The UK Defence ESG Charter brings together organisations committed to improving environmental, social and governance (ESG) performance.

The latest annual report, provides ESG performance data and case studies that showcase how Charter signatories are strengthening partnerships to develop skills, support communities and create opportunities across the country.

Here are three initiatives showcased in the report…

CASE STUDY: BAE SYSTEMS

LOCAL IMPACT BAE SYSTEMS IN BARROW

Barrow-in-Furness is home to BAE Systems’ submarine operations. One in three people of working age in the town works for BAE Systems or a business in its supply chain. This number is set to increase as requirements for new and more advanced submarines double the capacity of the current facilities.

To support the delivery of the submarines and the transformation of the town and the surrounding area, in 2024 the Team Barrow partnership was formed. This collaboration between the UK Government, BAE Systems, and Westmorland and Furness Council will help oversee the delivery of £200m through the Barrow Transformation Fund. The Fund will focus on investments in new housing, renewal of the town centre and education projects.

The submarine programmes at Barrow have already led to investments in engineering and manufacturing skills, education outreach focusing on science, technology, engineering and maths (STEM) and community outreach and recruitment services. This work aims to upskill the local workforce and equip young people to work at BAE Systems or at a supplier.

In 2018 the Company invested £25m opening the Submarine Academy for Skills and Knowledge (SASK). The facility supports the professional development of around 2,500 people a month and acts as a hub for lifelong learning, including apprentice and graduate schemes.

A new community space, The Bridge, at the town centre’s Portland Walk Campus is providing education outreach as well as information about local employment and training with BAE Systems, the Submarine Delivery Agency and other employers. Work on the Portland Walk Campus is taking place alongside the creation of the Barrow Learning Quarter which includes the University of Cumbria’s new university campus with upgraded and expanded facilities at Furness College’s Sixth Form. The Company is also sponsoring bespoke scholarships in Mechanical Engineering and Computer Science, working in partnership with the university.

CASE STUDY: RED SCIENTIFIC REPLY

PROVIDING UP-TO-DATE TRAINING TO EMPLOYEES ON EXPORTS CONTROLS

Governance in the defence sector is often synonymous with scrutiny, yet for RED Scientific Reply, the mandate was clear. The expert defence engineering consultancy embarked on a journey to continually improve its export controls and staff training. This training ensured all personnel in the SME understood export regulations, protecting sensitive technologies and national interests while maintaining compliance with government and Export Control Joint Unit (ECJU) licensing requirements. Implementing this vision was an efficient process, delivered through a structured, multi-faceted programme that blended online learning with face-to-face workshops and rigorous, step-by-step technical run-throughs tailored to exports.

The shift has been palpable. Staff members quickly developed an even stronger sense of awareness of controlled items, end-use verification, and international trade restrictions. In return, compliance audits improved, and the threat of potential breaches could be significantly reduced. With a strengthened reputation for reliability and compliance, the eligibility for government and defence contracts became a less time-consuming task. In an era where reputation is as critical as capability, RED Scientific Reply has demonstrated that investing in the “G” of ESG is a vital route to securing long-term government partnerships and sustaining responsible business practices

CASE STUDY: SAAB UK

SAAB INNOVATION NETWORK

With the Saab Innovation Network, anchored at Imperial College London’s White City Campus, Saab UK has taken a different approach to attracting the UK’s human capital pipeline. At the heart of this initiative is the ‘Triple Helix’ model, a symbiotic arrangement of academic, industry and government.

Each of the up to 10 PhD candidates funded by the network so far have been given the opportunity to link up their innovative research areas in emerging technologies with Saab’s own research capabilities. For instance, Saab has installed the UK’s first Digital Control Tower at Cranfield University, which provides an excellent setting for research into radar technology. Overall, the network is a win-win situation with Saab benefitting from the UK’s vast STEM network to grow its product portfolio through new UK IP, while supporting finance and expertise to local talent.

About the UK Defence ESG Charter

The UK Defence ESG Charter is a collaborative effort by the UK’s defence sector that aims to drive ambition and action on sustainability. Promoting greater transparency, signatories to the Charter are dedicated to working together to meet commitments focused on climate transition and clean tech, societal impact and governance and ethics.

The UK Defence ESG Charter now has 18 signatories, from an initial seven inaugural companies. Each has supported ADS through data and case studies in the composition of our annual reports. The Charter itself was also shortlisted for the 2025 Trade Association Forum Awards in the category: Environment, Social & Governance Initiative of the Year.

Contact us on esg@adsgroup.org.uk for more information and to get involved.

 

Image: UK MOD © Crown copyright 2026