Prime Minister Keir Starmer is expected to approve an £18 billion increase in defence spending as the Government prepares to publish its delayed defence investment plan. The plan is intended to accelerate the delivery of equipment and technology to frontline forces while also supporting wider economic growth.
The proposal comes as defence policy remains a major part of the Government’s legislative and spending agenda. Starmer has committed to the largest sustained increase in defence spending since the Cold War, with a longer-term aim of reaching 3% of national output in the next Parliament.
Questions remain over how the additional spending would be funded. Chancellor Rachel Reeves has previously indicated that she does not favour tax rises or additional borrowing for defence increases, which could leave ministers looking at other areas of public spending as they seek to meet the commitment.