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Britain 'must spend more on defence' |
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Wednesday, 27 August 2008 |
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Britain could lose its dominant position in the international aerospace and defence market unless it invests more money into the future.
Britain has been warned that it risks losing its market leading influence in the sphere of international defence unless it makes spending and investment a bigger priority, it has been reported.
According to Mike Turner, chief executive of BAE Systems - Europe's largest aviation and defence company - urged politicians to restructure the government's defence budget and increase spending or risk losing its say.
Speaking to the Financial Times in one of his last interviews as chief-executive of Britain's largest defence contractor, he said that there are many benefits that come out of having strong armed forces.
"It's right for the country to keep the armed forces strong, you get listened to in the world. It's also good for jobs, for skills, for technology and for exports," he said.
BAE Systems has achieved great success in the lucrative US defence market in recent years - it now represents 50 per cent of the company's total revenues.
The company was recently selected as a prime contractor on the US Air Force's future flexible acquisition and sustainment tool contract, which is worth up to $6.9 billion (£3.7 billion).
Mr Turner warned that British defence companies could be urged to move abroad to countries such as the US if defence spending and priorities remain low in the UK. |
