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The Guardian - UK

Business

Jasper Jolly

Profits boost for UK defence firms as governments increase spending

RollsRoyce BAE BAE Systems Tufan Erginbilgiç United States

A factory floor with an enormous fan at the centre. — A Rolls-Royce UltraFan engine at the company’s factory in Derbyshire. The firm was the top riser in the FTSE 100 on Thursday. Photograph: Rolls-Royce Archive/Getty Images

Rolls-Royce and BAE Systems are expecting higher profits as governments around the world increase their defence spending.

Both companies lifted their earnings guidance on Thursday morning, citing commitments from governments to raise investment in defence systems.

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