UK Chancellor commits £2 billion to make the country a “defence industrial superpower”
The HMS Anson, the fifth Astute-class nuclear-powered fleet submarine, departing Barrow-in-Furness. (Photo: Crown Copyright)
Rachel Reeves announced port upgrades, protected budgets for innovation and investment in novel technologies.
UK Chancellor Rachel Reeves used her Spring statement to commit £2.2 billion (US$2.8 billion) of additional funding in 2026 to “turn the UK into a defence industrial superpower”.
The move came in the wake of Prime Minister Keir Starmer’s statement on 25 February that the UK would increase its commitment to defence spending to 2.5% of GDP by 2027, and 3% by 2034 at the latest.
The Chancellor said the additional defence spending commitment, which will be mostly funded by a shakeup of the country’s welfare system, was necessary because “the world has changed” since she and the Labour government
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