Reeves to announce extra £2.2bn defence spending in spring statement
On Wednesday, the Chancellor is expected to say the UK ‘must move quickly in a changing world’.
An extra £2.2 billion will be spent on the UK’s defence over the next year, the Chancellor is to announce at the spring statement.
Rachel Reeves will say the UK must “move quickly in a changing world” to up its defence commitment, when she makes the statement in the Commons on Wednesday.
The extra funding is being put on the table as the Government aims to hike defence spending to 2.5% of the UK’s economic output by 2027.
Ms Reeves will insist this plan, set out by the Prime Minister in February, was the “right decision in a more insecure world”, adding: “But we have to move quickly in a changing world. And that starts with investment.”
“This increase in investment is not just about increasing our national security but increasing our economic security, too. As defence spending rises, I want the whole country to feel the benefits,” the Chancellor is expected to tell MPs.
The April funding increase will help pay for new technologies, like long range laser and microwave weapons – collectively known as directed energy weapons – which will be fitted to warships.
Homes for military families will, meanwhile, be refurbished, including the 36,000 recently brought back into public ownership from the private rented sector.
HM Naval Base Portsmouth will also be upgraded with the extra cash, the Treasury said.
Ministers hope to create jobs in manufacturing and technology across the UK as they ramp up defence spending, with the aim of reaching their goal of growing the economy.
Defence Secretary John Healey said national security was “the bedrock of a successful economy”.
“This significant increase in defence spending, on top of the £2.9 billion announced by the Chancellor at the Budget, means an extra £5 billion for our Armed Forces next financial year,” he said.
Mr Healey added: “This investment will make Britain stronger and safer in a more insecure world. And it will ensure defence is an engine for growth, creating good jobs across the nation.
“These are the bold first steps of the largest sustained increase in defence spending since the Cold War announced by the Prime Minister last month.
“Our Government is delivering for defence and investing in the outstanding men and women who keep Britain secure at home and strong abroad.”
