Paul Everitt, Chief Executive of ADS Group responds to today’s Defence and Security export figures
Following today’s publication of export statistics for 2015 by UKTI DSO, Paul Everitt, CEO of ADS says:
“Today’s UKTI DSO figures show that the UK’s Security industry continues to grow at a significantly faster pace than the wider economy. It demonstrates that UK firms are well-placed to deliver the solutions required at home and by international customers in response to the challenging and rapidly evolving threat environment. Through greater collaboration with Government, there is scope for the Security industry to increase still further its share of the international market.
“Although today’s figures for Defence exports are down on last year, on a ten-year rolling basis the UK continues to be Europe’s leading defence exporter and second globally.
“The Defence and Security industries make a direct and valuable contribution to national security and prosperity. The Defence Growth Partnership is supporting close collaboration between industry and government. This is encouraging increased investment in skills, technology and innovation, helping to give UK businesses an advantage in highly competitive global markets.”
Overview of the UKTI DSO figures 2015:
Defence
- The UK won £7.7bn worth of new business in 2015 (down from £8.5bn in 2014; in line with average defence exports 2010-2014).
- UK share of £63bn global defence export market was estimated at 12%.
- The UK is one of the world’s most successful defence exporters, averaging second place in the global rankings on a rolling ten-year basis, making it Europe’s leading defence exporter in the period.
- The UK is the tenth biggest defence importer in the past ten years, having previously been ranked eighth (for the 2005-14 period).
- Middle East continued to be the UK’s largest market in 2015, with 63% of exports (by orders/contracts signed 2015) to the region. This was followed by North America (16%), Asia Pacific (13%) and Europe (8%).
- UK remains heavily dependent on its air sector, with aerospace accounting for 88% orders/contracts signed in 2015.
Security
- UK security export sales were worth £4bn (up from £3.4bn in 2014) - this represents an increase of 18% in exports between 2014 and 2015, compared with an 11% increase between 2013 and 2014.
- Cyber is capturing a growing share of this market and accounted for £1.8bn of this year’s total figure, around 45%.
- UK share of global security export market in 2015 was 5%.
- The UK was ranked 6th largest security exporter during 2015.
- The leading UK security export destinations were the USA (21%), China (13%), Japan (7%) and India (6%).