Welsh Government criticises UK defence spending plan

Mark Mansfield

The Welsh Government has warned that UK ministers’ plans to boost defence spending could leave Wales with “many millions of pounds” less to invest in schools, hospitals and roads after capital budgets were reduced without prior consultation.

The criticism came after Prime Minister Sir Keir Starmer unveiled a £15 billion increase in defence spending as part of a £298 billion Defence Investment Plan covering the next four years.

The UK Government said the package would modernise the Armed Forces, create almost 60,000 jobs and increase defence spending to 2.7% of GDP by 2029.

While backing increased investment in defence, Welsh ministers said they had been given no say over funding changes that could reduce Wales’ capital budget.

A Welsh Government spokesperson said: “This Welsh Government is fully committed to keeping Britain safe, and Welsh manufacturing and skills should be at the heart of any new defence investment.

“But it is completely unacceptable that Welsh capital budgets which are already stretched are now being cut by potentially many millions of pounds in this financial year – and years to come – to fund a plan we were given no say in.

“These decisions will have an impact on funding for projects like new schools, hospitals and roads in Wales.”

The spokesperson added that ministers had raised their concerns with the UK Government, arguing that making changes to Wales’ agreed budget without prior discussion ran “completely counter to the respect agenda” both governments had pledged to build.

The Defence Investment Plan includes more than £8 billion over four years for the Global Combat Air Programme, which is developing a next-generation fighter aircraft with Japan and Italy, alongside more than £63 billion for the UK’s nuclear deterrent, including Dreadnought and AUKUS submarines.

The package also includes more than £5 billion to expand the military’s use of drones and autonomous systems, almost £2 billion for a new AI-enabled Digital Targeting Web, £11 billion to replenish munitions stockpiles and £790 million to strengthen protection against missile and drone attacks.

The government said the programme would support more than half a million defence-related jobs across the UK by the end of the decade.

‘Cutting edge technology’

Sir Keir said the investment would ensure Britain’s armed forces had “the funding and equipment they need to fight and defend our nation”.

“The world is a more dangerous and volatile place, so it is only right we are boosting the number of troops on the ground, rebuilding ammunition stockpiles and investing in cutting-edge technology to ensure we outpace our adversaries for generations to come,” he said.

The UK Government said the spending would be funded through reprioritising public spending while remaining within its fiscal rules and without reducing day-to-day spending on frontline public services.