Commons Sense

House of Commons · Ministers' Questions

R&D Defence Spending: Economic Impact

Monday 2 February 2026 · 2 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 1 Partly answered 1 Not answered 0

Key points

  • The Government assess that defence R&D spending has significant positive impacts on the economy through job creation and the development of new technologies.
  • The Minister acknowledged the campaign for a new drone centre at the Dorset Innovation Park, recognizing its potential to create good jobs and support the defence ecosystem.
  • The Government are investing in defence technologies with dual-use potential to benefit both military preparedness and the broader economy.

Topics (select to filter)

Questions & Answers

Q1 Bobby Dean Lib Dem Carshalton and Wallington
Defence Economy
Context

The MP asked about the economic impacts of defence R&D spending, referencing job creation and private investment attraction. He noted that new technologies have spill-over effects beneficial to Britain's prosperity.

Question

What assessment has been made of the potential impact of research and development defence spending on the economy? The Minister will know that investment in defence R&D has tremendous impacts not only through jobs and crowding in private investment but also through new technologies helping Britain to prosper. Would issuing defence hypothecated bonds therefore make a brilliant return for the British taxpayer?

Answer from The Minister for Defence Readiness and Industry (Luke Pollard)

Defence innovation has considerable positive spill-over effects on the wider economy. The Government are investing in technologies with dual use potential, not just to equip our forces but also to provide benefits for the broader economy. While defence hypothecated bonds were not directly addressed, the Minister welcomed support for defence innovation and investment.

Partly answered

Not addressed: The specifics of issuing defence hypothecated bonds and its economic return were not directly addressed.

How: Welcomed Support, Not Directly Addressed

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Q2 Lloyd Hatton Lab South Dorset
Defence Employment
Context

The MP is campaigning for the establishment of a drone centre at the Dorset Innovation Park, which hosts an ecosystem for testing and developing drone technology. He highlighted existing educational resources in Bournemouth, Poole, and Weymouth as necessary to support this initiative.

Question

My hon. Friend the Member for Bournemouth West (Jessica Toale) and I have been campaigning for a new drone centre to be designated at the Dorset Innovation Park. The park already hosts a strong defence ecosystem for testing, developing, and researching drone technology, alongside well-established colleges and universities in the area offering relevant skills. Will the Minister continue to work with me and all stakeholders to establish this drone centre, which will help strengthen national security and secure good jobs?

Answer from The Minister for Defence Readiness and Industry (Luke Pollard)

I recognise my hon. Friend’s ambition to see innovative technologies like drones creating good jobs in his community. He has been speaking not only to me but also to the Minister for the Armed Forces who leads on drones, and I wish the businesses in his constituency and the wider region well as they innovate to provide our armed forces with necessary equipment.

Answered
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