The Ministry of Defence has confirmed the transfer of £50 million in capital funding to the Team Plymouth consortium under the city’s Defence Growth Deal.
Defence Minister Lord Vernon Coaker announced the funding release at the LifeIn AI 2026 conference at Devonport Market Hall. The allocation forms part of a broader financial package expected to attract £34 million in private sector co-investment and regional grants.
The capital will fund industrial development and job creation across the maritime sector, including the establishment of the National Centre for Marine Autonomy. The research and testing facility is projected to create 120 positions and house more than 30 technology companies, start-ups, and scaling businesses.
Concurrently, local partners confirmed the launch of the £1.5 million Get Plymouth Working scheme. The initiative aims to transition 500 individuals, focusing on military veterans and young people aged 18 to 25, into employment across defence, advanced manufacturing, engineering, and construction.
Minister Lord Vernon Coaker said: “It’s an investment into Plymouth, the economy and the fabric of Plymouth. The £50m has been transferred to Plymouth to be spent the way it sees fit, in the way the Government sees fit but for Plymouth to make its own decisions. We have never been more confident that Plymouth’s best years lie ahead.”
Luke Pollard, MP for Plymouth Sutton and Devonport, said: “This Labour government has already doubled investment in HMNB Devonport to £7.1bn over the next decade. The allocations announced within the £50m growth deal mean we can now crack on with skills, investment and growth. That’s great news for our city.”
The Defence Growth Deal builds on existing public sector investment across Plymouth and the South West, where Ministry of Defence procurement spending reached £6.6 billion in 2024/25. The funding sits alongside a parallel £7 billion infrastructure upgrade programme at HMNB Devonport and includes commercial regeneration plans for the Turnchapel waterfront.
Image source: GOV.UK
