Business leader says skilled workers can engineer new future in global market

By LBV

28 Sep 2011

In total, nearly 3,000 jobs will be lost in the UK from a workforce of around 40,000 as BAE faces cuts in world defence budgets and a slowing in demand.

We survey the views of business leaders in Lancashire:

Mike Damms, chief executive of East Lancashire Chamber of Commerce said:

“This is not a re-run of the end of the coal industry. There will be no ghost towns created and there is a global market that our engineers are servicing – we need to continue to seek out these new opportunities in order that our highly skilled workforce can continue to contribute to the county’s economic well-being.
“The county must hold its nerve. Manufacturing employs 100,000 people in Lancashire in a variety of sectors.
“We must also remain optimistic as we re-balance our civil and military engineering capacity.”

Dr Neil Bentley, CBI Deputy Director-General said:

“Job losses on this scale would clearly be a blow to UK manufacturing, and for the individuals concerned and their families.
“With tighter government defence budgets both at home and abroad, the competitive pressure on companies is fierce.
“This announcement highlights why the Government must publish its Defence White Paper at the earliest opportunity. It needs to set out how it will work with industry, so all companies across the defence supply chain can plan with confidence and choose to invest here.”

Martin Wright, chief executive of the Northwest Aerospace Alliance (NWAA), said:

“The Eurofighter Typhoon jet has received orders for more than 550 aircraft from the four partner nations (UK, Gernamy, Italy and Spain) as well as from Austria and Saudi Arabia. Future export orders are being developed in India, Malaysia, Oman and Japan. However, it seems that production of the Typhoon is to be slowed because of the gap between existing orders and those future export orders.
“This slowing down of production, and thereby extending the production run, will help BAE Systems maintain capability whilst it secures those future export orders and the long-term future of Typhoon. BAE Systems is a vital component of the regional economy and today’s announcement is designed to ensure they remain competitive in a difficult global market and widespread budget cuts.
“The loss of these jobs will be devastating for the families involved and will significantly impact the wealth of the regions. These advanced engineering jobs create real value through research and development and manufacturing technologies. Today’s news would seem to be a step backwards for the rebalancing of the UK economy towards high technology and advanced manufacturing.”
“To put the UK back on track, the aerospace and defence industry need significant support for export of existing products and the development of new products such as unmanned air vehicles.”
But he added that whilst there is a period of uncertainty for the supply chain following the announcement, the civil side of the aerospace market is seeing significant growth with some of the largest aircraft orders ever having been announced in 2011.

Keith Gallagher, North West director for the Recruitment and Employment Confederation, said:

“This is the worst news possible and a significant blow to the region's economy with the cuts also bound to affect firms within the supply chain.
“We certainly cannot allow such high value, well trained and educated workers go to waste and we call on the Government, who want to see a UK Plc growth-led recovery, do all it can to support the new generation of high-tech engineering companies to expand and absorb these skilled workers.”

Enjoyed this? Read more from LBV

Latest news

1

Swim school makes splash with double award success Jo Gribben

Swim school makes splash with double award success

26 Jun 2026

2

BAE Systems donates £50,000 to support Armed Forces community Blackpool Football Club gets support from BAE Systems

BAE Systems donates £50,000 to support Armed Forces community

26 Jun 2026

3

Landmark moment for Eden Project Morecambe Landmark moment for Eden Project

Landmark moment for Eden Project Morecambe

25 Jun 2026

4

Preston consultancy joins growing national group Senior Representatives From Enevo And Aegis

Preston consultancy joins growing national group

25 Jun 2026

5

Chamber chief to step down Miranda Barker

Chamber chief to step down

23 Jun 2026

Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
LBV129 July/August Magazine Networking Event
Nov/Dec Networking Event
Networking
16 Jul 2026

LBV129 July/August Magazine Networking Event

Brysdales, Britannia Buildings Drumhead Road, Chorley, PR6 7BX

16:00 - 18:00

LBV130 September/October Magazine Networking Event
Jan/Feb Networking Event - Entrance
Networking
17 Sep 2026

LBV130 September/October Magazine Networking Event

The Beehive Blackburn, Shadsworth Business Park, BB1 2Q

08:30 - 10:30

LBV131 November/December Magazine Networking Event
Jan/ Feb Networking Event - Talking
Networking
19 Nov 2026

LBV131 November/December Magazine Networking Event

Lancashire

08:30 - 10:30

Chamber Breakfast Networking - July
LBV Hub Networking
02 Jul 2026

Chamber Breakfast Networking - July

The Longlands Hotel, Carnforth, LA6 1JH

08:00 - 10:00

How hackers target SMEs - and how to protect your business
Lancashire_gamesdesign_Feb26-2120.jpg.jpg
LBV Hub Seminars
02 Jul 2026

How hackers target SMEs - and how to protect your business

Engineering Innovation Centre, Preston, PR1 2XS

09:30 - 11:30

The AI Lab: Marketing Multiplier
Event post 03.07.png.png
LBV Hub Seminars
03 Jul 2026

The AI Lab: Marketing Multiplier

Door4, Burnley Wharf, Manchester Road, Burnley, BB11 1JG

09:00 - 11:30

Clubhouse Business Network sponsored by Orca Finance - July 2026
padel-networkpng.png.png
LBV Hub Networking
09 Jul 2026 - 09 Jul 2026

Clubhouse Business Network sponsored by Orca Finance - July 2026

Clubhouse, Blackburn, BB1 3NT

14:00 - 16:00

Chamber Summer BBQ
LBV Hub Social
09 Jul 2026

Chamber Summer BBQ

The Borough , Lancaster, LA1 1PP

17:30 - 20:00

Society1 Breakfast Social and Coworking Day
LBV Hub Networking
09 Jul 2026

Society1 Breakfast Social and Coworking Day

Society1, Coworking Space, Preston, PR1 3LT

09:00 - 17:00

July Preston Tech Connection Hot Takes
PTC Square July (900 x 900 px).png.png
LBV Hub Networking
15 Jul 2026

July Preston Tech Connection Hot Takes

Society1, Coworking Space, Preston, PR1 3LT

18:00 - 19:03

Preparing for the changes to unfair dismissal
Logo.jpg.jpg
LBV Hub Seminars
15 Jul 2026

Preparing for the changes to unfair dismissal

The Longlands Hotel, Carnforth, LA6 1JH

08:00 - 10:00

Achieving more with your money: Your options at retirement
LBV Hub Seminars
16 Jul 2026

Achieving more with your money: Your options at retirement

Accrington Stanley Football Club, Accrington, BB5 5BX

17:55 - 17:55

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV124 Online Graphic
Subscribe now

Weekly news bulletin