UK launches defence growth strategy to try to boost jobs

Market ructions and cabinet reshuffles will help shape Reeves' Budget

At a glance: Key points from government's defence strategy

Defence Secretary John Healey will announce that Cardiff, Belfast, Glasgow, Sheffield and Plymouth will receive investment to expand each of the area's military and security industries.

The government has pledged to lift defence spending to 2.5% of gross domestic product (GDP) - a measure of the size of the economy -

The UK recently won a £10bn contract to supply the Norwegian navy with at least five new warships.

The Type 26 frigates will be built at BAE Systems' Glasgow shipyards.

The deals announced as part of the defence industrial strategy will be similar to a public and private partnership in Barrow, Cumbria which is known for building nuclear submarines.

The local council, the national government and BAE Systems are investing millions of pounds in the area, which will include regenerating the High Street, building homes and improving transport links.

In June, the government published a strategic defence review which looked at the UK's military and security capabilities and made 62 recommendations to fill gaps and boost investment.

Ahead of Healey's speech, the Ministry of Defence said: "Innovation and industrial power are central to deterrence and decisive factors in war.

"The conflict in Ukraine provides a stark reminder of the imperative of the necessity for fast replenishment and resupply

ADS Group, the trade association for the defence, security, space and aerospace industries, estimates that the UK's increased spending could create up to 50,000 jobs

Clive Higgins, chair and chief executive of Italian defence contractor Leonardo told the

He added that the industry was yet to see a flow of new contracts fuelled

"That's very much the next element," said Mr Higgins. "We now need to see that demand signal from government, those contracts coming forward... to make those employment numbers a reality and give people good, sustainable jobs for the future. "

Under the defence growth deal, places such as Plymouth and South Yorkshire will receive funding. Home to the largest naval base in western Europe, Plymouth specialises in maritime autonomous systems.

South Yorkshire, meanwhile, is a key region for the research, development and engineering of high-grade components and materials such as specialist steel for gun barrels and nuclear submarines.