence minister highlighted a new pledge from top defence contractors, including BAE Systems, MDBA, Rolls-Royce, Babcock, Thales and Airbus, to create 40,000 apprenticeships, work-experience placements or permanent jobs for 18- to 24-year-olds each year by 2030, increasing to 50,000 by 2035. The programme aims to combat the “moral emergency” of almost one million NEETs and to spread economic growth beyond London and the south-east.

Contractors also agreed to a “no wrong door” system that guides rejected applicants to other opportunities within the supply chain. The pledge aligns with Labour’s broader strategy to boost defence spending to 2.7% of GDP, funded partly by cuts to overseas aid, and a longer-term target of 3% pending a spending review. Former defence secretary John Healey, now chancellor, signalled support but deferred a final decision until the next budget. Analysts note that achieving the 3% target may require tax increases, while former minister Alan Milburn praised the industry’s role in providing youth work experience.