RESTRUCTURING THE BRITISH DEFENSE INDUSTRIAL BASE AFTER THE COLD-WAR - INSTITUTIONAL AND GEOGRAPHICAL-PERSPECTIVES

This paper argues that the current upheaval in the British Defence ind ustry reflects a qualitative restructuring of historical importance. T hroughout the ''Cold War'' the British defence industry was characteri sed by remarkable continuity in its industrial, corporate, and geograp hical structures. These institutional parameters have come to an end. The smaller ''Post Cold War'' defence industry which is emerging has n ew social and geographical implications. These changes are such that t he spontaneous adjustment of the UK defence industry to changes in mar ket conditions is unlikely to lead to a substantial reallocation of re sources to non-defence uses. If the potential for a ''Peace Dividend'' is to be realised a new approach to policy is called for.