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A new report from Sheffield-based FourJaw Manufacturing Analytics has put a number on what many operations directors have long felt: UK factories are sitting on huge untapped capacity. The headline figure? £129 billion in extra annual output. This could be unlocked simply by making better use of existing factory data.
On 4 March 2026, Rolls-Royce Power Systems and Polska Grupa Zbrojeniowa (PGZ) signed a key deal in Warsaw. This memorandum of understanding marks a big step in Rolls-Royce's push into one of Europe's fastest-growing defence markets. For [UK aerospace manufacturing](https://leaniq.io/blog/uk-aerospace-deliveries-backlog-supply-chain-surge-2026) businesses, this deal shows how leading OEMs are positioning for the European rearmament cycle.
Britain's manufacturing sector faces a generational crisis. The average owner of a small machine shop is now over 65 years old. Nearly 40% plan to retire within five years. At the same time, defence and aerospace companies need more production capacity. Reshoring is speeding up. Geopolitical tensions are driving record demand.