Prime Minister Rishi Sunak announced on Tuesday a significant increase in defense spending, aiming to reach 2.5% of GDP by 2030, totaling 87 billion pounds ($108 billion) annually. This decision comes in response to calls from Ukraine for more Western support in their conflict with Russia and internal pressure from Sunak’s Conservative Party ahead of the upcoming national election.
The additional 4.5 billion pounds by 2028/29 will bring defense spending from 73.8 billion pounds to 78.2 billion pounds. The funding for this commitment will come from a plan to reduce the size of the civil service, saving 2.9 billion pounds, and allocating 1.6 billion pounds to defense research and development from an existing increase in overall R&D funding.
However, concerns have been raised about the sustainability of these budget plans. Torsten Bell, Chief Executive of the Resolution Foundation think tank, warned that the government’s fiscal commitments rely on unrealistic cuts to future public spending. Opposition Labour Party’s Shadow Defense Policy Chief, John Healey, emphasized the need for a fully funded plan and expressed skepticism about the Tories’ trustworthiness on defense matters.
As the government did not outline how it would fund the changes beyond 2028/29, questions remain about the long-term financial sustainability of this ambitious defense spending increase. The British public will be watching closely to see if ministers can deliver on their promises in the face of economic challenges.