All that glitters is not gold for MoD
The major multi-year funding injection announced by the UK government in November 2020 appears attractive — but in fact it lays bare a dilemma at the heart of the MoD.
The UK MoD enters 2021 having won a significant victory in its battles with the Treasury. Prime Minister Boris Johnson firmly aligned himself with Secretary of State for Defence Ben Wallace in November, by agreeing a multi-year funding settlement worth £16.5 billion.
This represents a marked change in fortunes for the MoD, which had probably been expecting substantial cuts — or at best no growth — to its budget. The wider decision by the government to delay its multi-year cross Whitehall spending review was also seen as a bad omen. It seemed to indicate that at best the MoD
Already have an account? Log in
Want to keep reading this article?
You may also like
More from Defence Notes
-
![Spain unveils new multi-billion euro defence investment plan]()
Spain unveils new multi-billion euro defence investment plan
The new plan outlined how Spain would reach 2% of its GDP spend on defence by 2025, with €1.9 billion earmarked for new equipment acquisition with several land, naval and air platforms disclosed to be replaced or upgraded.
-
![New Zealand boosts defence spend to US$6.6 billion and vows increased closeness with Australia]()
New Zealand boosts defence spend to US$6.6 billion and vows increased closeness with Australia
This budget will be spent over the next four years and nearly doubles the country’s defence spending as part of GDP to 2%.
-
![UK Chancellor commits £2 billion to make the country a “defence industrial superpower”]()
UK Chancellor commits £2 billion to make the country a “defence industrial superpower”
Rachel Reeves announced port upgrades, protected budgets for innovation and investment in novel technologies.
-
![Avalon 2025: Australian defence budget meets the low expectations of show attendees]()
Avalon 2025: Australian defence budget meets the low expectations of show attendees
The Australian Budget was marked by tax cuts and a looming general election which led to little hope that there would be a substantial defence boost even with a big bill for nuclear submarines due.
-
![Launch of Gilat Defense targets DoD market]()
Launch of Gilat Defense targets DoD market
The communications company Gilat launched its new Gilat Defense division at the Satellite 2025 expo, with future solutions aimed at US military customers.
