UK Unveils Record £300 Billion Defence Investment Plan, Annual Spending To Reach £80 Billion By 2029

UK Prime Minister Keir Starmer has announced a major expansion of Britain's defence budget, pledging nearly £300 billion in spending over the next four years to strengthen the country's armed forces and bolster national security.

Speaking while outlining the government's defence investment plan, Starmer said the package represents the largest sustained increase in defence spending since the 1980s, with total funding rising from the previously planned £270 billion to almost £300 billion after an additional £15 billion allocation.

"We are increasing this by a further £15 billion, setting a new record of spending almost £300 billion over the next four years to back our armed forces and strengthen our national security," he said.

Starmer noted that before his government took office two years ago, the UK was spending £54 billion annually on defence. Under the new plan, annual defence expenditure will rise to nearly £80 billion by 2029, representing a 27% real-terms increase.

He also highlighted the government's commitment to significantly increase defence spending as a share of the country's economic output. Defence expenditure, which stood at 2.3% of GDP in 2024, is set to rise to 2.7% by 2029, with the government aiming to reach 3% of GDP during the next Parliament.

Calling defence spending the "number one priority" for the next spending review, Starmer said the increased investment reflects the UK's response to a rapidly evolving global security environment.

He further referred to the commitment made at last year's NATO summit to allocate 5% of GDP towards broader national security, covering areas such as energy security, critical infrastructure, and defence. According to Starmer, the newly announced investment plan would take the UK to 4.2% of GDP under that broader security commitment.

"By any measure this is a huge historic shift for our nation and a legacy in which I take pride," he said.

Emphasising the need for accountability, Starmer added that the increased funding must be used effectively to enhance military capabilities, modernise defence infrastructure, and improve the country's overall security preparedness.

The announcement comes amid growing geopolitical tensions and increased calls among NATO allies to strengthen defence capabilities and invest more heavily in national security.