Concern grows over GCAP fighter jet funding

By Ged Henderson

12 May 2026

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Fears have been expressed that the £24bn Global Combat Air Programme (GCAP) - seen as vital for the future of thousands of Lancashire defence workers – is under threat.

The sixth-generation stealth fighter project may be axed to fill a Ministry of Defence £28bn ‘black hole’, according to The Sun newspaper.

It quotes sources saying that defence secretary John Healey has been told by military chiefs scrapping GCAP offers the number one solution to the funding problem.

It says cancelling orders for 90 more £100m US F-35 jets or mothballing a Royal Navy aircraft carrier are other options that have been considered.

Separate media reports have revealed that GCAP faces a 10-week funding deadline, with a warning that companies involved in the programme, including BAE Systems, could be forced to redeploy engineers if long-term contracts are not finalised.

The current funding arrangement keeping Britain’s part of GCAP alive expires at the end of June, creating a roughly 10-week deadline for the UK government to finalise longer-term contracts for the project.

BAE Systems executive Herman Claesen has been quoted as saying that companies involved in the project would have “no choice” but to contain costs and redeploy people if there was no money flowing, meaning those currently working on GCAP would be reallocated to other projects.

The UK government’s £686m bridge funding for GCAP expires at the end of next month. More than 4,000 workers across defence giants BAE Systems, Rolls-Royce and Leonardo are currently working on the project in Britain.

The UK is a partner with Italy and Japan on the programme to develop the fighter and accompanying systems, with much of the early work taking place at BAE Systems’ Lancashire plants at Warton and Samlesbury.

The design of the UK’s flagship Combat Air Flying Demonstrator – a crucial part of the project - was unveiled last summer.

It was revealed that aircraft’s main structure, wings and tail fins were taking shape using pioneering robotic and digital manufacturing and assembly technologies at Warton and Samlesbury, signifying the advanced stages of its development.

Designed to test a wide range of new technologies, including the integration of stealth compatible features, the Combat Air Flying Demonstrator is a crucial part of the work to develop manufacturing processes and de-risk the GCAP programme.

The demonstrator is expected to fly by the end of 2027 with the GCAP programme targeting a 2035 entry into service.

However, The Sun report quoted an insider saying: “The strategic reasons for continuing GCAP are the alliances with Japan and Italy.  But if you think the threat is now, you need weapons now.

“Do you want an unproven aircraft with a pilot that won’t be ready until the 2040s?”

The MoD told the newspaper: “GCAP is vital to our military capability, international relationships, Nato commitments and sustaining our world-class defence industrial base.”

In February, Lancashire Business View reported union leaders’ warnings that Prime Minister Keir Starmer and his government’s “dither and delay” over military spending was putting Britain’s security and thousands of defence jobs at risk.

Unite, which represents defence workers at BAE Systems plants in Lancashire, issued a damning statement on delays to the publication of The Defence Investment Plan (DIP).

The plan was originally expected to be published alongside the Strategic Defence Review last summer but has been delayed several times.

Speaking last month Unite general secretary Sharon Graham, repeated the call for the plan to be published without further delay.

She said: “Our defence workers should be treated are a strategic national asset and when the much-delayed defence investment plan is finally agreed, the money must be spent in the UK.

“Failing to preserve and protect their skills and experience of these workers would mean throwing away vital know-how for defence projects. At best, this would be an extremely time-consuming and expensive mistake.”

A BAE Systems spokesperson said: “Work continues at pace on the Global Combat Air Programme and the signing of the first international contract is a welcome next step.

"We remain committed to playing our part in delivering this complex and vital military capability and working with all partners to ensure the right foundations are in place.”

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