06 June 2025

UK Strategic Defence Review 2025: A Blueprint for Agile Defence

Drawing on our experiences working alongside and within Defence, we share our reactions to the Strategic Defence Review 2025 - highlighting key components which we think hold the most transformative potential for UK Defence.

Since our inception, a guiding mission for PUBLIC has been to leverage the best of what the private sector has to offer to improve how the public sector delivers for citizens; this is not just about new technology but equally about innovative ways of working, thinking, and solving problems. This idea has brought many people along with us on our mission.

In 2020, after having run our GovTech accelerator programme - GovStart - that exposed us to some of the best startups and technology businesses focusing on public sector problems, we were approached by the Royal Navy, and asked to think about how the dynamism we see in the startup ecosystem could be translated into government. That led to the design and creation of the Percy Hobart Fellowship, a novel programme where we had the great pleasure of working with motivated and talented members of the MoD to help them build the skills and experience needed to be disruptors inside Defence. That programme has since scaled into the Innovation in Defence Learning Programme with the Defence Innovation Unit, which is the largest government innovation learning programme in Europe. 

Here is what we saw that worked:

  • Empowering individuals with the skills and understanding required to explore, design, validate, and communicate ways of improving the world around them has enormous potential for a significant Return on Investment
  • Providing fit-for-purpose procurement routes was essential to progress ideas into reality that would ordinarily have not seen the light of day in normal commercial processes
  • Giving MoD members exposure to a different ways of working - e.g. a secondment into a digital startup - was transformational for their motivation and learning

It is with this context, and Richard’s many years of experience at the frontline of people within Defence, that we have read the UK's Strategic Defence Review 2025

Our Reactions to the SDR 2025

From our perspective, the SDR is a thoughtful and welcome piece of analysis. In a world defined by unprecedented velocity of change, volatility and regular attacks beneath the threshold of war, the review champions a defence ecosystem that embraces innovation, integration, and a deep connection to the broader society and economy. It wisely acknowledges that while innovation will come predominantly from outside government, Defence must embrace this intellectual and agile capacity wherever in the nation it is found.

At its core, the SDR acknowledges a stark truth: the nature of warfare has irrevocably changed. Simple metrics of personnel and platforms are no longer sufficient. In the current environment, success hinges on the ability to innovate and operationalise technology at wartime pace, driven by dynamic networks of crewed, uncrewed, and autonomous assets, and leveraging data to support an ‘Integrated Force Model.’ This demands a profound shift in mindset, moving beyond traditional silos and embracing a ‘whole-of-society’ approach to deterrence and defence.  The agility required on the modern ‘battlefield’ cannot be just the preserve of the military; it must be supported by the whole of the nation, from its people and ideas to its industrial capability.  Only by harnessing the totality of the nation can a future deterrence be effective, can a war be won.

Stand-out Components

from the Review

Reading the SDR, we found several components of this transformative vision which we believe will be instrumental in forging a truly modern and resilient defence capability:

1. Investment in the Future of Warfare

The commitment to an £11bn annual budget for technology investment signals a serious intent to equip the Armed Forces with cutting-edge capabilities and makes investing in these capabilities an attractive proposition for private capital. 

2. Innovation-Led and Dual-Use Focus

The emphasis on dual-use technologies and actively engaging with the private sector is a welcome signal. Defence must not be an isolated industry, dominated by a small cadre of entrenched firms; it has the potential to be a powerful engine for broad economic growth. By embracing its role as a ‘first customer’ to startups and building relationships with private investors, the MoD can tap into a vast pool of innovation, accelerating the adoption of new technologies. The establishment of a new UK Defence Innovation organisation with a ring-fenced budget of £400m annually and a Defence Research and Evaluation organisation further solidifies this commitment.

3. Breaking Down Silos and Centralised Command

The review boldly tackles long-standing structural challenges. Budgetary alignment under the Chief of the Defence Staff (CDS) and the Military Strategic Headquarters (MSHQ), coupled with command over the Service Chiefs, is crucial. This move, along with the explicit goal of breaking down Single Service silos, will foster true integration across the forces, ensuring a coherent and unified approach to warfighting.

4. Strategic Procurement and Supply Chain Management

Acknowledging that current procurement systems are ‘broken’, the SDR champions radical procurement reforms. The appointment of a National Armaments Director responsible for supply chain and industry management highlights the critical importance of a resilient industrial base. This includes a segmented approach to procurement, with a focus on rapid commercial exploitation of novel technologies. Our hope is that this builds on the progress made on the civilian side with the Procurement Act 2023, and the introduction of things like the Competitive Flexible Procedure, that empower commercial teams and buyers with the freedom to procure in the optimal way. 

5. People at the Core: Recruitment, Retention, and Agile Skills

The review rightly identifies people as fundamental to defence. A strong focus on recruitment and retention, embracing different training models, and only running training internally when external options are not suitable, demonstrates a commitment to a modern workforce. Crucially, the emphasis on constant innovation across defence through agile skills - particularly digital, AI, and data skills - recognises that the human element is central to leveraging technological advantage. The creation of a Digital Warfighter group signals the level of seriousness and the creation of an accountable organisation. From PUBLIC’s experience running innovation learning programmes for the MoD, this level of focus will help drive both improvement in service delivery as well as allow the MoD to hold onto its best people for longer.

6. A Culture of Empowerment and Continuous Innovation

Perhaps most significantly, the SDR calls for a culture of empowerment where Defence personnel are encouraged to innovate and deliver. This acknowledges that true transformation isn't just about new structures or technologies; it's about fostering an environment where agility and adaptability are ingrained. The model of constant innovation, accepting that we don’t know what the future will hold, signals a proactive and flexible approach to an unpredictable world. We could not agree more. We have seen first hand how empowering servicemembers and their civilian counterparts with the tools and pathways to build ideas, informed from their experience, into reality can lead to real material value in so many different ways - retention, Return on Investment, agility, streamlined processes etc. The NavyPODS programme is a shining example of this, where a Navy medic’s brilliant idea for mobile triage clinics was operationalised and turned into a promising programme.

7. Integration as a Key Measure of Success

The review explicitly states that a key measure of success is how effectively the Armed Forces can innovate and operationalise technology, and that they must be capable of integration, which will have technology architecture implications. Integration at the Concept phase, led by a single MSHQ, fusing the very best of every part of Defence from the very start, will have profound implications on budget, scope, efficiency, useability, and effectiveness. This underscores the holistic nature of the transformation, where technological and organisational integration are intertwined. Important challenges that have been faced in other parts of government will need to be addressed here, not least of which being how to make platforms more interoperable, both within the MoD itself and with allies. 

To conclude, we feel that the UK Strategic Defence Review 2025 is a very sober and much needed analysis of the state of UK Defence, and the changes that are required. Its conclusions align with our experiences, both of what is broken and also what is working well. From better engagement of the innovation ecosystem, to empowering the amazing people who defend our way of life, we encourage the steps advocated in this review and stand ready to continue to support the mission. 

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Ryan Shea

Managing Director

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Lt. General Richard Nugee

fmr. Chief of Defence People, UK Ministry of Defence (external)

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