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UK finance, defence trade bodies explore funding blueprint for arms race

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Top trade bodies for Britain's financial services and defence industries met on Wednesday to craft a wishlist of policy reforms they say could drive more debt finance and equity capital towards Britain's defence sector,
The UK's finance and defense sectors are collaborating to develop a funding blueprint aimed at enhancing the country's defense capabilities in response to global security threats. This initiative, spurred by the need to keep pace with an arms race, involves discussions between the City of London Corporation, ADS Group, and the UK Ministry of Defence. The focus is on creating innovative financing models to support defense projects, especially in light of the UK's commitment to increase defense spending to 2.5% of GDP. The blueprint seeks to address funding challenges for both large-scale and smaller, innovative defense projects, ensuring the UK remains competitive in defense technology and manufacturing. This comes at a time when geopolitical tensions, particularly with Russia and China, are escalating, necessitating a robust and agile defense strategy.

Read the Full Reuters Article at:
[ https://www.reuters.com/world/uk/uk-finance-defence-trade-bodies-explore-funding-blueprint-arms-race-2025-03-05/ ]