Rolls-Royce Commits £300m in the UK for Manufacturing

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Tufan Erginbilgic, Rolls-Royce CEO. Credit: Tufan Erginbilgic/ LinkedIn
CEO Tufan Erginbilgic comments on the milestone as part of an ongoing strategic transformation for the manufacturing giant

As part of a transformation programme announced in 2023, Rolls-Royce has invested £300m (US$397.6m) into its manufacturing and engineering facilities, boosting UK growth for Rolls Royce’s Civil and Aerospace Defence business. 

Since the programme’s launch, Rolls Royce has already committed £3bn (US$3bn) to the UK. 

The investment signals a renewed commitment to the company’s home turf, where it was incorporated in 1906. 

Strategic investment across the UK 

The £300m (US$397.6m) is split into various investments across the UK, with the most focus on manufacturing capabilities in the north of England. 

The company’s Civil Aerospace operations are based in Derby, which will receive more than £140m (US$185.5m) - the largest of the investments. 

Today's announcement shows that confidence in our country is growing and that world-leading British firms are investing for the future.”

Rt. Hon John Healey MP, Chancellor of the Exchequer

As well as improving the facilities and overall performance of the sites, the company notes the capital in the aftermarket will also support employment opportunities in the area as it increases capacity.

Works there are expected to be completed in two years. 

In Glasgow, Scotland, a £43m (US$57m) funding injection will implement machinery designed to produce next-generation engine components. 

Meanwhile, Rolls-Royce is dedicating £19m (US$25.2m) to its Advanced Blade Casting Facility in Rotherham. 

Bolstered by an extra £2m (US$2.65m) contribution from the South Yorkshire Mayoral Combined Authority, this Rotherham project will elevate site capacity, effectively doubling its production of vital jet engine turbine blades by 2030. 

Additionally, the firm is directing £5m (US$6.6m) toward equipment modernisations in Warwickshire, driving operational efficiency and boosting manufacturing potential.

Key facts
  • Rolls-Royce has already committed £3bn (US$3bn) to the UK since the announcement of a new strategic direction in 2023
  • The company’s Civil Aerospace operations are based in Derby, which will receive more than £140m (US$185.5m)
  • The total investment amount is £300m into the UK (US$397.6m)
  • In Glasgow, Scotland, Rolls-Royce will be dedicating £43m (US$57m)
  • Rolls-Royce is dedicating £19m (US$25.2m) to its Advanced Blade Casting Facility in Rotherham

Bristol, which the company describes as “the home of UK military power and propulsion”, will also focus on improving operational efficiency, alongside digital security and a focus on output for customers. Rolls-Royce is investing £90m (US$119.31m) for this. 

Tufan Erginbilgic, CEO of Rolls-Royce, comments: “Our manufacturing facilities in the UK are home to the very best of British engineering talent. This £300m investment is a clear statement of our intent. Rolls-Royce is committed to growing the UK’s advanced manufacturing sector and we are proud to be building infrastructure needed to power Britain's future.

“World-class facilities across the UK will ensure that Rolls-Royce remains a global leader in both commercial aviation and sovereign defence, while supporting thousands of highly skilled jobs both directly and through our supply chain.”

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The long-term commitment will also support Rolls-Royce’s partners in engineering across the UK, in addition to component manufacturers and SMEs. 

Rolls-Royce spent more than £2.8bn (US$3.7bn) with UK-based suppliers in 2025, focussed largely outside the capital and the South East. 

Rt. Hon John Healey MP, Chancellor of the Exchequer, says: “This £300m (US$397.6m) investment by Rolls-Royce is a powerful vote of confidence in Britain's future and in the economic stability this Government is delivering. 

“From Derby and Bristol to Rotherham, Glasgow and Warwickshire, it will back skilled jobs, strengthen our sovereign industrial capability, and help drive growth in communities across the UK. 

“At a time of increasing global competition, Britain must be the best place in the world to invest, innovate and build. 

“Today's announcement shows that confidence in our country is growing and that world-leading British firms are investing for the future.”

Chancellor of the Exchequer, John Healey. Credit: UK Government

Rolls-Royce partners:
BMW: Upon acquiring the Rolls-Royce Motor Cars brand, BMW Group committed to building a new manufacturing facility in England, selecting Goodwood in West Sussex. BMW Group intended the headquarters to reflect the brand's heritage while minimising environmental impact.

Škoda JS: Rolls-Royce SMR has selected Czech manufacturer Škoda JS to supply critical nuclear island components for its Small Modular Reactor initiative. The agreement tasking Škoda JS with pre-production activities – such as early vendor engagement, design refinement, production preparedness and constructing the reactor pressure vessel hull – will reinforce local supply chains and guarantee delivery reliability for upcoming SMR installations, including ČEZ’s project at the Temelín power plant.

Doosan Enerbility: Rolls-Royce SMR has chosen global manufacturer Doosan Enerbility to supply essential nuclear island technology, such as reactor pressure vessels, for its Small Modular Reactor deployment. Forming part of a dual-sourcing strategy aimed at minimising project exposure, Doosan Enerbility will execute design refinements, vendor engagement, and production preparedness. 

Ministry of Defence: Rolls-Royce has secured the Unity contract with the UK Ministry of Defence, marking the biggest deal in the company's history. Designed to bring submarine ventures under a single portfolio, the strategic agreement will advance reactor plant design, delivery and lifecycle support for the Royal Navy. 

Siemens Energy: Siemens Energy entered a strategic partnership with Rolls-Royce SMR to serve as the exclusive supplier of conventional “power island” technology for Generation 3+ Small Modular Reactors. Siemens Energy will provide steam turbines, generators and auxiliary systems for the 470-megawatt modular nuclear power plants.

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