Future Combat Air Programme Tempest is Poised to Drive Productivity

Future Combat Air Programme Tempest is Poised to Drive Productivity

An independent report produced by professional services firm, PwC, has confirmed the economic impact of the Tempest programme will be felt in every region of the UK, supporting an average of 21,000 jobs a year, with 70% of the programme’s value generated in the North West, South West and East of England.

The Tempest programme is expected to generate long-term high value employment, with productivity per worker 78% higher than the national average, underlining how this exciting programme can make a significant contribution to the UK Government’s levelling up priorities and the wider economy.

The programme is being delivered by Team Tempest – combining the expertise of the UK Ministry of Defence (MOD), BAE Systems, Leonardo UK, MBDA UK and Rolls-Royce. Working with international partners, the team is leading progress towards a UK-led internationally collaborative Future Combat Air System which will ensure the Royal Air Force and its allies retain world-leading, independent military capability.

Key to the success of Tempest is delivering this highly-advanced capability more rapidly and more cost effectively than ever before.

Investment by industry and MOD in research and development for Tempest will generate positive spill-over benefits for the wider economy through applications of new technologies in other sectors and driving innovation in collaboration with hundreds of companies, SMEs and academic organisations.

The PwC report confirmed the expected impact of the Tempest programme will:

  • Make an estimated £26.2bn contribution to the UK economy between 2021 and 2050*;
  • Support on average 21,000 jobs per year, from development to operational service (2026-2050);
  • Create high productivity employment with an average GVA per worker of £101,000, 78% higher than the UK national average and 42% higher than the country’s manufacturing average;
  • Support significant benefits across regional economies.

North West

  • The programme is expected to generate at least £7.9bn GVA**;
  • Will support on average 5,000 highly skilled jobs per year directly employed on the programme and in the first tier of the supply chain**;
  • Productivity 31% higher than the North West manufacturing average.

South West

  • The programme is expected to generate at least £2.7bn GVA **;
  • Will support on average 2,000 highly skilled jobs per year directly employed on the programme and in the first tier of the supply chain**
  • Productivity 24% higher than the South West manufacturing average.

East of England

  • The programme is expected to generate at least £1bn GVA **;
  • Will support on average 750 jobs highly skilled jobs per year directly employed on the programme and in the first tier of the supply chain**;
  • Productivity 60% higher than the East of England manufacturing average.

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