The agreement will pave the way for a new artillery gun barrel factory to be opened in the UK, supporting over 400 jobs and providing a nearly half-a-billion-pound boost to the British economy
On July 17, Germany and Britain are set to sign a landmark defence treaty that includes a mutual assistance clause in the event of a threat to either country. This development comes almost a year after Prime Minister Keir Starmer and then-German Chancellor Olaf Scholz issued a joint declaration promising closer cooperation on issues ranging from trade to security. The broad agreement is now being finalised, according to reports from Politico, with defence being a key area of focus.
The defence agreement underscores a significant shift among European states, including Germany under Chancellor Friedrich Merz, to work more closely together and rely less on the United States under President Donald Trump. Although both countries remain committed to NATO, this new accord highlights a growing trend towards greater European defence cooperation.
A spokesperson for the German defence ministry, when asked about the Politico report at a government press conference in Berlin, stated that there were no new developments to impart. However, negotiations between Germany and Britain on a bilateral treaty covering a broad range of areas, from defence and security cooperation to labour and economic growth, were launched in August 2024. A spokesperson for the foreign ministry confirmed that the treaty is in its final stages of finalisation, with the German cabinet expected to approve it before the end of July.
The new partnership is expected to drive significant investment into the UK. The agreement will pave the way for a new artillery gun barrel factory to be opened in the UK, supporting over 400 jobs and providing a nearly half-a-billion-pound boost to the British economy. This marks the first time in a decade that the UK will manufacture artillery gun barrels, using British steel produced by Sheffield Forgemasters.
The deal will see the UK and Germany work together systemically on a range of groundbreaking defence projects across all domains—air, land, sea, space, and cyber. This includes jointly developing new extended deep strike weapons that can travel further and with greater precision than current systems, such as Storm Shadow. The agreement will also bring the two nations’ defence industries closer than ever before, with a long-term commitment to manufacturing Boxer armoured vehicles, supporting skilled jobs across the UK. Additionally, the deal aims to support and expand complex weapons development in the UK, laying the groundwork for Sting Ray Torpedoes procurement.
New long-range strike weapons will be developed jointly to rapidly create a system that can fire even further and be more precise in its targeting than any current system. This cooperation will provide a significant boost for British industry, with a new large calibre gun manufacturing facility in the UK supporting over 400 jobs. The facility is planned to use British steel, bringing a nearly half-a-billion-pound economic boost to the UK over 10 years.
The armies of both nations will train and exercise more together, using the Eastern Flank as a catalyst for developing new ways of fighting. This cooperation will also extend to land-based projects, including collaboration on Boxer armed vehicles and the initiation of land-based drone projects. Protecting critical underwater infrastructure will be another area of focus, with joint efforts to safeguard vital seabed cables in the North Sea. This includes exploring new offboard undersea surveillance capabilities to improve detection of adversary activity.
German P8 aircraft will periodically operate out of Lossiemouth in Scotland to help protect the North Atlantic. The agreement also includes the development of new drones that can operate alongside fighter jets and other military forces. Additionally, there will be exploration and development of new Maritime Uncrewed Air System capabilities.
Support for Ukraine remains a key component of the agreement, with joint work to enable German Sea King helicopters to be armed with modern missile systems and to develop capability coalitions. The deal also includes collaboration with partners to integrate air defence systems to better protect European airspace against the threat of long-range missiles, building on agreements made at the NATO Defence Ministers meeting.
The agreement is a significant step in the UK government’s commitment to reset relations with European allies and bolster national security. It will be signed less than 100 days after the Defence Secretary visited Berlin to initiate negotiations in July and represents the first pillar in a wider UK-Germany treaty pledged by Prime Minister Keir Starmer and Chancellor Olaf Scholz in August.