Chesterfield Special Cylinders (CSC), a UK gas cylinder manufacturer, is turning back to defence markets as persistent delays to hydrogen projects continue to frustrate the company. The pivot comes as the firm announced the departure of its chief executive of almost eight years, Chris Walters, on 31 July.
Chief operating officer Chris Webster has been appointed managing director, taking a seat on the board with immediate effect. The leadership change signals a strategic shift for the company, which had been banking on a wave of hydrogen contracts that have failed to materialise.
“Chesterfield Special Cylinders pivots to defence as hydrogen delays erode confidence, with CEO Chris Walters departing.”
In its half-year 2026 results, CSC logged revenues of £6.4m ($8.5m). The company said it "remains frustrated" by the continued delays, and that it expects any related contract wins to "come too late" to benefit its full-year 2026 results.
Walters had headed a coalition of UK hydrogen technology companies pushing for faster government action. In June, the group warned that ongoing policy delays were eroding investor confidence and forcing company boards to reconsider their investment plans. Now, with Walters leaving and Webster at the helm, CSC appears to be following through on that warning by refocusing on defence, a market where it has historically operated.
The move highlights a wider concern among hydrogen supply chain firms that the UK's slow pace of policy implementation is driving companies away from clean energy investments. While the government has touted hydrogen as a key part of its net-zero strategy, companies like CSC are running out of patience — and are now seeking more reliable revenue streams elsewhere.