Defence: Finance

(asked on 28th August 2026) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment he has made of the feasibility of plugging the £4.7 billion gap in the Defence Investment Plan, to be funded in the next budget.


Answered by
Emma Reynolds Portrait
Emma Reynolds
Chief Secretary to the Treasury
This question was answered on 9th September 2026

The £15 billion Defence Investment Plan uplift will take NATO-qualifying defence spending to 2.7% of GDP in 2027-28. This is primarily funded by reallocating £10.3 billion across government, with £4.7 billion to be confirmed at Budget 2026.

At the next Spending Review the Government will set out a clear path to meet its 3.5 per cent NATO target in 2035 and will set a target date to hit 3 per cent on that path.

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