UK £80m defence skills fund opens 10 Feb; North urged to bid
“Our Armed Forces are only as strong as the industry that stands behind them,” said Defence Minister Luke Pollard in Portsmouth as he unveiled an £80 million fund to grow engineering and computing talent for defence. Universities and colleges in England are expected to be able to bid from Tuesday 10 February 2026. (gov.uk)
Of the £80 million, £50 million will fund around 2,400 extra student places over six years, while £30 million will modernise labs and teaching space. The bidding window is expected to close on Friday 20 March, with results due in May and places starting in the 2026/27 academic year. It’s the largest single slice of the £182 million Defence Industrial Strategy skills package. (gov.uk)
For the North West and North East, the pressure point is people. BAE Systems now has a record 6,800 young people in training across the UK and plans to bring more than 1,400 new apprentices and graduates to the North in 2026, with around 2,300 early‑career hires nationwide, according to the North West Aerospace Alliance. (aerospace.co.uk)
In Greater Manchester, MBDA is expanding its Bolton complex‑weapons site with a £200 million programme that will more than double the footprint by 2028 and create about 700 jobs, alongside a steady stream of apprenticeships and degree‑level roles. Recent 2026 apprenticeship intakes at the site have already closed, underlining the pace of demand. (mbda-systems.com)
South Yorkshire’s research base looks well placed. Sheffield’s Advanced Manufacturing Research Centre and Training Centre work with BAE and Boeing on advanced manufacturing and skills, and Northumbria University holds National Cyber Security Centre recognition as an Academic Centre of Excellence in Cyber Security Research - a strong platform for bids that strengthen defence cyber. (sheffield.ac.uk)
Ministers say the money is aimed squarely at engineering and computer science courses where industry need is sharpest. The MOD, already the UK’s largest provider of apprenticeships with more than 24,000 supported last year, wants that momentum to flow through universities and FE partners into northern supply chains. (gov.uk)
The fund will be run by the Office for Students. Applications are expected to open on Tuesday 10 February and close on Friday 20 March 2026, with successful bids likely named in May so places can begin in 2026/27. Providers that move quickly - especially those with defence employers ready to co‑design modules - will be best placed. (gov.uk)
Expect a push for collaboration. A new Defence Universities Alliance is being set up, and ministers say intent to join will count in grant decisions, favouring bids that link universities, FE and local defence firms so courses lead to real jobs. (gov.uk)
Industry has been blunt about the gap. “Demand for apprenticeships and graduate roles continues to outstrip supply,” said ADS Group chief executive Kevin Craven, welcoming the £80 million as a necessary step towards rebuilding the talent pipeline. (gov.uk)
The Government also frames this as part of a bigger shift, saying defence spending is on course for 2.6% of GDP by 2027 - billed as the largest sustained increase since the Cold War - which means programmes in Barrow, Samlesbury, Warton and Bolton will keep needing skilled people well into the 2030s. (gov.uk)
For universities and colleges across the North, the immediate task list is familiar: shape proposals around clear employer demand and regional need, and line them up against Local Skills Improvement Plans - an emphasis the Office for Students has highlighted in other capital rounds. (find-government-grants.service.gov.uk)