Sunak recently announced the importance of spending on defence and the need to increase the amount of money going into this area.

Why spending is increasing?

Sunak announced with so many conflicts and dangers in the world today the need to pour funding into defence and the military is crucial. The war in Ukraine and the advancement of technology along with Russia’s growing alliances spurred Sunak to make this pledge.

 

How much is spending increasing by?

A planned increase of 2.5% GDP rising linearly will mean by 2030 the UK will have been spent £75bn on strengthening UK defence.

This is one of the highest levels of spending on UK defence since the Cold War.

 

What does this mean for the UK public?

The government’s report on the extra spending state a promise for a boost in UK prosperity and economy.

They state that this will support over 200,000 jobs, add £11bn a year to the economy and provide high skilled and well paid jobs to communities across the county.

The Institute for Fiscal Studies had noted that the amount of £75bn which has been pledged can only work if the defence spending is frozen every year from now until 2023, rather than rising in line with the UK’s existing defence spending of around 2.3% of GDP. If this is taken into account the rise will amount to just £20bn from now until 2030, much lower than promised.

The increase will likely be needed to fill current gaps rather that additional support as reported from Chatham House.

This year’s UK Defence Equipment Plan for 2023-33 has a gap of £16.9bn between its requirements and its budget.

 

The increased spending on defence supports the UK’s armed forces as well as showing that the UK is prepared and able to deal with future advancements however with spending in one area cuts or loans will have to be made and the UK public could suffer.  Cuts could also come from foreign aid spending which is also crucial for millions across the world.