Across Wales, there are SMEs doing work of real value to the defence sector – even if they have never considered themselves part of it. My role at Business in Focus is to help those firms recognise what they can contribute, understand the route into the market and build the capability to take advantage of the opportunities available.

The defence sector is evolving rapidly. Development cycles that once took years are now measured in weeks in places like Ukraine. Larger companies often describe themselves as agile, but their timelines typically stretch over many months. SMEs, by contrast, are used to moving quickly, adapting their offer and responding to new demands. That natural agility is becoming increasingly relevant as technology shifts and as threats and counter-threats evolve at pace.

I recently met a company whose work has nothing to do with defence on the surface. They specialise in technology that inspects welds. It is an essential capability for shipbuilders, vehicle manufacturers and parts of the construction industry. Yet they had never entered the defence market because they assumed the threshold was too high. That assumption has been common, and historically there has been truth in it. The UK defence market has traditionally been difficult for new entrants, sometimes more so than overseas markets.

But the landscape has begun to change. Since the UK Government’s Strategic Defence Review was published last June there has been a more pragmatic approach, and some of the barriers have started to ease. Tools exist to help companies understand whether their products are classed as dual-use or require additional security measures. A clearer entry route is emerging for firms that once felt excluded.

For Welsh SMEs, the starting point is to look at what they already do through the lens of defence need. Many products have both civilian and defence applications. Others can become components within a larger system. An SME does not need to sell directly to the Ministry of Defence. It may be a tier-three or tier-four supplier, producing a single part that feeds into a more complex whole. Knowing where you sit in the supply chain is essential.

Counter-drone and unmanned systems technology illustrates how quickly this field moves. Drones that could once be jammed electronically are now being flown by fibre-optic cable to avoid jamming entirely. Simple, unguided devices used in some regions cannot be jammed at all. The response has moved from detection to jamming to what is known as hard-kill, where the threat is physically intercepted. That constant cycle shows that innovation does not always come from the most advanced places; it can come from firms that think differently about the tools they already have.

When an SME approaches us, we usually begin with a half-day workshop involving the leadership team. We look at their capabilities, ambitions and place in the market. Some firms need to refine or develop a business plan. Others need help mapping the defence landscape, which can feel opaque to those unfamiliar with it. Our role is to help them understand the key steps, the tools available and the realistic routes into the sector.

The path does not require huge upfront investment. It can be staged – starting with exploration, then building a plan, then focusing on entry routes. Ultimately, the goal is to help SMEs position themselves so they can secure contracts at the right level within the supply chain.

My hope is for a more open and pragmatic route into the defence sector for firms that have never considered it before. The threshold does not need to be unreasonably high, and it is possible for SMEs to succeed without compromising on quality or security.

Wales has the engineering capability, innovation and flexibility to contribute far more than it currently does. With the right support, many more firms could find a place in this market and play a role in strengthening the UK’s defence capability at a time when it is needed.