Starmer Announces £15bn Defence Spending Increase Funded by 1% Capital Cuts Across Government

Prime Minister Sir Keir Starmer is expected to announce a £15 billion increase in military funding through the Defence Investment Plan. The plan will be financed in part by requiring government departments to reduce capital spending by one per cent.

The Department for Transport and the Department for Energy Security and Net Zero have been asked to make larger reductions than other departments, according to the Financial Times.

GB News reported that experts have urged the government not to alter transport budgets to avoid disruptions to freight and haulage. The Road Haulage Association called any cut to transport and infrastructure spending a serious mistake. Richard Smith, managing director of the RHA, said an increase in defence spending was inevitable but added that the road freight sector must also receive support.

Smith stated: "We are clear: Transport cannot be treated as an easy saving. " He also said spending on roads constitutes an investment in the economic health of the country. The UK's strategic road network carries 66 per cent of all freight traffic and one third of all traffic overall.

National Highways reports that the network comprises more than 4,500 miles of motorways and major A-roads yet accounts for only two per cent of England's total road network. Almost 80 per cent of domestic freight moves by road. A joint report by the Department for Transport and National Highways found that doubling rail capacity would remove only 11 per cent of freight from roads.

The RHA noted that congestion already costs the country more than £30 billion annually in delays and lost productivity. Smith continued: "Clearly, increasing defence spending, economic growth, and road freight, which accounts for 85 per cent of movement in the country, are all intrinsically linked and vital.

We call on the Government to ensure there is a balanced approach when reviewing spending and resilience.

A Ministry of Defence spokesperson said the Defence Investment Plan would invest heavily in the UK and deliver the best equipment to frontline troops. The ministry stated that the plan would be finalised soon and published as soon as possible.