Rolls-Royce pledges $398 million to expand UK aerospace and defence factories

Rolls-Royce disclosed a £300 million (US$397.9 million) plan to construct and modernise manufacturing and engineering plants for its aerospace and defence divisions throughout the UK. The bulk of the funding, exceeding £140 million, will go to Derby, where the company’s civil aerospace operations are based, to create new engineering and production capacity. An additional £150 million-plus will be spent on upgrades at facilities in Bristol, Inchinnan, Rotherham and Ansty, expanding defence-related output.

Finance minister John Healey highlighted that the programme will safeguard skilled employment, reinforce the nation’s sovereign industrial capability, and stimulate growth in local communities. The company noted it has invested more than £3 billion in the UK since 2023 and sourced over £2.8 billion from British suppliers in 2025 alone. The move follows a 46 percent rise in underlying operating profit to £2.5 billion in the first half of the year, driven by strong demand in both aerospace and defence markets.