Labour’s Defence Investment Plan will be backed by £298 billion of investment across the next four years, including £15bn of additional spending on top of last year’s Spending Review.
- Prime Minister announces additional funding to strengthen military readiness and accelerate the drone transformation, boost future fighter jets and strengthen the UK’s nuclear deterrent
- Labour’s Defence Investment Plan will also create nearly 60,000 extra direct and indirect UK industry jobs by the end of the decade, taking forecasted defence spending related jobs supported in the UK to more than half a million.
- Nearly £300 billion in funding over next four years to transform the UK military with cutting edge equipment.
The Labour Government has announced a landmark £15 billion investment in defence spending to fund key equipment and technology to equip our Armed Forces to fight the wars of today and the future.
It will see an increase in defence funding from £54 billion a year under the previous government to almost £80 billion a year by 2029 and will see the UK’s defence spending increase to 2.7% of GDP.
This means the proportion of GDP spent on defence will now be higher than at any time during the last thirty years by the end of this decade and puts the UK on track to meet NATO’s defence spending targets by 2035.
The major spending uplift will also create nearly 60,000 extra direct and indirect UK industry jobs by the end of the decade, taking forecasted defence spending-related jobs supported in the UK to more than half a million.
The Defence Investment Plan will implement the vision set in the Strategic Defence Review, seeing the Armed Forces adapt for the wars of today and tomorrow by investing in new equipment and embracing new technology, such as drones, autonomy and AI.
Prime Minister Keir Starmer said: “This record investment puts the security of the British public first, transforming our Armed Forces and giving them the funding and equipment they need to fight and defend our nation.
“The world is a more dangerous and volatile place, so it is only right we are boosting the number of troops on the ground, rebuilding ammunition stockpiles and investing in cutting edge technology to ensure we outpace our adversaries for generations to come.
“Every pound in this plan will work twice, delivering economic growth and opportunity for the British people, and supporting more than half a million jobs by the end of the decade, as well as reinforcing our national security.”
Chancellor of the Exchequer Rachel Reeves said: “I have boosted defence spending to the highest level since the Cold War – and today’s Defence Investment Plan goes further still, committing almost £300 billion over this Parliament to transform our Armed Forces. That’s more money, spent more effectively, to keep the country safe and back British industry, jobs and growth.”
Defence Secretary Dan Jarvis MBE MP said: “I know first-hand the importance of our armed forces having the kit and technology they need to do the difficult job we ask of them.”
“I have secured more money and made different choices for defence. We will now invest £298 billion over the next four years, £15 billion more than last year’s Spending Review settlement. Most of that is extra day-to-day spending for training and improving availability of ships and aircraft, to increase our war-fighting readiness. By choosing to embrace new technology, I am equipping our troops with the autonomous systems which will give them the edge on the battlefield.”
“This extra money and these choices send a clear signal to our allies and our adversaries alike: Britain is stepping up on security.”
Amanda Martin MP for Portsmouth North said: “This Labour Government is delivering for defence. We are equipping our Armed Forces to deter our enemies and fight on the 21st century battlefield.
“I welcome the publication of the Defence Investment Plan, which signals Labour’s commitment to our national security and Armed Forces after 14 years of Conservative governments hollowing out and underfunding defence”
“Today I pay tribute to those who serve. This Labour Government will always back them.”
The Prime Minister also announced a new £50 billion defence export facility established by UK Export Finance to support British defence firms to win contracts across the globe. This will support British defence companies of all sizes and strengthen the UK’s competitiveness in a rapidly growing market.
The Government has set out details of how the Defence Investment Plan will be funded through reprioritising public spending, acting within our fiscal rules and without taking resources away from day-to-day spending on frontline services.
This approach will allow the country to continue renewing and rebuilding and ensure that the Armed Forces have the resources they need to meet this new era of threat.
