£20m Fund Launched to Back Britain’s Next Defence Unicorn
The UK government has launched a £20 million fund to fast-track defence contracts for innovative, UK-owned startups and open new routes into the defence sector.
Announced by John Healey MP, the initiative targets firms with little or no previous MoD work and supports the Defence Industrial Strategy. It is backed by a commitment to raise MoD spending with SMEs to £7.5 billion by 2028.
Led by UK Defence Innovation, the fund will focus on priority technologies including AI, robotics, autonomy and precision weapons, alongside wider procurement reforms to simplify access for small businesses.
Plextek Selected for MoD’s £180m DDAD Framework
Plextek has been appointed to the Ministry of Defence’s £180 million Digital Decision Accelerators for Defence (DDAD) framework, supporting the British Army’s ASGARD programme to accelerate battlefield decision-making.
The company will deliver AI-enabled decision support and digital targeting capabilities, drawing on expertise in electronic warfare, radar, communications and machine learning. Plextek will work with UK partners Teleplan Forsberg and Nexor to rapidly develop and field operational solutions.
Rolls-Royce Expands mtu 199 Military Engine Range
Rolls-Royce is expanding its mtu Series 199 military engine family, extending output from 260 kW to over 1,300 kW to support new armoured vehicles and fleet upgrades.
The move follows orders for 350 mtu 8V199 engines to power Boxer armoured vehicles, placed by system integrators Rheinmetall and KNDS Deutschland, with first deliveries due in 2026.
With more than 4,500 engines delivered, the mtu 199 is the most widely used engine in its class across NATO forces. New 10- and 12-cylinder variants will boost performance while improving logistics through greater parts commonality.
Metis Launches Skyperion Lightweight C-UAS System
Lincoln-based RF specialist Metis has launched Skyperion Lightweight, a mobile counter-drone system offering near-equivalent detection performance to Skyperion Rugged in a reduced size, weight and power format.
Designed for rapid deployment and on-the-move operations, the system uses passive RF sensing and open ESM waveform analysis to detect, track and identify both cooperative and non-cooperative drones. The Skyperion family is already operational with NATO partners and integrated into the RAF’s ORCUS and Leonardo’s Falcon Shield systems.
Airframe Designs Rebrands as AFD Systems
Engineering specialist AFD Systems has rebranded from Airframe Designs to reflect its evolution into a broader advanced engineering and manufacturing business.
Founded in 2009, the Blackpool-based company has delivered over 600 projects across air, land and sea platforms, serving customers including BAE Systems, Lockheed Martin, Airbus, Boeing and Orbex.
The new name reflects expanded capabilities in systems integration, analysis and advanced manufacturing, and growing activity across aerospace, defence, space and nuclear sectors.