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Rolls-Royce to power economic growth and boost advanced manufacturing through transformative jet engine technology programme | Rolls-Royce

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The UK Government and Rolls-Royce (LSE: RR., ADR: RYCEY) have announced plans for a joint 10-year, £2.5bn research and technology programme to develop cutting-edge gas turbine technologies for civil and defence aerospace, unlocking the biggest opportunity to transform advanced manufacturing across the UK for a generation.

The programme would advance more efficient and lower-emission jet engine technologies – as Rolls-Royce looks to secure a UK engine position on the next generation of commercial aircraft in the fast growing, high-volume, ‘narrowbody’ market segment – including through an engine demonstrator project. It would also sustain vital development and testing capabilities, strengthening national resilience by supporting the UK’s critical sovereign capabilities in defence aerospace.

New narrowbody aircraft – also known as ‘single-aisle’ planes – are expected to enter commercial service in the mid-to-late 2030s, with manufacturers selecting engine partners over the next few years, in anticipation of potential aircraft launches around the turn of the decade.

The UK Government’s Industrial Strategy highlights the narrowbody market as the single biggest growth opportunity in aerospace over the next 50 years. Securing a UK engine position on these aircraft could lead to billions more being invested in the UK over subsequent decades, adding £120 billion to the UK economy over the lifetime of the programme. Success could create tens of thousands of highly skilled jobs at Rolls-Royce and across the country’s advanced manufacturing supply chain, and lead to the construction of new globally competitive advanced manufacturing facilities and factories.

Tufan Erginbilgic, CEO, Rolls-Royce, said:

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This is a landmark moment for the UK’s aerospace industry. This is a once-in-a-generation opportunity to lay the foundations for decades of sustainable economic growth across the UK, creating high-value jobs and transforming the country’s advanced manufacturing supply chain. Aerospace is a growing and globally attractive market and this programme with Government is vital to enable the UK to compete. Working together, we can also sustain the nation’s capability to power military aircraft and secure its position as one of only two countries that can design, develop, make and service the jet engines that power the world’s commercial airliners.”

Delivering the initial stages of the plan, which is subject to a final agreement being reached, will support 3,300 UK jobs at Rolls-Royce and supply chain partners by the end of 2029. Securing a UK engine position on new narrowbody aircraft would create tens of thousands more. As a result, Rolls-Royce and the Government will work together on a jobs and skills development plan to provide the necessary pipeline of future talent. The investment plan will also benefit the UK’s academic institutions, with university departments carrying out new research.

The transformation of Rolls-Royce over the past three years has made the company a stronger partner for the UK Government, which has a strong track record of supporting aerospace, and the company expects to invest significantly more than the Government across the narrowbody programme. Rolls-Royce is one of only three companies in the world that can offer the end-to-end capabilities needed to design, manufacture and service such an engine.

If Rolls-Royce’s narrowbody engine technologies are chosen by airframers, its stated ambition is to re-enter the market in partnership. It will select sites in the UK for new state of the art facilities for the assembly and test of the new engine and increase its advanced manufacturing capacity to make many of the high-tech components required. These include high pressure turbine blades – which are at the heart of a jet engine – and advanced composite fan blades. New factories will also need to be built by the UK supply chain as Rolls-Royce and Government work together to maximise the opportunity for homegrown suppliers.

About Rolls-Royce in the UK

Rolls-Royce currently works with communities in all four nations and every English region, supporting more than 73,000 UK jobs including 23,000 at its own 37 sites. Rolls-Royce spends over £2bn with more than 1,350 British suppliers and makes a £7.4bn economic contribution through its operations, with an additional £4.4bn in productivity-boosting R&D spillover effects. Approximately 80% of what Rolls-Royce makes in the UK is sold overseas, generating £8bn in annual export value for the UK and accounting for £1 in every £50 of all UK goods exported. Its most successful large commercial jet engine, the Trent XWB, is made in Derby and has already generated more than £30bn in UK export values.

Imagery is available for download from: https://flic.kr/s/aHBqjCM65r 

Find out more about Rolls-Royce in the UK.


About Rolls-Royce Holdings plc
  1. Rolls-Royce is a force for progress; powering, protecting and connecting people everywhere. Our products and service packages help our customers meet the growing need for power across multiple industries; enable governments to equip their armed forces with the power required to protect their citizens; and connect people, societies, cultures and economies together.
  2. Rolls-Royce has a local presence in 47 countries and customers in over a hundred more, including airlines and aircraft leasing companies, armed forces and navies, and marine and industrial customers.
  3. Through our multi-year transformation programme, we are building a high-performing, competitive, resilient and growing Rolls-Royce. We are building the financial capacity and agility to allow us to successfully develop and deliver the products that will support our customers through the energy transition.
  4. Annual underlying revenue was £20.1 billion in 2025, and underlying operating profit was £3.46 billion.
  5. Rolls-Royce Holdings plc is a publicly traded company (LSE: RR., ADR: RYCEY, LEI: 213800EC7997ZBLZJH69).

www.rolls-royce.com

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