Defence: Finance

(asked on 28th October 2026) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if his Department will publish a detailed breakdown of how other departments' capital budgets have been reduced in order to fund the Defence Investment Plan.


Answered by
Emma Reynolds Portrait
Emma Reynolds
Chief Secretary to the Treasury
This question was answered on 6th November 2026

In June, the government announced £15 billion between 2026-27 and 2029-30 for the Defence Investment Plan. It confirmed that £10.3 billion would be funded by reprioritising public spending, with details set out at:

The Defence Investment Plan Funding explainer - GOV.UK

To fund the residual £4.7 billion, Budget 2026 confirms that departmental capital budgets will be reduced by a further 1% from 2027-28 to 2029-30 to raise £3 billion, and an additional £1.7 billion will be funded from unallocated contingency in the Treasury’s capital Reserve.

Updated departmental capital budgets, which reflect these changes, were published at Budget 2026.

Reticulating Splines