Cutting Through the Red Tape

Why the MoD Needs to Rethink SME Engagement

Earlier this year, Ken Turley of Tokk and a long-time advocate for innovation in the defence sector, was invited to give evidence to the House of Commons Defence Committee, Portcullis House, London. The session, chaired by Tan Dhesi MP, centred around a critical question:

What stops the Ministry of Defence (MoD) from adopting the best technology our SMEs have to offer?

Ken appeared alongside Alastair McGibbon, Chief Commercial Officer of Space Forge, and both offered insight that will resonate with many small and medium-sized enterprises (SMEs) in the UK defence and technology sectors.

While the MoD frequently emphasises its commitment to working with SMEs, procurement rules and commercial regulations often make it unnecessarily difficult to turn that talk into action. These rules can slow down — or even block — engagement, despite clear demand from military end-users.

Alastair illustrated this with a striking example: Space Forge secured between £200,000–£300,000 of MoD funding — but it took two years and eight separate approval stages to get there. In contrast, the NATO Investment Fund awarded his company twenty times that amount in half the time.

Ken summed it up bluntly:

“The MoD understands what equipment they want to fight the war. They are restricted from buying that equipment. Actively restricted from solutioneering.”

In other words, even when frontline needs are clear, the current system can prevent SMEs from delivering the solutions that could make a difference.

At Tokk, we’ve seen first-hand the ingenuity, speed, and technical excellence that SMEs bring to defence and security challenges. The problem isn’t a lack of innovation — it’s a lack of pathways to deploy it effectively.

That’s why this conversation, and the upcoming Strategic Defence Review (SDR), matters so much. Reforming procurement and reducing barriers will not only strengthen UK defence capability but also support a thriving SME ecosystem.

The stakes are high: better equipment in the hands of those who need it, stronger national security, and a more competitive, innovative UK industry.

If your organisation needs help navigating MoD engagement, procurement processes, or strategic positioning in the defence sector, explore our Business Advisory services — and get in touch with Ken and the Tokk team to start the conversation.

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